Determinants for sun-and-beach self-catering accommodation selection: a stated preference approach

Abstract

Self-catering accommodation is an important lodging alternative in some tourist destinations. Attributes such as the size, furniture and equipment; pool area; quietness; accessibility to beach; or Wi-Fi play an important role in the selection of this type of accommodation. Understanding tourists' preferences is essential to improve services and gain competitiveness. In this article, a stated choice experiment between two hypothetical self-catering apartments is carried out in Maspalomas, a world renowned destination in the south of Gran Canaria, Spain. Consistent multinomial and mixed logit model specifications that incorporate systematic and random taste variation within tourists' preferences are estimated. Willingness to pay for improving different service quality attributes is obtained. The findings are crucial and provide important insights to managers and policymakers in order to streamline the marketing and promotional strategies, as well as to make optimal investment decisions.