Innovative strategies to tackle seasonality issue in hospitality and tourism industry

Abstract

Purpose This paper aims to deepen the current knowledge of seasonality by investigating visitors’ intentional and behavioural patterns during peak and off-peak seasons. It compares the variation in several key behavioural factors, namely, duration of stay, party size, revisit intention, spending and breakdown of spending in different sectors in hospitality and tourism including entertainment, restaurant, accommodation and transportation. Moreover, this research expands the understanding by examining the effectiveness of two innovative strategies of offering a digital app and organising a unique event to tackle seasonal imbalances through stimulating visitors’ intention to change their timing of visit from peak to off-peak periods. Design/methodology/approach The author initially used a Delphi approach to gather experts’ opinion on the two scenario settings: event organisation and a trip planner app. The scenarios aimed to potentially encourage visitors to change their visit time to off-peak seasons. Then, using a quantitative survey, the travel habits and spending behaviours of 310 participants were captured. Furthermore, the survey assessed their intention to travel during off-peak seasons in response to the implementation of the two innovative strategies. Findings The results revealed that although the number of visitors who travel in off-peak seasons may be lower, their daily spending is higher than peak season visitors. In addition to total spending per day, the duration of stay, part size, quality of accommodation and re-visit intention of visitors indicated significant variation between peak and off-peak seasons. According to the statistical analysis’ results, organising events (including festivals) proves more effective in encouraging visitors to travel during off-peak seasons compared to digital innovation (i.e. a trip planner app). This finding is in line with the tenets of the Jobs-to-be-Done Theory of innovation. Originality/value This study contributes by conceptualising the mechanism of seasonality and its impacts on subsectors of tourism and hospitality. To the best of the author’s knowledge, this is one of the few empirical research that compares the behavioural patterns of visitors including their average spending per day between peak and off-peak seasons. Previous studies focused on specific regions or sectors, whereas this research investigates visitors’ behaviour on a broader scale to provide more comprehensive view. Furthermore, this study is novel due to practising an outside-in approach through investigating the effectiveness of the two innovative strategies aimed at addressing seasonality in the hospitality and tourism industry from visitors’ point of view.