Strategies and Barriers to Technological Innovation in the Hospitality Industry: A Qualitative Exploration

Year 2024, Issue: 65, 35 - 53, 30.09.2024

Aslı Ersoy

https://doi.org/10.53568/yyusbed.1430100

Abstract

Innovation is a concept that plays a crucial role in the success of the hospitality industry and provides many positive organizational outcomes. The concept of technological innovation in the hospitality industry has attracted great attention, especially due to the widespread impact of emerging technologies on organizations. The purpose of this study is to identify technological innovation strategies and challenges to successful innovation practices in the hospitality industry. 17 hospitality professionals worldwide, selected through convenience sampling, constitute the participant profile of this study. The current study, based on a qualitative research design, used text analysis to identify patterns in the data set. QSR NVivo 10 software was used to identify major themes from the transcripts. As a result of the analysis, 4 technological innovation strategies were identified, namely setting strategic direction, culture of innovation, organizational alignment and collaboration and partnerships, and 4 challenges were identified, namely lack of understanding technology, data overload, failure to meet user needs and the speed of change, which pose obstacles to innovation in the hospitality industry. This study contributes to innovation research in the hospitality literature by providing an in-depth evaluation of technological innovation strategies and the challenges in this process and approaching the topic holistically.

Keywords

Innovation, Technology, Technological innovation, Hospitality industry

Project Number

-

Konaklama Endüstrisinde İnovasyon ve Teknoloji: Nitel Bir Araştırma

Abstract

İnovasyon, konaklama sektörünün başarısında önemli bir rol oynayan ve birçok olumlu örgütsel sonuç sağlayan bir kavramdır. Özellikle gelişen teknolojilerin organizasyonlar üzerindeki yaygın etkisi nedeniyle konaklama endüstrisinde teknolojik yenilik kavramı büyük bir ilgi görmüştür. Bu çalışmanın amacı, konaklama endüstrisindeki teknolojik inovasyon stratejilerini ve başarılı inovasyon uygulamalarının önünde yatan zorlukları belirlemektir. Kolayda örnekleme yoluyla seçilen dünya çapındaki 17 konaklama profesyoneli bu çalışmanın katılımcı profilini oluşturmaktadır. Nitel bir araştırma tasarımına dayanan mevcut çalışma, veri setindeki kalıpları belirlemek için metin analizini kullandı. Transkriptlerden ana temaları belirlemek için QSR NVivo 10 yazılımı kullanıldı. Analiz sonucunda stratejik yön belirleme, inovasyon kültürü, örgütsel uyum ve işbirliği ve ortaklıklar olmak üzere 4 teknolojik inovasyon stratejisi belirlenmiş ve teknolojiyi anlama eksikliği, aşırı veri yüklemesi, kullanıcı ihtiyaçlarını karşılayamama ve değişimin hızı olmak üzere konaklama endüstrisinde yeniliğin önünde engel oluşturan 4 zorluk tespit edilmiştir. Bu çalışma, teknolojik inovasyon stratejilerinin ve bu süreçteki zorlukların derinlemesine değerlendirilmesini sağlayarak ve konuya bütünsel olarak yaklaşarak konaklama literatüründeki inovasyon araştırmalarına katkı sağlamaktadır.

Keywords

İnovasyon, Teknoloji, Teknolojik inovasyon, Konaklama endüstrisi

Ethical Statement

-

Supporting Institution

-

Project Number

-

Thanks

-

References

• Andrikopoulos, P. & Khorasgani, A. (2018). Predicting unlisted SMEs’ default: Incorporating market information on accounting-based models for improved accuracy. The British Accounting Review, 50(5), 559-573.
• Awan, U., Suleman, N., Huiskonen, J. & Kraslawski, A. (2020). Benefits of cross-border collaboration at base of the pyramid markets for innovation improvement. In Base of the Pyramid Markets in Asia: Innovation and Challenges to Sustainability (pp. 22-46). Routledge.
• Backman, M., Klaesson, J. & Öner, Ö. (2017). Innovation in the hospitality industry: Firm or location?. Tourism Economics, 23(8), 1591-1614.
• Buhalis, D., O’Connor, P. & Leung, R. (2023). Smart hospitality: From smart cities and smart tourism towards agile business ecosystems in networked destinations. International Journal of Contemporary Hospitality Management, 35(1), 369-393.
• Chandra, S., Shirish, A. & Srivastava, S. C. (2019). Does technostress inhibit employee innovation? Examining the linear and curvilinear influence of technostress creators. Communications of the Association for Information Systems, 44(1), 299-331.
• Cooper, R. G. & Edgett, S. J. (2010). Developing a product innovation and technology strategy for your business. Research-Technology Management, 53(3), 33-40.
• D’Souza, E. & D’Souza, K. (2023). A study on the impact of innovative technologies in the hospitality industry. Journal of Tourism, Hospitality and Culinary Arts, 15(1), 1-23.
• Dash, A. (2024). Do customer centricity and innovativeness mediate the relationship between total quality management and the corporate success of SaaS companies?. Benchmarking: An International Journal, 31(3), 903-919.
• David, M. & Cormican, K. (2006). A customer centric process innovation toolkit for SMEs. In IEEE International Technology Management Conference.
• Davis, F. D. (1989). Perceived usefulness, perceived ease of use, and user acceptance of information technology. MIS Quarterly, 13(3), 319-340.
• Demir, B. & Ventura, K. (2021). Exploring the internet of things within the new generation smart home systems: A qualitative study. In New challenges for future sustainability and wellbeing (pp. 363-376). Emerald Publishing Limited.
• Ebersberger, B., Herstad, S. J. & Nordli, A. (2021). Hospitality innovation strategies: Robustness analysis of paths to firm performance. Tourism Management, 85, 104310.
• Edghiem, F. & Mouzughi, Y. (2018). Knowledge-advanced innovative behaviour: A hospitality service perspective. International Journal of Contemporary Hospitality Management, 30(1), 197-216.
• Egan, D. & Haynes, N. (2019). Manager perceptions of big data reliability in hotel revenue management decision making. International Journal of Quality & Reliability Management, 36(1), 25-39.
• Eldh, A. C., Årestedt, L. & Berterö, C. (2020). Quotations in qualitative studies: Reflections on constituents, custom, and purpose. International Journal of Qualitative Methods, 19, 1609406920969268.
• Estrada, S., Cuevas-Vargas, H., Toraldo, M. L. & Benassi, M. (2023). Barriers to hospitality innovativeness: The Colombian case. International Journal of Business Environment, 14(3), 277-302.
• Feniser, C., Dusa, S. & Sadeh, A. (2018, March). Factors that determine innovation in the hospitality industry from a managerial perspective. In International Conference on Tourism Research (pp. 41-VIII). Academic Conferences International Limited. 22-23 March, Jyvaskyla, Finland.
• Golafshani N. (2003). Understanding reliability and validity in qualitative research. The Qualitative Report, 8, 597-607.
• González-González, T. & García-Almeida, D. J. (2021). Frontline employee-driven innovation through suggestions in hospitality firms: The role of the employee’s creativity, knowledge, and motivation. International Journal of Hospitality Management, 94, 102877.
• Gunday, G., Ulusoy, G., Kilic, K. & Alpkan, L. (2011). Effects of innovation types on firm performance. International Journal of Production Economics, 133(2), 662-676.
• Hekkert, M. P., Suurs, R. A., Negro, S. O., Kuhlmann, S. & Smits, R. E. (2007). Functions of innovation systems: A new approach for analysing technological change. Technological Forecasting and Social Change, 74(4), 413-432.
• Horng, J. S., Wang, C. J., Liu, C. H., Chou, S. F. & Tsai, C. Y. (2016). The role of sustainable service innovation in crafting the vision of the hospitality industry. Sustainability, 8(3), 223.
• Hospitality.net. Available online: https://www.hospitalitynet.org/viewpoint/125000193.html (accessed on 10 January 2024).
• Jessica Hwang, L. J. & Lockwood, A. (2006). Understanding the challenges of implementing best practices in hospitality and tourism SMEs. Benchmarking: An International Journal, 13(3), 337-354.
• Jimenez-Jimenez, D., Martínez-Costa, M. & Sanchez Rodriguez, C. (2019). The mediating role of supply chain collaboration on the relationship between information technology and innovation. Journal of Knowledge Management, 23(3), 548-567.
• Kallmuenzer, A. (2018). Exploring drivers of innovation in hospitality family firms. International Journal of Contemporary Hospitality Management, 30(3), 1978-1995.
• Kattara, H. S. & El-Said, O. A. (2013). Innovation strategies: The implementation of creativity principles in Egyptian hotels. Tourism and Hospitality Research, 13(3), 140-148.
• Kazandzhieva, V., Ilieva, G. & Filipova, H. (2017). The impact of technological innovations on hospitality service. In Conference paper of Contemporary Tourism Traditions and Innovations. 19-21 October, Sofia, Bulgaria.
• Khan, M. & Khan, M. A. (2009). How technological innovations extend services outreach to customers: The changing shape of hospitality services taxonomy. International Journal of Contemporary Hospitality Management, 21(5), 509-522.
• Kim, T., Jo, H., Yhee, Y. & Koo, C. (2022). Robots, artificial intelligence, and service automation (RAISA) in hospitality: Sentiment analysis of YouTube streaming data. Electronic Markets, 32(1), 259-275.
• Kitsios, F. C. & Grigoroudis, E. (2020). Evaluating service innovation and business performance in tourism: A multicriteria decision analysis approach. Management Decision, 58(11), 2429-2453.
• Kitsios, F. & Kamariotou, M. (2021). Service innovation process digitization: Areas for exploitation and exploration. Journal of Hospitality and Tourism Technology, 12(1), 4-18.
• Kuo, C. M., Chen, L. C. & Tseng, C. Y. (2017). Investigating an innovative service with hospitality robots. International Journal of Contemporary Hospitality Management, 29(5), 1305-1321.
• Laouni, N. E. (2021). Principals’ technological competencies and technology integration in Moroccan public schools. International Journal of Leadership in Education, 1-23.
• Laukkanen, T., Sinkkonen, S., Kivijärvi, M. & Laukkanen, P. (2007). Innovation resistance among mature consumers. Journal of Consumer Marketing, 24(7), 419-427.
• Lee, M., Ahn, J., Shin, M., Kwon, W. & Back, K. J. (2021). Integrating technology to service innovation: Key issues and future research directions in hospitality and tourism. Journal of Hospitality and Tourism Technology, 12(1), 19-38.
• Lee, S. O., Wu, Q. & Hyun, S. S. (2024). Hospitality and tourism experience in metaverse: An examination of users’ behavior, motivations, and preferences. Journal of Hospitality Marketing & Management, 1-17.
• Lendel, V. & Varmus, M. (2011). Creation and implementation of the innovation strategy in the enterprise. Economics and Management, 16(1), 819-826.
• Lim, S. E., Ok, C. M. & Yang, Y. (2024). A meta-analytic investigation of innovation predictors in tourism and hospitality organizations. Tourism Management, 105, 104965.
• Lin, C. J. & Lukodono, R. P. (2021). Sustainable human–robot collaboration based on human intention classification. Sustainability, 13(11), 5990.
• Martínez-Román, J. A., Gamero, J., Tamayo, J. A. & Delgado-González, L. (2020). Empirical analysis of organizational archetypes based on generation and adoption of knowledge and technologies. Technovation, 96, 102145.
• Martín-Rios, C. & Ciobanu, T. (2019). Hospitality innovation strategies: An analysis of success factors and challenges. Tourism Management, 70, 218-229.
• McKee, A. (2003). Textual analysis: A beginner’s guide. Sage: Thousand Oaks, CA, USA.
• Miron, E., Erez, M. & Naveh, E. (2004). Do personal characteristics and cultural values that promote innovation, quality, and efficiency compete or complement each other?. Journal of Organizational Behavior, 25(2), 175-199.
• Molina-Castillo, F. J., Meroño-Cerdán, A. L., Lopez-Nicolas, C. & Fernandez-Espinar, L. (2023). Innovation and technology in hospitality sector: Outcome and performance. Businesses, 3(1), 198-219.
• Morched, S., Ezzeddine, B. M. & Jarboui, A. (2023). The impact of innovation type on the performance and social responsibility of French manufacturing companies. Environment Systems and Decisions, 43(3), 433-452.
• Mushtaque, I., Waqas, H. & Awais-E-Yazdan, M. (2022). The effect of technostress on the teachers’ willingness to use online teaching modes and the moderating role of job insecurity during COVID-19 pandemic in Pakistan. International Journal of Educational Management, 36(1), 63-80.
• Nik Hashim, N. M. H., Hock Ann, Y., Ansary, A. & Xavier, J. A. (2022). Contingent effects of decision-making and customer centricity on public-sector innovation success. Journal of Nonprofit & Public Sector Marketing, 34(1), 36-70.
• Nissen, H. A., Evald, M. R. & Clarke, A. H. (2014). Knowledge sharing in heterogeneous teams through collaboration and cooperation: Exemplified through public–private-innovation partnerships. Industrial Marketing Management, 43(3), 473-482.
• Niu, R. H. & Fan, Y. (2018). An exploratory study of online review management in hospitality services. Journal of Service Theory and Practice, 28(1), 79-98.
• Njoroge, M., Anderson, W. & Mbura, O. (2019). Innovation strategy and economic sustainability in the hospitality industry. The Bottom Line, 32(4), 253-268.
• Park, H., Lee, M. & Back, K. J. (2023). A critical review of technology-driven service innovation in hospitality and tourism: current discussions and future research agendas. International Journal of Contemporary Hospitality Management, 35(12), 4502-4534.
• Patton, M.Q. (2002). Qualitative research and evaluation methods (3nd ed.). Sage, Thousand Oaks, CA.
• Pine, B. & Gilmore, J.H. (2011). The experience economy. Harvard Business Press: Boston, MA, USA,
• Pongsathornwiwat, A., Jeenanunta, C., Huynh, V. N. & Udomvitid, K. (2019). Can collaborative relationship stimulate innovation capability and improve performance in the hospitality industry?. International Journal of Innovation and Learning, 26(3), 321-342.
• Rane, N., Choudhary, S. & Rane, J. (2023). Sustainable tourism development using leading-edge Artificial Intelligence (AI), Blockchain, Internet of Things (IoT), Augmented Reality (AR) and Virtual Reality (VR) technologies. Retrieved March 10, 2023, from https://ssrn.com/abstract=4642605
• Reynolds, J. (2000). E-commerce: A critical review. International Journal of Retail & Distribution Management, 10(3), 417-44.
• Rogers, E. M. (1995). Diffusion of innovations (4nd ed.). New York: Free Press.
• Saleh, A. M., Othman, S. M., Ismail, K. H. & Shabila, N. P. (2022). Exploring Iraqi people’s perception about early marriage: A Qualitative Study. BMC Women's Health, 22(1), 393.
• Santa, R., Rodríguez Victoria, O. E. & Tegethoff, T. (2023). The role of quality in the hotel sector: The interplay between strategy, innovation and outsourcing to achieve performance. The TQM Journal, doi: 10.1108/TQM-01- 2023-0016.
• Sarooghi, H., Libaers, D. & Burkemper, A. (2015). Examining the relationship between creativity and innovation: A meta-analysis of organizational, cultural, and environmental factors. Journal of Business Venturing, 30(5), 714- 731.
• Saunders, M., Lewis, P. & Thornhill, A. (2000). Research methods for business students (2 nd ed.). Prentice Hall.
• Schmidt, T. & Rammer, C. (2007). Non-technological and technological innovation: Strange bedfellows?. ZEW- Centre for European Economic Research Discussion Paper, (07-052).
• Sembiring, R. & Sitorus, S. A. (2022). Tourism environmental factors perspective on product innovation strategies and marketing creativity towards hotel stay decisions in Indonesia. JETA: Journal of Environmental & Tourism Analyses, 10(1).
• Setianingsih, W. E. & Nursaidah, N. (2023). How does hotel service innovation affect experiential value and consumer decisions to stay in hotels?. Jurnal Manajemen Bisnis, 14(1), 162-178.
• Sharma, D. (2016). Enhancing customer experience using technological innovations: A study of the Indian hotel industry. Worldwide Hospitality and Tourism Themes, 8(4), 469-480.
• Shin, H. H., Shin, S. & Gim, J. (2023). Looking back three decades of hospitality and tourism technology research: A bibliometric approach. International Journal of Contemporary Hospitality Management, 35(2), 563-588.
• Singh, J., Flaherty, K., Sohi, R. S., Deeter-Schmelz, D., Habel, J., Le Meunier-FitzHugh, K. ... & Onyemah, V. (2019). Sales profession and professionals in the age of digitization and artificial intelligence technologies: Concepts, priorities, and questions. Journal of Personal Selling & Sales Management, 39(1), 2-22.
• Sozo, V. & Ogliari, A. (2019). Stimulating design team creativity based on emotional values: A study on idea generation in the early stages of new product development processes. International Journal of Industrial Ergonomics, 70, 38-50.
• Strauss, A.L. (1987). Qualitative analysis for social scientists. Cambridge University Press.
• Tadeu, H. F. B. & Silva, J. T. M. (2014). Management indicators and measurement of innovation: Review of the literature. Business Management Dynamics, 3(10), 52.
• Tai, Y. F., Wang, Y. C. & Luo, C. C. (2021). Technology-or human-related service innovation? Enhancing customer satisfaction, delight, and loyalty in the hospitality industry. Service Business, 15, 667-694.
• Tajeddini, K. & Trueman, M. (2012). Managing Swiss hospitality: How cultural antecedents of innovation and customer-oriented value systems can influence performance in the hotel industry. International Journal of Hospitality Management, 31(4), 1119-1129.
• Talegeta, S. (2014). Innovation and barriers to innovation: Small and medium enterprises in Addis Ababa. Journal of Small Business and Entrepreneurship Development, 2(1), 83-106.
• Tweneboah-Koduah, E. Y., Anning-Dorson, T. & Nyamekye, M. B. (2020). Impact of customization and innovation on hospitality firms’ performance. Journal of Hospitality Marketing & Management, 29(1), 106-120.
• Vargo, S.L., Maglio, P.P. & Akaka, M.A. (2008). On value and value co-creation: A service systems and service logic perspective. European Management Journal, 26(3), 145-152.
• Victorino, L., Verma, R., Plaschka, G. & Dev, C. (2005). Service innovation and customer choices in the hospitality industry. Managing Service Quality: An International Journal, 15(6), 555-576.
• Wasik, Z., Nugroho, K. C. & Suhermawan, D. (2023). Impact of service inovation behaviour on service development in hospitality industries (research on hotels & restaurant in east java Indonesia). Journal of Managerial Sciences and Studies, 1(1), 40-54.
• Zhang, X., Tavitiyaman, P. & Tsang, W. Y. (2023). Preferences of technology amenities, satisfaction and behavioral intention: The perspective of hotel guests in Hong Kong. Journal of Quality Assurance in Hospitality & Tourism, 24(5), 545-575.
• Zhong, L., Xu, Z., Morrison, A. M., Li, Y. & Zhu, M. (2023). Metaverse customer journeys in tourism: building viable virtual worlds. Tourism Review, doi: 10.1108/TR-07-2023-0492.