Millennials, sharing economy and tourism: the case of Seoul

Abstract

Purpose: The purpose of this paper is to illustrate the “Sharing City, Seoul” (SCS) project in order to highlight the role that Millennials are playing in transforming the tourist market by relying on the tools of the sharing economy. The Korean project, in fact, is promoting and favoring online Millennial enterpreneurship, thus impacting also on the tourism sector. Design/methodology/approach: A three-stage methodology – based on in-depth interviews with the “sharing organizations” (SOs) involved in the SCS project, participant observation, and institutional and online materials – has made it possible to comprehend how Millennials are changing the travel and tourism landscape in Seoul through disruptive innovation of the sharing economy, and to propose some broad recommendations for the tourism market. Findings: The research, analyzing the SCS project, highlights the increasing purchasing power of Millennials, confirming the importance of adopting a generational perspective to understand needs and tendencies of this generation and orient the tourist market. The SOs interviewed for the research, mainly founded and managed by Millennials, demonstrated to know how to recognize, intercept and satisfy the styles, personalities and requests of tourists, especially Millennials. Thus, Millennials are able to enter in the market not only as users and travelers, but also as entrepreneurs and creators of new online travel services. Research limitations/implications: A further analysis should include interviews also with the funders and staff members of the other sharing enterprises that operate in the tourism sector. Moreover, a map of the current state of the sharing enterprises is suggested in order to determine whether or not the number of enterprises with a tourism vocation involved in the project is growing and under which conditions. This map would also be helpful to frame new tendencies in the sharing tourism industry and to monitor the role of Millennials in the market. It would be helpful to compare the Korean case with that of other Asian countries. Originality/value: Through the analysis of the Korean case, the research shows that Millennials are massive users of traveler sharing platforms. At the same time they are able to enter the tourist market not only as users and travelers but also as entrepreneurs and creators of new online travel services. The paper offers some broad indications to help in orienting the future tourism market so that it takes account of the growing presence and purchasing power of Millennials.