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Labelling and Differentiation Strategy in the Recreational-Housing Rental Market of Rural Destinations: the French Case

Abstract : In France the rural recreational-housing rental market is composed of two parts: the market for non-labelled lodgings and that for labelled ones. Two national federations that have branches in each region manage the labelled segment. In this article the hedonic price approach is developed: (i) to recover the labelling premium in the recreational-housing rental market of rural destinations in France and (ii) to examine the two federations' differentiation strategies. We use a database for the Aveyron region for the summer season of the year 2002. The data for labelled lodgings are drawn from catalogues, while the information for non-labelled ones was gathered from local tourism information catalogues. The study reveals that labels are indeed valued positively by the market. The labelling premium can attain 129¤ per week in peak season. Moreover, environmental variables (e.g. population density of the commune in which the lodging is located) are the key variables of differentiation in the labelled lodgings market. The results can assist federation managers in defining labelling and pricing strategies. They also suggest some new orientations of public actions for the development of this type of accommodation in rural destinations.
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https://hal.inrae.fr/hal-02588199
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Submitted on : Friday, May 15, 2020 - 12:34:24 PM
Last modification on : Wednesday, May 20, 2020 - 3:20:09 PM

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  • HAL Id : hal-02588199, version 1
  • IRSTEA : PUB00020127

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Mbolatiana Rambonilaza. Labelling and Differentiation Strategy in the Recreational-Housing Rental Market of Rural Destinations: the French Case. Tourism Economics, IP Publishing, 2006, 12 (3), pp.347-359. ⟨hal-02588199⟩

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