Customer Resistance to Tourism Innovations: Entrepreneurs’ Understanding and Management Strategies

Abstract

Customer resistance is the greatest risk to innovation for the entrepreneur. The aim of this exploratory study is to provide insights into this underdeveloped area in the tourism innovation literature. A qualitative approach is adopted to understand the resistance experienced by 57 entrepreneurs when introducing their innovations into the market, the causes and the actions taken to minimize resistance. Findings indicate that most entrepreneurs often encounter resistance from sceptical customers, satisfied with their status quo and with no or low appetites for innovation. The analysis reveals two main sources of resistance: the association of the innovations with particular risks, and the customers' lack of understanding of the innovation value. Communication strategies are crucial to decrease the associated risks and for trust building. The article provides a critical perspective on the challenges faced by innovators, challenges that are often overlooked given the near-iconic status of innovation in studies of economic development.

New technology and tourism industry innovation: evidence from audio-visual patented technologies

“…Figure 1 illustrates this growing trend in audio-visual patterns in tourism and is in line with researchers' assertion that the development of internet and digital tools has created several possibilities for innovations in tourism (Wang et al, 2016). The study, however, is one of the few ones to explore innovation in tourism via longitudinal data, facilitating a better understanding of the dynamic and complex innovation process (Rodriguez-Sanchez et al, 2020;Williams et al, in press).…”

“…From Table 2 it becomes evident that tourism audio-visual patents registered have the second highest rate of growth after micro-structural and nano-technology, and they surpass well-known innovative sectors like food chemistry and telecommunications, further validating the classification of tourism as an innovation-oriented sector. This finding is surprising considering the recognised lack of empirical research documenting innovation in tourism (Rodriguez-Sanchez et al, 2020;Williams et al, in press;Singh et al, 2020;Valenca et al, 2020). 2 Here] The next step involved performing content analysis of the identified 4,237 patents' abstracts.…”

Online Tourist Behavior of the Net Generation: An Empirical Analysis in Taiwan Based on the AISAS Model

“…Xu, Hao, and Han argued that information search has become an important part of the behavior of Net Generation consumers who communicate easily with other people by taking advantage of the characteristics of Internet communities [67]. Sánchez, Williams, and García-Andreu suggested that communication strategies are essential to reduce risks and build trust [86]. However, information search in different stages has a varying influence on action.…”

Innovation, Risk, and Uncertainty: A Study of Tourism Entrepreneurs

“…Innovation begins when entrepreneurs sense a new opportunity. This discovery task can be a source of uncertainty especially if the gap identified is not closely aligned with the customers’ needs (Rodriguez, Williams, and Andreu 2019). After the discovery, the innovative idea is repeatedly evaluated through engaging with informed individuals, undertaking preliminary market testing or financial viability analysis (Rodriguez, Williams, and Brotons 2017).…”

“…The innovation process culminates with the commercialization or adoption of the innovation, the moment of truth when the assessment of risks and uncertainties is ultimately tested. Most innovations fail because of limited market understanding and failure to overcome customers’ resistance (Kleijnen, Lee, and Wetzels 2009; Heidenreich and Kraemer 2015; Rodriguez, Williams, and Andreu 2019), probably the most persistent of uncertainties, although the appearance of unanticipated competitors and poorly timed market entry are also important. Technological issues also emerge either because it is inadequate (poorly managed risk), or is undermined by unforeseen competing technologies (uncertainty).…”