Building trust with a personal touch

Apr. 30, 2021

Home-sharing businesses have grown rapidly, but common challenges of service failures prevail. Unlike hotels, home-sharing services do not control the service experience. Rather, it is the independent hosts that do, leading to potential inconsistency and service failures. Lu Lu and Ceridwyn King highlight how independent hosts can ensure guests have a positive experience. 

King and Lu suggest that home-sharing hosts who adopt a more personal, friendship-like style, rather than a more professional one, establish more trust with their guests. Thus, guests are more likely to forgive service failures that occur. The authenticity driving consumers to home-sharing services over traditional hotels supports the view that a personal, heart-felt apology is more effective than financial compensation.