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This research note sheds light on the regional dimension underlying peer-to-peer accommodation (P2PA) in urban and rural areas. Using a survey on Australian residents’ use of P2PA, empirical results show that economic benefits and local experience are not strong motives in urban areas unlike the rural areas. Unlike previous studies, locational benefits were a deterrent in urban areas and more so in rural areas, while social experience, home benefits, or the sharing economy philosophy have no effect on P2PA demand. These findings are not only useful for P2PA hosts to market their services in urban and rural areas but they inform traditional accommodation providers in different locations to devise strategies to lure customers away from P2PA.

Is there an urban-rural divide in the demand for peer-to-peer accommodation sharing?