Research

Employer branding in tourism

How to recruit, retain and motivate staff
How family-run tourism companies are becoming attractive employers despite a shortage of skilled workers and high staff turnover by integrating their unique family values and intangible employee appreciation
Alexander Plaikner, Marco Haid, Andreas Kallmuenzer & Sascha Kraus (2023)
Family values and identity as the basis for employer branding.
Intangible and appreciative incentives outweigh financial ones.
Lack of understanding of employer branding in the industry.
Family-like, personal, and authentic relationships strengthen employee loyalty.

Summary of this study

A fierce battle for talent has emerged - especially in the tourism industry, which is characterized by labor shortages and high turnover rates.

This situation challenges employers to secure a strategic competitive advantage through their most important asset, people. At the same time, companies must invest in their human capital in order to increase its value, which increases the importance of employer branding.

This paper therefore examines employer branding in the particular context of family businesses, the dominant form of tourism business. Here, employer branding takes on a dimension of its own, as the influence of the family merges the corporate and family identities. Building on previous research suggesting that labor issues often stem from leadership weaknesses and human resource management deficiencies, this thesis aims to comprehensively examine these multiple challenges and their relevance in the tourism industry.

The study uses a qualitative approach and utilizes 28 semi-structured interviews with managers, successors and HR managers in Tyrol, an established tourism region in Austria and Europe. The results show that the integration of family values and qualities as well as a company's identity- and value-based self-image and brand strategies are important factors for the recruitment and retention of employees. This study contributes to a deeper insight into the importance, opportunities and challenges of employer branding in family-run tourism businesses.

Key findings:

  • Fragmented understanding and unrecognized measures of employer branding: While the majority of business owners surveyed have heard of employer branding, their understanding of the term is often incomplete. In contrast, the employees surveyed are usually not familiar with the term at all. Companies are already implementing measures that can be attributed to employer branding, but often do not recognize them as such. Smaller companies are also often of the opinion that employer branding can only be implemented by larger companies and fear an increase in complexity.
  • Recognition of employees as the most important resource: Even if the necessity of a strategic implementation of employer branding is questioned by some companies, especially smaller structures, the high importance of employees is generally recognized. Companies see their employees as their most important resource, who are invaluable to their success. Employees are not seen as a burden, but as a source of profit, which is why investing in them is considered worthwhile.
  • Unique identity and advantages of family businesses: Family businesses in tourism have a unique organizational structure resulting from the intertwining of corporate and family identity. This interdependence enables the development of unique brand strategies, as the communication of family values and qualities can be a convincing argument for employees. Family businesses also enjoy a reputational advantage, as the family is an integral part of the company and projects a positive image - linked to values such as sustainability, reliability and authenticity. A family working atmosphere and the management of the company as a "big family" have a positive effect on employee behavior.
  • The importance of intangible aspects and appreciation: For employees, intangible aspects such as an appreciative attitude towards employees, a good working atmosphere and responding to their needs are of crucial importance. Praise, recognition and constructive feedback are seen by employers as more motivating than small monetary rewards. Although fair pay and regulated working hours are basic requirements, they are not the most important factors for employee well-being. Interpersonal trust and meaningful company values play a greater role than purely monetary incentives.
University of Innsbruck
Labour force

Prepared for what lies ahead in tourism