Generational Value Co-Creation

Decoding Generational Differences: A Hospitality Guide to Co-Creation

Lena Voss in Culture & Society August 2025 • 3 min read.

"Unlock the secrets to engaging Baby Boomers, Gen X, and Millennials in value co-creation and elevate your hospitality strategy."

In today's dynamic market, hospitality and tourism providers are constantly seeking innovative strategies to gain a competitive edge. One powerful approach is value co-creation, where businesses collaborate with customers to design personalized experiences and foster stronger relationships.

However, effectively implementing value co-creation requires a deep understanding of different customer segments, particularly generational cohorts. Baby Boomers, Generation X, and Millennials have distinct preferences, behaviors, and expectations. Failing to recognize these differences can lead to misdirected marketing efforts and missed opportunities.

This article delves into the research of Lenna V. Shulga, James A. Busser, and Hyelin (Lina) Kim, who explored generational profiles in value co-creation interactions. By analyzing their findings, we can gain valuable insights into how to tailor hospitality and tourism marketing efforts to resonate with each generation.

Understanding the Generational Landscape: Key Differences in Value Co-Creation

Shulga, Busser, and Kim's research highlights significant differences in how Baby Boomers, Generation X, and Millennials perceive and engage in value co-creation. Here’s a breakdown of the key findings for each group:

For Baby Boomers:

Friendship Matters: Strong commercial friendships with hospitality providers significantly enhance their satisfaction and trust.
Company-Initiated Co-Creation: They prefer when the company takes the lead in initiating co-creation activities, particularly in co-recovery (service failure resolution) and co-innovation (new product development).
Loyalty Boost: Female Baby Boomers, married individuals, and those with two-year college degrees exhibit higher loyalty levels.

For Generation X:

Future Trends and Further Research

The insights gained from this study underscore the importance of tailoring hospitality and tourism strategies to resonate with different generational cohorts. Future research should explore these dynamics in various service contexts, examine the role of technology, and investigate cultural nuances to refine our understanding of generational value co-creation.

About this Article -

This article was crafted using a human-AI hybrid and collaborative approach. AI assisted our team with initial drafting, research insights, identifying key questions, and image generation. Our human editors guided topic selection, defined the angle, structured the content, ensured factual accuracy and relevance, refined the tone, and conducted thorough editing to deliver helpful, high-quality information.See our About page for more information.

This article is based on research published under:

DOI-LINK: 10.1080/19368623.2017.1340218, Alternate LINK

Title: Generational Profiles In Value Co-Creation Interactions

Subject: Marketing

Journal: Journal of Hospitality Marketing & Management

Publisher: Informa UK Limited

Authors: Lenna V. Shulga, James A. Busser, Hyelin (Lina) Kim

Published: 2017-08-08

Everything You Need To Know

How can hospitality providers build stronger relationships with Baby Boomers through value co-creation?

According to Shulga, Busser, and Kim's research, hospitality providers can significantly enhance Baby Boomers' satisfaction and trust by fostering strong commercial friendships. This generation appreciates the company taking the lead in co-creation, especially in areas like co-recovery (addressing service failures) and co-innovation (developing new products). Focusing on these aspects can boost loyalty, particularly among female Baby Boomers, married individuals, and those with a two-year college degree.

What role does company-initiated co-creation play in satisfying Baby Boomers in the hospitality industry?

Baby Boomers show a preference for company-initiated co-creation activities. This means they favor hospitality providers that take the initiative in involving them in designing personalized experiences. The study by Shulga, Busser, and Kim reveals that Baby Boomers are particularly receptive to this approach in co-recovery, where the company actively resolves service failures, and co-innovation, where they can contribute to new product development.

Which generational cohort is most influenced by commercial friendships within the hospitality industry?

Baby Boomers are the most influenced by commercial friendships. The research by Shulga, Busser, and Kim highlights that Baby Boomers' satisfaction and trust are significantly enhanced by strong commercial relationships with hospitality providers. This suggests that hospitality providers should prioritize building and nurturing these friendships to foster loyalty and positive experiences within this generation.

How does co-creation impact loyalty among Baby Boomers, according to the study by Shulga, Busser, and Kim?

The study indicates that co-creation, particularly when initiated by the company, has a positive impact on loyalty among Baby Boomers. Specifically, female Baby Boomers, married individuals, and those with two-year college degrees exhibit higher loyalty levels. This suggests that tailoring co-creation strategies to align with these demographics can effectively boost customer retention and satisfaction.

What are the key takeaways from Shulga, Busser, and Kim's research for hospitality and tourism providers?

The primary takeaway is the importance of tailoring hospitality and tourism strategies to resonate with different generational cohorts. The research underscores that understanding the unique preferences, behaviors, and expectations of Baby Boomers, Generation X, and Millennials is crucial for effective value co-creation. By recognizing these differences, providers can avoid misdirected marketing efforts and create more personalized experiences that foster stronger customer relationships. Future research should delve deeper into these dynamics, considering various service contexts, the role of technology, and cultural nuances.