Defining the "Hip Factor": Analysis of Location Properties, SNS Usage, and Other "Hip-Place" Characteristics That Influence Visitor Satisfaction

Abstract

A "hip place" (a shop, neighborhood, communal outdoor space, district, etc.) offers something unique, lively, and attractive to people. Business areas that are considered hip places often gain popularity through social network services, especially among young people. However, the recent decline of "hip" businesses has led to increased closure rates for small businesses and increased social costs individually and nationally. The purpose of the study was to clarify the characteristics that allow for the sustainability of hip businesses and the surrounding areas. This study analyzed location properties, SNS usage, and other "hip-place" characteristics that influence visitor satisfaction and explored the implications. A survey was directly conducted among millennials aged 20-39 years in the popular Eulji-ro 3 and 4 districts of Seoul, Korea, a place to gain popularity as a new "hip place". This study focused on a comparison of factors influencing visitor satisfaction between users and non-users of Instagram and how Instagram usage behavior and location characteristics affect visitors' "hip-place" satisfaction. Ordinal logistic regression was conducted; overall satisfaction was the dependent variable, and the location characteristics and Instagram usage behavior were independent variables. The results showed a difference in the satisfaction factors between Instagram users and non-users among hip-place visitors. Customer satisfaction included walking safety, cultural event experience, preference for a new place, quality, service, atmosphere, photo conformity, and uploading frequency. The results provide empirical evidence and implications for the management of future commercial areas and businesses considered as "hip places".