Exploring Bypass Practices on Sharing Platforms: A Typology of Users Who Bypass and Those Who Don’t

Abstract

Bypassing occurs on sharing platforms when users decide to finalize the exchange directly with each other and engage in tactics to circumvent the payment stage. While previous studies have focused on the antecedents associated with bypass practices, more research is needed to better understand the prevalence of bypassing, which bypass practices are enacted, which types of users bypass, and which do not. Using a mixed-methods design, we first conduct semi-structured interviews (N = 19) to identify several motivations behind bypass tactics that complement the existing literature. We also establish four different bypassing behaviors: (1) paying the other peer directly, (2) transacting via another platform, (3) a combination of on- and off-platform booking, and (4) repeat transactions. Next, by carrying out cluster analysis on a sample of Airbnb users (N = 416), we uncover three groups of bypassers: serial maximizers, rookies, and safe players. Further analysis of Airbnb users who have never bypassed shows that they can be categorized into three additional segments: risk-conscious users, hassle-avoiders, and borderline bypassers. Each of these six groups corresponds to a specific profile, which we describe and characterize based on motivational, relational, and psychographic factors. This research provides an actionable segmentation framework that will help sharing platform managers develop tailored bypass mitigation strategies.