This document analyzes AirBnB and its superior performance. It summarizes AirBnB's marketing environment and strategies. Regarding the environment: political/legal issues posed challenges but regulations are changing; the economic crisis increased demand for cheaper accommodations. Regarding strategies: AirBnB's offers authentic local living at lower prices than hotels; extensive digital promotion expanded globally; future success requires expanding customer segments and improving security standards while promoting the brand.
This document contains an 8-part agenda for an Airbnb 2020 strategic planning meeting. It includes an executive summary that outlines enhancing customer service, building on their peer-to-peer business model, and expanding revenue growth in the US and emerging countries. Subsequent sections provide an economic overview of the growing business travel industry, details on Airbnb's business model and founders, a SWOT analysis, a 5-year strategic plan focusing on customer service, business travel, and expansion, revenue and cost projections, and a conclusion.
The marketing plan aims to expand Airbnb's website and mobile applications to offer more travel features to meet the needs of its global clientele. It proposes an advertising budget of $405,730 and additional investments totaling $2,350,000. A six-month marketing campaign from January to June 2014 will use banner ads, direct mail, airport banners, and increased social media presence on platforms like Facebook and blogs. The goals are to increase brand awareness, recruit more hosts, and boost online bookings. Metrics like consumer feedback and employee satisfaction will be used to evaluate the campaign's effectiveness.
This document discusses Airbnb as an example of a niche market that has expanded significantly. It analyzes Airbnb's marketing strategies that have enabled this growth, including targeting customers seeking authentic experiences, using hashtags and video in campaigns, personalizing search results, and integrating additional travel services. The document also notes challenges like negative press over tax avoidance issues.
Airbnb, Inc. Strategic Plan 2017-2021 MBA - strategic Management Assignment...Mohie Ismail
Airbnb's 2017-2021 strategic plan outlines goals to become the world leader in the internet-based accommodation industry. Key strategies include related diversification through acquiring hotels in Morocco and Egypt, product development such as a "from home to home" package utilizing partnerships, market penetration in existing markets through marketing, and market development in Middle East and Africa. One-year objectives are to develop new hotel acquisition plans, finalize a partnership with Uber, increase market growth and shares, enhance customer programs, and develop cultural/environmental initiatives. The plan aims to realize the vision through aggressive growth and adapting offerings to new markets and cultures.
Airbnb - Business analysis based on Porter 5 Forces David Morand
An analysis of Airbnb is conducted based on Porter 5 forces scheme. We developed a review of the forces influencing hotels and lodging industry. In a second phase we see how IT is influencing this forces and can be turn to advantages. Finally we define Airbnb business model and conduct a SWOT analysis.
Airbnb presentation - Paul Hayat (team3)Paul Hayat
- Airbnb is an online marketplace for people to list and book accommodations around the world. It was founded in 2008 and has grown significantly, now valued at $25.5 billion with over 2 million listings and 60 million users.
- Airbnb aims to increase its user base through search engine optimization, partnerships with companies like Virgin and American Express, and marketing strategies including paid search advertising and content optimization.
- While Airbnb has high user engagement, it faces challenges like legal issues over unauthorized listings, competition from other travel sites, and trust/image concerns that partnerships could help address. The document recommends ways Airbnb could boost rankings, referrals, loyalty and conversion rates.
This document contains an 8-part agenda for an Airbnb 2020 strategic planning meeting. It includes an executive summary that outlines enhancing customer service, building on their peer-to-peer business model, and expanding revenue growth in the US and emerging countries. Subsequent sections provide an economic overview of the growing business travel industry, details on Airbnb's business model and founders, a SWOT analysis, a 5-year strategic plan focusing on customer service, business travel, and expansion, revenue and cost projections, and a conclusion.
The marketing plan aims to expand Airbnb's website and mobile applications to offer more travel features to meet the needs of its global clientele. It proposes an advertising budget of $405,730 and additional investments totaling $2,350,000. A six-month marketing campaign from January to June 2014 will use banner ads, direct mail, airport banners, and increased social media presence on platforms like Facebook and blogs. The goals are to increase brand awareness, recruit more hosts, and boost online bookings. Metrics like consumer feedback and employee satisfaction will be used to evaluate the campaign's effectiveness.
This document discusses Airbnb as an example of a niche market that has expanded significantly. It analyzes Airbnb's marketing strategies that have enabled this growth, including targeting customers seeking authentic experiences, using hashtags and video in campaigns, personalizing search results, and integrating additional travel services. The document also notes challenges like negative press over tax avoidance issues.
Airbnb, Inc. Strategic Plan 2017-2021 MBA - strategic Management Assignment...Mohie Ismail
Airbnb's 2017-2021 strategic plan outlines goals to become the world leader in the internet-based accommodation industry. Key strategies include related diversification through acquiring hotels in Morocco and Egypt, product development such as a "from home to home" package utilizing partnerships, market penetration in existing markets through marketing, and market development in Middle East and Africa. One-year objectives are to develop new hotel acquisition plans, finalize a partnership with Uber, increase market growth and shares, enhance customer programs, and develop cultural/environmental initiatives. The plan aims to realize the vision through aggressive growth and adapting offerings to new markets and cultures.
Airbnb - Business analysis based on Porter 5 Forces David Morand
An analysis of Airbnb is conducted based on Porter 5 forces scheme. We developed a review of the forces influencing hotels and lodging industry. In a second phase we see how IT is influencing this forces and can be turn to advantages. Finally we define Airbnb business model and conduct a SWOT analysis.
Airbnb presentation - Paul Hayat (team3)Paul Hayat
- Airbnb is an online marketplace for people to list and book accommodations around the world. It was founded in 2008 and has grown significantly, now valued at $25.5 billion with over 2 million listings and 60 million users.
- Airbnb aims to increase its user base through search engine optimization, partnerships with companies like Virgin and American Express, and marketing strategies including paid search advertising and content optimization.
- While Airbnb has high user engagement, it faces challenges like legal issues over unauthorized listings, competition from other travel sites, and trust/image concerns that partnerships could help address. The document recommends ways Airbnb could boost rankings, referrals, loyalty and conversion rates.
The document analyzes Airbnb's business model using several frameworks. A SWOT analysis finds strengths in Airbnb's lower prices and unique experiences, but weaknesses in reliance on hosts and safety issues. Porter's five forces sees low threat of new entry but high threat of substitution. The business model canvas outlines Airbnb's customers, value propositions, and revenue streams from hosts and guests. A blue ocean strategy canvas explores creating value in new market spaces through the ERRC grid of eliminating, reducing, raising, and creating elements.
Airbnb began in 2008 by solving a problem of where to stay when visiting a new city. It has since grown to become one of the largest hospitality providers globally through key factors like building a trusted community, offering an innovative value proposition focused on authentic local experiences, and the founders' continuous entrepreneurial innovation. Airbnb grew through creative disruption of the industry, open innovation using community ideas, and relentless service innovation while keeping its core peer-to-peer model. Strategic international expansion, securing funding at key stages, and well-timed innovations fueled Airbnb's journey from a small startup to a global unicorn company valued at over $25 billion.
As there long coveted IPO is around the corner, I felt this was the proper time to release this analysis. Airbnb is a company that I’ve been fascinated by for quite some time. Their ability to reverse engineer and push through market resistance is undeniable. Airbnb has revolutionized our viewpoint on hotel and lodging. This analysis will evaluate the company's long-standing history and the barriers of entry endured. I believe it is important to understand the pure resilience of these founders. This analysis will also dissect their current performance as they recently reported an astounding $2.6 billion in revenue, bringing home $93 million in profit. These metrics blew away all internal forecasts which landed them a $31 billion-dollar valuation in May. Additionally, Airbnb is a private company making key performance indicators difficult to determine. As a result, I exhibit the factors I believe were used in evaluating Airbnb’s valuation. This report will discuss micro-level and macro-environmental factors that help and inhibit Airbnb. All of these subsidiaries have impactful effects on Airbnb and its outlook moving forward. Lastly, I discuss the effects of an economic disaster, and the problems it will cause when it happens. I also provide solutions that I believe would be extremely effective in a state of turmoil.
- AirBnB is proposing a new service called "AirBnB Reality" that would partner with real estate companies like Remax to allow home buyers to book temporary stays in homes they are interested in purchasing through the AirBnB platform.
- This would give buyers a chance to experience what it would be like to live in the home before committing to a purchase. They could then leave reviews and potentially purchase the home after their stay.
- AirBnB sees this as an opportunity to diversify into real estate sales while revolutionizing the home buying process and giving buyers a new way to find their forever home. Partnering with an established company like Remax would help them gain access to the real estate market.
The travel revolution - How Airbnb become a billion dollar company.
You can follow me if you want to grab other great resources, articles : http://twitter.com/gtabidze
This is a case study I had worked on as a first year MIM student at University of Maryland (College Park), while studying INFM612 (Management of Information Programs and Services), taught by Dr. Ping Wang - a wonderful Professor.
We were given 2 unfortunate incidents that had occurred with a guest and a host of Airbnb, and had to analyze the issues and suggest solutions that can help make Airbnb an even safer option for its guests and hosts.
Strategic plan harvard business review casestudy airbnb company Mohie Ismail
This document provides the Strategic Plan for Airbnb for 2017-2021. The plan provides an analysis and evaluation of Airbnb by reviewing the company’s strategic management, profitability and market competitiveness. Methods of analysis include Strategic Position & Action Evaluation (SPACE) Matrix, and Grand Strategy Selection Matrix as well as Situational Analysis.
Airbnb is an online marketplace that allows people to list and rent short-term lodging in their residential properties. It has over 800,000 listings in 192 countries and 20 million users. A SWOT analysis identifies strengths such as 24/7 availability and local experiences, but also weaknesses like disputes between guests and hosts and threats from growing competitors. A PESTLE analysis examines political, economic, social, technological, legal and environmental factors affecting the business. Porter's Five Forces model is used to assess competitive dynamics.
This document provides an audit and strategy for Airbnb's social media presence in 2017. It includes an assessment of current social media platforms, objectives to increase engagement and followers, and key dates. The strategy involves using paid, owned and earned media. Measurement will track website traffic, social media metrics and sentiment analysis. The plan aims to differentiate Airbnb through community building and sharing experiences across multiple platforms.
Airbnb is an online marketplace that connects people looking to rent out their homes and spaces with people seeking accommodations. Hosts list and rent out their unused spaces to travelers searching for lodging in 192 countries worldwide. Airbnb addresses problems of trust between strangers by vetting users and allowing them to build reputations through ratings and reviews. It also protects users' privacy and ensures it receives commissions by censoring contact information in messages between hosts and travelers on the site until a booking is made.
The document outlines Airbnb's social media strategy, including an audit of current platforms, objectives to increase engagement and traffic, and plans for content, paid advertising, and response protocols. Key points include focusing efforts on Facebook and Instagram given large audiences there. Goals are to increase unique visitors by 20% in 6 months through promoted content and monitoring for brand mentions. Roles, policies, measurement metrics, and qualitative feedback are also defined.
This document provides an overview of a campaign proposal for Airbnb created by Overstep Communications. It begins with an executive summary describing Airbnb's history, current challenges around lack of awareness and security concerns, and the target audience of millennials in the US, China, and Korea. The rest of the document includes a situation analysis of Airbnb, research on the target audience, and recommendations for campaign goals, creative strategies, media strategies, and promotional strategies to increase sign-ups and address security concerns. The overall goal is to get more people to sign up as Airbnb members.
The Airbnb-related research cited throughout this slide deck has been
assembled as part of a brand storytelling assignment for my
Media Psychology graduate degree with Fielding Graduate University, which I completed in June 2019.
Airbnb is a privately owned, accommodation rental website that has mushroomed in popularity and usage over the past 10 years and 600+ million guests since first launching on 2008. But that’s just the paradigmatic take. The real narrative, however, that the company leverages is far different.
Do you like what you've read here?
Do you have any comments?
Questions?
Want to retain me for digital/social strategy or brand storytelling consulting?
OR perhaps you'd like one of my custom illustrations as shown on slide 8?
Whatever you'd like to connect about, please do reach out and share comments using my email address: mayra@ruizmcpherson.com.
Airbnb is an online marketplace that connects people looking to rent their homes with travelers seeking accommodations. Founded in 2008, it has grown to facilitate over 60 million guest stays across 192 countries annually. While it has disrupted the hotel industry, Airbnb's home-sharing model has also faced regulatory issues regarding taxation and safety. The document examines Airbnb's history and operations, as well as examples of regulations and controversies in various locations worldwide.
Airbnb Case Study Strategic Management PlanMohamed Hossam
The strategic plan document outlines Airbnb's vision, mission, SWOT analysis, space matrix, goals, strategies, and objectives. The team's vision is to make the world everybody's home. The mission is for Airbnb to be a trusted online marketplace for unique accommodations. A SWOT analysis identifies strengths like lower prices than hotels, while threats include regulations and competitors. The space matrix shows financial strength and industry strength. Goals are to increase market share and savings. Strategies include market penetration, product development, and market development. Objectives have 2-year targets for metrics like number of users and bookings.
Airbnb is an online marketplace that connects people looking to rent their homes with travelers seeking accommodations. Hosts list their available spaces and set prices, while travelers can browse listings, refine searches, and book accommodations. Both hosts and guests benefit from Airbnb's large network and customer-friendly features that aim to build trust, including public profiles, reviews, and a host guarantee of up to $1 million. However, risks remain such as potential property damage or lack of refunds for travelers.
Studied the aspects of Digital Business and How Does AIRBNB operates and maintains the relationship with their customers, we have also studied the Business Model Canvas for AIRBNB as well.
We have also seen the Fast Growth of AIRBNB and Geographical Presence for the same
McKinsey's 2022 ESG Report outlines the firm's approach to accelerating sustainable and inclusive growth through its work with clients, insights, actions, and giving. McKinsey partners with over 600 clients on sustainability engagements and digital transformations. It aims to be a leader in decarbonization and inclusive growth by helping clients reduce emissions, create jobs, and build diverse workforces. McKinsey also works to incorporate ESG priorities into its own operations through responsible business practices, diversity initiatives, and social impact programs.
This document discusses Airbnb and its impact on the hotel industry. It begins by defining the sharing economy and how Airbnb fits within that trend. It then summarizes Airbnb's business model, rapid growth, and key reasons for its success, which include meeting consumer needs for value, personalization, and empowerment. The document also outlines some of the challenges Airbnb faces, such as regulation and competition from sites focused on luxury rentals, family travel, or hotel services. In conclusion, while Airbnb is disruptive to the hotel industry, hotels are working to address consumer trends and fight back with enhanced loyalty programs and personalized offers.
This document provides an overview of the peer-to-peer accommodation marketplace Airbnb. It discusses how collaborative consumption allows people to share access to goods and services rather than individual ownership. Airbnb allows people to list, discover, and book unique accommodations around the world. The process for booking is described in a few steps. Benefits include reduced costs and carbon footprint as well as positive social interactions. Safety concerns are mentioned regarding guarantees for guests and hosts. Airbnb aims to provide a more personal travel experience compared to hotels.
This document discusses the history and development of Total Quality Management (TQM). It describes Walter Shewhart as the "grandfather" of TQM for establishing the foundations of statistical process control. The key figure was Walter Edwards Deming, who is considered the "father" of TQM. Deming studied under Shewhart and applied statistical methods to management. He greatly influenced Japanese business practices after World War 2, helping transform their economy. While it took longer for Americans to adopt Deming's approaches, his emphasis on quality management and eliminating defects became widely used. TQM aims to meet customer needs through efficient production and continuous improvement.
Economia del compartir 15 plataformas que quizas no conociasFrancesc Balagué
Este documento lista 15 plataformas de economía colaborativa como Airbnb, Vayable, Trip4Real, Spinlister, Lyft, Sidecar, TaskRabbit, RelayRides, Carpooling, Blablacar, DogVacay, SnapGoods, SocialCar, CameraLends y CouchSurfing, así como dos extras de FlightFox y Akoranga.org. La lista no pretende ser exhaustiva y se anima a los lectores a sugerir otras plataformas para añadir.
The document analyzes Airbnb's business model using several frameworks. A SWOT analysis finds strengths in Airbnb's lower prices and unique experiences, but weaknesses in reliance on hosts and safety issues. Porter's five forces sees low threat of new entry but high threat of substitution. The business model canvas outlines Airbnb's customers, value propositions, and revenue streams from hosts and guests. A blue ocean strategy canvas explores creating value in new market spaces through the ERRC grid of eliminating, reducing, raising, and creating elements.
Airbnb began in 2008 by solving a problem of where to stay when visiting a new city. It has since grown to become one of the largest hospitality providers globally through key factors like building a trusted community, offering an innovative value proposition focused on authentic local experiences, and the founders' continuous entrepreneurial innovation. Airbnb grew through creative disruption of the industry, open innovation using community ideas, and relentless service innovation while keeping its core peer-to-peer model. Strategic international expansion, securing funding at key stages, and well-timed innovations fueled Airbnb's journey from a small startup to a global unicorn company valued at over $25 billion.
As there long coveted IPO is around the corner, I felt this was the proper time to release this analysis. Airbnb is a company that I’ve been fascinated by for quite some time. Their ability to reverse engineer and push through market resistance is undeniable. Airbnb has revolutionized our viewpoint on hotel and lodging. This analysis will evaluate the company's long-standing history and the barriers of entry endured. I believe it is important to understand the pure resilience of these founders. This analysis will also dissect their current performance as they recently reported an astounding $2.6 billion in revenue, bringing home $93 million in profit. These metrics blew away all internal forecasts which landed them a $31 billion-dollar valuation in May. Additionally, Airbnb is a private company making key performance indicators difficult to determine. As a result, I exhibit the factors I believe were used in evaluating Airbnb’s valuation. This report will discuss micro-level and macro-environmental factors that help and inhibit Airbnb. All of these subsidiaries have impactful effects on Airbnb and its outlook moving forward. Lastly, I discuss the effects of an economic disaster, and the problems it will cause when it happens. I also provide solutions that I believe would be extremely effective in a state of turmoil.
- AirBnB is proposing a new service called "AirBnB Reality" that would partner with real estate companies like Remax to allow home buyers to book temporary stays in homes they are interested in purchasing through the AirBnB platform.
- This would give buyers a chance to experience what it would be like to live in the home before committing to a purchase. They could then leave reviews and potentially purchase the home after their stay.
- AirBnB sees this as an opportunity to diversify into real estate sales while revolutionizing the home buying process and giving buyers a new way to find their forever home. Partnering with an established company like Remax would help them gain access to the real estate market.
The travel revolution - How Airbnb become a billion dollar company.
You can follow me if you want to grab other great resources, articles : http://twitter.com/gtabidze
This is a case study I had worked on as a first year MIM student at University of Maryland (College Park), while studying INFM612 (Management of Information Programs and Services), taught by Dr. Ping Wang - a wonderful Professor.
We were given 2 unfortunate incidents that had occurred with a guest and a host of Airbnb, and had to analyze the issues and suggest solutions that can help make Airbnb an even safer option for its guests and hosts.
Strategic plan harvard business review casestudy airbnb company Mohie Ismail
This document provides the Strategic Plan for Airbnb for 2017-2021. The plan provides an analysis and evaluation of Airbnb by reviewing the company’s strategic management, profitability and market competitiveness. Methods of analysis include Strategic Position & Action Evaluation (SPACE) Matrix, and Grand Strategy Selection Matrix as well as Situational Analysis.
Airbnb is an online marketplace that allows people to list and rent short-term lodging in their residential properties. It has over 800,000 listings in 192 countries and 20 million users. A SWOT analysis identifies strengths such as 24/7 availability and local experiences, but also weaknesses like disputes between guests and hosts and threats from growing competitors. A PESTLE analysis examines political, economic, social, technological, legal and environmental factors affecting the business. Porter's Five Forces model is used to assess competitive dynamics.
This document provides an audit and strategy for Airbnb's social media presence in 2017. It includes an assessment of current social media platforms, objectives to increase engagement and followers, and key dates. The strategy involves using paid, owned and earned media. Measurement will track website traffic, social media metrics and sentiment analysis. The plan aims to differentiate Airbnb through community building and sharing experiences across multiple platforms.
Airbnb is an online marketplace that connects people looking to rent out their homes and spaces with people seeking accommodations. Hosts list and rent out their unused spaces to travelers searching for lodging in 192 countries worldwide. Airbnb addresses problems of trust between strangers by vetting users and allowing them to build reputations through ratings and reviews. It also protects users' privacy and ensures it receives commissions by censoring contact information in messages between hosts and travelers on the site until a booking is made.
The document outlines Airbnb's social media strategy, including an audit of current platforms, objectives to increase engagement and traffic, and plans for content, paid advertising, and response protocols. Key points include focusing efforts on Facebook and Instagram given large audiences there. Goals are to increase unique visitors by 20% in 6 months through promoted content and monitoring for brand mentions. Roles, policies, measurement metrics, and qualitative feedback are also defined.
This document provides an overview of a campaign proposal for Airbnb created by Overstep Communications. It begins with an executive summary describing Airbnb's history, current challenges around lack of awareness and security concerns, and the target audience of millennials in the US, China, and Korea. The rest of the document includes a situation analysis of Airbnb, research on the target audience, and recommendations for campaign goals, creative strategies, media strategies, and promotional strategies to increase sign-ups and address security concerns. The overall goal is to get more people to sign up as Airbnb members.
The Airbnb-related research cited throughout this slide deck has been
assembled as part of a brand storytelling assignment for my
Media Psychology graduate degree with Fielding Graduate University, which I completed in June 2019.
Airbnb is a privately owned, accommodation rental website that has mushroomed in popularity and usage over the past 10 years and 600+ million guests since first launching on 2008. But that’s just the paradigmatic take. The real narrative, however, that the company leverages is far different.
Do you like what you've read here?
Do you have any comments?
Questions?
Want to retain me for digital/social strategy or brand storytelling consulting?
OR perhaps you'd like one of my custom illustrations as shown on slide 8?
Whatever you'd like to connect about, please do reach out and share comments using my email address: mayra@ruizmcpherson.com.
Airbnb is an online marketplace that connects people looking to rent their homes with travelers seeking accommodations. Founded in 2008, it has grown to facilitate over 60 million guest stays across 192 countries annually. While it has disrupted the hotel industry, Airbnb's home-sharing model has also faced regulatory issues regarding taxation and safety. The document examines Airbnb's history and operations, as well as examples of regulations and controversies in various locations worldwide.
Airbnb Case Study Strategic Management PlanMohamed Hossam
The strategic plan document outlines Airbnb's vision, mission, SWOT analysis, space matrix, goals, strategies, and objectives. The team's vision is to make the world everybody's home. The mission is for Airbnb to be a trusted online marketplace for unique accommodations. A SWOT analysis identifies strengths like lower prices than hotels, while threats include regulations and competitors. The space matrix shows financial strength and industry strength. Goals are to increase market share and savings. Strategies include market penetration, product development, and market development. Objectives have 2-year targets for metrics like number of users and bookings.
Airbnb is an online marketplace that connects people looking to rent their homes with travelers seeking accommodations. Hosts list their available spaces and set prices, while travelers can browse listings, refine searches, and book accommodations. Both hosts and guests benefit from Airbnb's large network and customer-friendly features that aim to build trust, including public profiles, reviews, and a host guarantee of up to $1 million. However, risks remain such as potential property damage or lack of refunds for travelers.
Studied the aspects of Digital Business and How Does AIRBNB operates and maintains the relationship with their customers, we have also studied the Business Model Canvas for AIRBNB as well.
We have also seen the Fast Growth of AIRBNB and Geographical Presence for the same
McKinsey's 2022 ESG Report outlines the firm's approach to accelerating sustainable and inclusive growth through its work with clients, insights, actions, and giving. McKinsey partners with over 600 clients on sustainability engagements and digital transformations. It aims to be a leader in decarbonization and inclusive growth by helping clients reduce emissions, create jobs, and build diverse workforces. McKinsey also works to incorporate ESG priorities into its own operations through responsible business practices, diversity initiatives, and social impact programs.
This document discusses Airbnb and its impact on the hotel industry. It begins by defining the sharing economy and how Airbnb fits within that trend. It then summarizes Airbnb's business model, rapid growth, and key reasons for its success, which include meeting consumer needs for value, personalization, and empowerment. The document also outlines some of the challenges Airbnb faces, such as regulation and competition from sites focused on luxury rentals, family travel, or hotel services. In conclusion, while Airbnb is disruptive to the hotel industry, hotels are working to address consumer trends and fight back with enhanced loyalty programs and personalized offers.
This document provides an overview of the peer-to-peer accommodation marketplace Airbnb. It discusses how collaborative consumption allows people to share access to goods and services rather than individual ownership. Airbnb allows people to list, discover, and book unique accommodations around the world. The process for booking is described in a few steps. Benefits include reduced costs and carbon footprint as well as positive social interactions. Safety concerns are mentioned regarding guarantees for guests and hosts. Airbnb aims to provide a more personal travel experience compared to hotels.
This document discusses the history and development of Total Quality Management (TQM). It describes Walter Shewhart as the "grandfather" of TQM for establishing the foundations of statistical process control. The key figure was Walter Edwards Deming, who is considered the "father" of TQM. Deming studied under Shewhart and applied statistical methods to management. He greatly influenced Japanese business practices after World War 2, helping transform their economy. While it took longer for Americans to adopt Deming's approaches, his emphasis on quality management and eliminating defects became widely used. TQM aims to meet customer needs through efficient production and continuous improvement.
Economia del compartir 15 plataformas que quizas no conociasFrancesc Balagué
Este documento lista 15 plataformas de economía colaborativa como Airbnb, Vayable, Trip4Real, Spinlister, Lyft, Sidecar, TaskRabbit, RelayRides, Carpooling, Blablacar, DogVacay, SnapGoods, SocialCar, CameraLends y CouchSurfing, así como dos extras de FlightFox y Akoranga.org. La lista no pretende ser exhaustiva y se anima a los lectores a sugerir otras plataformas para añadir.
Airbnb is a sharing economy platform that offers short-term accommodation and has grown significantly. This study estimates Airbnb's impact on the hotel industry in Texas by analyzing data from Airbnb and Texas hotels. The researchers use a difference-in-differences strategy to identify Airbnb's causal impact on hotel room revenue by exploiting variation in Airbnb adoption across cities over time.
Caso práctico realizado dentro del módulo de La Realidad Digital perteneciente al Máster de Comunicación y Publicidad Digital de IAB (2015-2016) consistente en la realización del Plan de Marketing Digital de la web de economía colaborativa especializada en alojamientos Airbnb
El documento proporciona una reseña histórica y de los productos y servicios de Starbucks. Explica que Starbucks se fundó en 1971 en Seattle y ha crecido para convertirse en una cadena internacional de cafés. Ofrece café de alta calidad y una experiencia relajante en sus tiendas. El documento también analiza los aspectos objetivos y subjetivos de la marca Starbucks y su estrategia de marketing.
With increased connectivity, networks at both a global and local level are growing rapidly whilst new communities can develop and flourish through digital channels. These allow for resources to be shared, swapped, borrowed and traded; bearing a new economy that favours access over ownership.
This is a dramatically different user experience context that demands a transformation of our approach to service design. In this session we will share findings from our global research that explored the experiences and opportunities involved in moving from an ownership economy to one built on access and sharing. In this presentation we present guidelines for creating value exchange networks and share some tools we’ve developed for creating networked services and business models in the sharing economy.
See also video of the presentation being delivered: http://youtu.be/b22vSxLXMsY
The document discusses the rise of the sharing economy. It argues that economic challenges like unemployment, debt, and scarce resources are driving the growth of collaborative consumption models enabled by new networking technologies. These models allow underutilized assets and skills to be monetized, creating new opportunities for both individuals and businesses. The sharing economy empowers people in developing economies and removes physical boundaries to access global markets. While concerns exist around regulation and data privacy, the networking effects of these new platforms are opening up new peer-to-peer models that are disrupting traditional industries and hierarchies.
The document discusses best practices for startup team management and development based on the teachings of Steve Blank. It addresses that a startup team should be minimal, including only roles necessary to validate a repeatable and scalable business model. The CEO is responsible for all other functions until a business model is proven. An ideal tech startup team includes a designer, engineer, and developer, with the CEO handling additional responsibilities. The document also outlines the four stages of team development and provides tools and methods for customer development, validation, and pivoting as needed based on customer feedback.
Disruptive Innovation And The Bankruptcy Of PolaroidChris Sandström
Polaroid declared bankruptcy in 2001 due to the disruptive shift from analog to digital photography. While Polaroid invested in digital technology starting in the 1980s, developing sensors with megapixels, it failed to develop a new business model for digital imaging and continued relying on selling film. As digital cameras provided instant photography more cheaply, Polaroid's competitive advantage was destroyed within years. Management became more focused on short-term profits and marketing of existing products rather than developing the new business model needed for digital photography.
The document summarizes a Lean Startup meetup focused on discussing when companies should pivot versus persevere. The meetup agenda included introductions, an overview of pivoting versus persevering, examples of company pivots, planning for the next meetup, and opportunities for discussion. The overview explained that a pivot is a structured course correction to test a new hypothesis about the product, business model, or growth strategy, while persevering means determining if progress is being made or a change is needed. Real case studies of company pivots were presented and discussed.
مفهوم طبقه در دانش جامعهشناسی مفهومی بسیار قدیمی و ریشهدار است. «طبقه» به معنای پایگاه اقتصادی و اجتماعی افرادی است که در یک جغرافیای محدود با یکدیگر زندگی میکنند و «طبقه» افراد عموماً نشاندهنده وضعیت کلی زندگی آنهاست. در هر دورهای طبقه توسط جامعهشناسان مختلف تحلیل و تبیین شده و معناها و شاخصهای مختلفی به آن افزوده شده است. طبقه عمدتاً به پایگاه اقتصادی و شیوههای تولید اقتصادی در هرجامعه بازمیگردد.
کاستلز به عصری که ما در آن زندگی میکنیم عصر اطلاعات و به جامعه، لقب جامعه اطلاعاتی داده است. در این عصر شیوه تولید اقتصادی تغییر کرده و مشخصههایی یافته که پیش از این تجربه نشده بوده است. تکنولوژی بدون شک یکی از پیشرانهای مهم این تغییر است. فلوریدا این اقتصاد را اقتصادی دانشبنیان و مبتنی بر خلاقیت میداند. اقتصادی که میل به خلاقیت دارد و به این نیاز خود با به وجود آمدن طبقهای به نام طبقه خلاق پاسخ میدهد. طبقه خلاق از نظر او کسانی هستند که فعالیت اقتصادی آنها خلق تکنولوژی جدید، ایده جدید و یا محتوای جدید است. این طبقه با سه محور اساسی نداشتن محل کار مرکزی (هستهای)؛ سبک زندگی تجربی، کامیونیتی خلاقیتمحور و زمانبندی عجیب شناخته و تعریف میشود.
این طبقه از دید فلوریدا آینده گریزناپذیر جهان هستند. با اینکه امروز کمشمارتر از طبقات دیگر هستند و با اینکه هنوز در تولید ثروت سهم بزرگی ندارند ولی شکلدهنده اقتصاد و البته جامعه در آینده هستند. ارزشها و هنجارها و سبکزندگی خود را دارند و بنابراین باعث میشوند که ما نه تنها با اقتصادی متفاوت بلکه با جامعهای بسیار متفاوت روبرو باشیم که بر سر بهشت یا جهنم بودنش بحثهای بسیاری هست.
ایده دانش آزاد به عنوان جریانی مرتبط با خلق تکنولوژی جدید، محتوای جدید و ایده جدید که مختص عصر اطلاعات است میتواند یکی از محورهای شکلگیری بخشی از طبقه خلاق باشد. در واقع سؤال این است که آیا دانش آزاد آینده تولید دانش در دنیاست؟ اگر بتوانیم بگوییم که دانش آزاد توسط طبقه خلاق تولید میشود و این طبقه آینده تأثیرگذار دنیاست شاید بتوانیم ادعا کنیم که دانش آزاد آینده تولید دانش در دنیاست و به این ترتیب هنجارها و ارزشهای خود را برای جامعه نیز به همراه خواهد داشت. سؤال دوم این است که وضعیت این روند در ایران چطور است؟ آیا نشانههای بروز و ظهور این طبقه در ایران نیز وجود دارد؟
An inside look at a $1M seed round. Props to Daniel Odio of Appmakr for working with me on this.
Check out the full map at http://brendanbaker.co/anatomy.pdf and join the Quora fun at http://b.qr.ae/m3xRAI.
Startup marketing requires wearing a lot of hats. This startup marketing strategy case study explores building and launching a corporate brand from the ground up for a digital media startup serving financial services.
Destination marketing plays a key role in tourism by promoting the image and branding of a destination to attract visitors. The core product being marketed is the destination itself, including its attractions, amenities, accessibility, and perceived image. National tourism organizations in most countries are responsible for destination marketing through promotional campaigns and product development. Their goals are to raise awareness of the country as a visitor destination and maximize long-term tourism benefits. In New Zealand, Tourism New Zealand undertakes destination marketing with the mission of marketing the country as a visitor destination.
Red Bull has built brand equity through memorable advertising, unique events, and word-of-mouth marketing. It samples products widely to generate buzz. While brand extensions could diversify revenue, Red Bull risks diluting its brand if extensions do not align well with customer perceptions. Red Bull should carefully research how extensions might impact brand image before pursuing new product categories or services.
1) When first starting a company, the team is one of the most important things for investors. It's important to have the right co-founders and hire people who are capable of handling adversity.
2) An ideal early founding team configuration is a CEO plus 4-5 engineers. It's also important to have diversity in skills and backgrounds on the founding team.
3) As the company grows, functional roles like VP of Engineering, Product, Sales, and Marketing should be established to better divide work and make people accountable. An office manager can also provide important administrative support.
1) The document discusses lessons learned by Drew Houston, co-founder and CEO of Dropbox, about how they applied lean startup principles and grew Dropbox from 100,000 users to millions without traditional marketing.
2) Early on, Dropbox got feedback directly from users through a screencast and beta launch video which helped them learn. Their public launch focused on making users happy rather than traditional marketing plans.
3) Experiments with paid search, affiliates and other traditional tactics failed, but Dropbox continued growing through word-of-mouth as they encouraged sharing and referrals between users.
4) Dropbox's success showed that best practices don't always work and it's important to understand your market type and how your product fits
Social CRM - Concept, Benefits and Approach to adoptFabio Cipriani
A call for reviewing current CRM Strategy, Processes and Mindset throughout companies
- Concept
- Comparison with traditional CRM
- Benefits
- Approach for adoption
- How to put it to work
The document summarizes key principles from Eric Ries' book on building successful startups using a "Lean" approach. It discusses 5 principles: (1) entrepreneurs are everywhere, (2) entrepreneurship is management, (3) startups exist to learn how to build a sustainable business through validated learning, (4) the build-measure-learn cycle allows for rapid iteration, and (5) innovation accounting helps prioritize work. It emphasizes the importance of rapid prototyping to validate assumptions and learn quickly from customers through metrics. Pivoting the business model based on learnings, rather than stubbornly sticking to initial ideas, is also highlighted as critical to the Lean approach for building enduring businesses.
What factors determine the success of market-leaders in the sharing economy? ...Joe Bitter
This document provides a literature review for Joseph Bitter's dissertation on factors determining success in the sharing economy. It discusses key concepts like collaborative consumption and the importance of trust and reviews in building user networks. The literature review covers works by Rachel Botsman, Sangeet Choudary, and others analyzing the sharing economy and factors like scalability, venture capital funding, flexibility, and the threat of substitutes. While much has been written on these topics, the document notes that frameworks for identifying competitive threats and indicators of success in the sharing economy have been limited.
Consumer reactions toward clicks and bricksinvestigating bu.docxmaxinesmith73660
Consumer reactions toward clicks and bricks:
investigating buying behaviour on-line and at
stores
GLENN J. BROWNE, JOHN R. DURRETT and JAMES C. WETHERBE
Area of ISQS, Rawls College of Business Administration, Texas Tech University, Lubbock, TX 79409-2101,
USA; e-mail: [email protected]
Abstract. The development of the world wide web created a
new sales channel for retailers, and many thousands of
companies have attempted to take advantage of this new
method for reaching customers. Analysis of the 2000 stock
market collapse suggests that business models relying on both
internet (‘clicks’) and physical (‘bricks’) presences may be the
most successful. Internet business problems include the need to
structure internal and external business processes to serve
customers appropriately, the need to provide adequate
technological and physical infrastructures, and the need to
understand customer consumption processes in ‘virtual’ and
physical environments. The purpose of this research is to
provide insight into these problems by investigating consumer
beliefs and preferences about shopping on-line and in physical
stores. We developed a research model and then performed an
empirical investigation using two studies. Results and implica-
tions of the findings for business strategy are discussed.
1. Introduction
Technological advances in the 1990s enabled entirely
new ways of conducting business in the US and
throughout the world. Of particular importance was
the World Wide Web, an enhancement of the internet
that allowed consumers and businesses to communicate
in ways that were previously unavailable and perhaps
even unthinkable. From the mid-1990s to early 2000,
the focus of businesses was primarily on the opportu-
nities provided by the new internet capabilities.
Following the ‘dot-com’ crash in early 2000, however,
businesses began to recognize the problems associated
with doing business on the internet. From this point
onward, much of investors’ and the media’s focus
shifted to companies with both internet and ‘brick and
mortar’ presences.
Numerous researchers have investigated on-line buy-
ing behaviour over the past several years (e.g.,
Jarvenpaa and Todd 1997, Lohse et al. 1997, Bellman
et al. 1999, Lohse and Spiller 1999, Swaminathan et al.
1999, Bhatnagar et al. 2000, Chau et al. 2000, Palmer et
al. 2000, Ratchford et al. 2001). However, little research
has addressed relationships between on-line purchasing
(‘clicks’) and purchases made at physical stores
(‘bricks’). The purpose of this paper is to report the
results of two exploratory studies designed to assess
consumers’ reactions to shopping at clicks and bricks.
We first review background relevant to the two
shopping channels and the challenges faced by compa-
nies operating in the on-line environment. We next
develop a research model and research questions to
guide our investigations. We then report the results of a
large survey aimed at uncovering several of the relation-
ships specifie.
Most Important Thing In Your Life Essay. Online assignment writing service.Christine Jones
The document discusses the author's future career goal of becoming a pediatrician in order to help future generations by treating and providing medical care to young adults. Becoming a pediatrician would allow the author to have a rewarding and flexible career helping children, while also teaching and continuing to learn about science. The motivation behind this career choice is making positive impacts around the world by helping people and ensuring the health of future generations.
The document provides an overview of key developments in the hospitality industry and evaluates Accor's strategies in response. It discusses how technological advances like online booking and social media have increased convenience for travelers and pressure on hospitality firms to adapt. It also mentions the growing focus on sustainable practices. The document then evaluates how Accor has leveraged technology through initiatives like a mobile app to improve the customer experience and has made sustainable development a strategic priority.
The document discusses the sharing economy, providing examples of companies in various sectors that exemplify the sharing model. It begins with an overview of the sharing economy's growth and projections, then defines key concepts. Subsequent sections explore the history and development of sharing economy models, how sharing economy businesses operate, and sectors like transportation, hospitality, finance, and more that have adopted sharing economy approaches.
PERCEPTION OF HOME-SHARING INDUSTRY: A STUDY OF COMPARING AIRBNB AND COUCHSUR...cscpconf
The aim of this paper is to examine people’s perceptions of home sharing industry through
comparing Airbnb and Couchsurfing, using python to crawling twitter’s data. We conducted
semantic network analysis by using UCINET, which is embedded with NETDRAW, for
calculating betweenness centrality and visualizing semantic network based on multidimensional
scaling(MDS). And we also used LIWC to analysis public sentimental perceptions. The present
study’s results show that the characteristics discovered about Airbnb and Couchsurfing in
cyberspace have possible future directions in view of word usage frequency, centrality and
semantic networks. Moreover, the results show that in sentimental aspects, there are different
public trends of emotions on Airbnb and Couchsurfing. Through those results, researchers
provide information to understand which sectors should entrepreneurs put more efforts and
money.
PopeS Poem Essay On Man. Online assignment writing service.Lisa Richardson
This document provides instructions for using the writing assistance website HelpWriting.net. It outlines a 5-step process: 1) Create an account with an email and password. 2) Complete a 10-minute order form with instructions, sources, and deadline. 3) Review bids from writers and choose one. 4) Review the completed paper and authorize payment. 5) Request revisions until satisfied with the work. The website offers original, plagiarism-free content and refunds if plagiarized work is provided.
The Sharing Economy: Implications for Property & Casualty InsurersCognizant
The document discusses how the sharing economy poses risks and opportunities for property and casualty insurers. It is growing exponentially, projected to reach $335 billion by 2025. Insurers must rethink their products, underwriting, and processes to capitalize on the new risks and revenue potential presented by the sharing economy, as personal assets are now sometimes used for commercial purposes. Failure to adapt could be detrimental to insurers.
The document discusses two theories of human evolution: the multiregional continuity model and the recent African origin model. The multiregional model proposes that modern humans evolved from several hominid groups that interbred, while the recent African origin model suggests humans originated from a single group in Africa that later migrated and replaced other hominid species. The document goes on to provide more details about each theory, the genetic and fossil evidence used to support them, and the ongoing debate between scientists regarding the origin of modern humans.
The “uberization” phenomenon and its application to Airbnb and the hotel indu...Maxence Poulpiquet
This document provides an analysis of the "Uberization" trend and its impact on the hotel industry through the specific case of Airbnb. It begins with defining Uberization as introducing a cheap and efficient alternative that modifies markets. It then examines Airbnb's history and business model, noting it offers more rooms than major hotel chains despite launching in 2008. While Airbnb provides a lower-cost option that appeals to cost-conscious leisure travelers, it also poses threats to the hotel industry and existing regulations. The document discusses problems both companies face in co-existing and proposes potential regulatory and strategic solutions to address these issues.
SCHOLARSHIP ESSAY In 2021 Scholarship Essay,Jim Webb
Here are a few key points about daemons and how they reveal personality and identity in The Golden Compass:
- A daemon's form reflects its person's personality. For example, Lyra's daemon Pantalaimon often takes forms that match Lyra's adventurous and curious nature.
- A daemon never strays far from its person and shares their thoughts/feelings. It acts as a manifestation or extension of its person's soul.
- In childhood, a daemon is still changing and exploring forms. This reflects how a child's personality and identity are still developing.
- Once a person reaches adulthood, their daemon settles into a permanent form that matches their true nature. This reveals their
The document proposes a framework for consumer data privacy consisting of four key elements:
1. A Consumer Privacy Bill of Rights that establishes baseline privacy protections for consumers in 7 principles.
2. A multistakeholder process to develop enforceable codes of conduct that specify how the principles apply in different business contexts.
3. Continued FTC enforcement of privacy practices and incentives for companies to adopt codes of conduct.
4. Promoting international interoperability by increasing consistency between U.S. and foreign privacy frameworks through mutual recognition and enforcement cooperation.
The goals are to preserve consumer trust, promote innovation, and provide legal certainty through a flexible approach. Legislation would codify the Consumer Privacy
U.S. INTELLECTUAL PROPERTY
ENFORCEMENT COORDINATOR
ANNUAL REPORT ON
INTELLECTUAL PROPERTY
ENFORCEMENT
COVER TITLE HERE
FEBRUARY 2 01 2
CONSUMER DATA PRIVACY
IN A NETWORKED WORLD:
A FRAMEWORK FOR PROTECTING
PRIVACY AND PROMOTING INNOVATION
IN THE GLOBAL DIGITAL ECONOMY
Re-imagining capitalism - UBER-Predators & UNDER-Dogs Thomas Doennebrink
In the context of an interesting joint one-week seminar by the Universities of St. Gallen & Copenhagen held 30 min input on platform capitalism and platform coops with special focus on UBER as it was the main subject of the day. Very lively discussion with well informed students asking good and the right questions followed in the remaining 45 min.
The 'Uber-Economy': how marketplaces empowering casual workers disrupt incumb...FrenchWeb.fr
Qu'est-ce qui distingue l'évolution progressive d'un secteur, amené à intégrer le digital à son coeur de métier d'une véritable «ubérisation»? C'est à cette question qu'a souhaité répondre la banque d'affaires Clipperton avec son rapport.
The rise of the sharing economy provides an alternative approach to buying and selling through sharing, collaborating and/or renting. The global sharing economy has risen rapidly and is expected to reach an estimated $335 billion by 2025.
The Internet of Things as a fueling agent for the Sharing Economy in 2017 - I...Dan Yoffe
Is the sharing economy finally dead? Lets take a deep look at the never-ending war between startups-gone-big and traditional businesses that seek to destroy them.
Originally presented at Hilton Tel Aviv, INFO Conference in May 2017 by Dan Yoffe
This document discusses various media industries and concepts related to media institutions and audiences in the digital age. It covers topics such as convergence across media, case studies of Doctor Who and News Corporation, the changing nature of audiences from passive to active participants, and new forms of user-generated content on platforms like YouTube and MySpace. Key points addressed include how industries are converging as technologies combine and content is distributed across multiple media, and how digital technologies have transformed audiences and their relationships with media institutions.
This document discusses various media industries and concepts related to institutions, audiences, and convergence in media. It provides examples like Doctor Who, News Corporation, YouTube, and MySpace to illustrate these topics. Key points covered include how media industries are converging as technologies combine and content is distributed across multiple platforms, how this impacts traditional notions of audiences, and how large media companies have adapted to the digital environment through strategies like acquiring popular user-generated sites.
1. 27th November, 2014
Student number: 1321972
Marketing: IB2090 (24 CATS)
Choose a British company (other than any airline or airline related organisation OR any firm
which you have mentioned in a previous assignment), which you believe has achieved superior
performance.
(1) Collect data/information regarding this company from published material (online or
otherwise).
(2) Use relevant concepts and models to:
a. describe and critically analyse the marketing environment of this company;
b. identify and critically evaluate the factors in the marketing mix that (in your opinion)
have contributed to this superior performance and identify and discuss those factors
in the marketing mix that are crucial for the long-term future success of this
company.
Word count: 2997
(excluding appendix, bibliography, and titles)
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TABLE OF CONTENTS
Introduction
I. Macroenvironment ..............................................................................................................4
1/ Political and legal factors: legal troubles ..................................................................4
2/ Economic factors ......................................................................................................5
3/ Sociological factors .................................................................................................6
4/ Technological factors .................................................................................................7
II. Microenvironment ..............................................................................................................7
1/ Bargaining power of suppliers ...................................................................................7
2/ Bargaining power of consumers ................................................................................8
3/ Barriers to entry .........................................................................................................9
4/ AirBnB’s competitors ................................................................................................9
III. Marketing mix: .................................................................................................................10
1/ The offer ....................................................................................................................10
2/ Promotion and communication strategy ....................................................................11
3/ The price ....................................................................................................................12
4/ The place ....................................................................................................................12
IV. Future Prospects and critical success factors: ................................................................12
1/ Expanding its customer segmentation .......................................................................12
2/ More security standards .............................................................................................13
3/ Keep promoting the brand and its image ...................................................................14
Conclusion ................................................................................................................................15
Appendix ...................................................................................................................................16
Bibliography ..............................................................................................................................17
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INTRODUCTION
“In the service industry, there things that are deeply human that people want to participate
in”, has said Brian Chesky (co-founder and current CEO of AirBnB company). In 2008, Brian Joe
Gebbia and Nathan Blecharczyk developed a project of AirBed&Breakfast in San Francisco
(USA), based on the concept of shared economy.
AirBnB is an online marketplace for hosts and guests who want to rent rooms or properties.
It has literally changed the way people travel. We can now rent cheap well-furnished
accommodation, for a short period of time, well situated, and hosted by an individual. I have
decided to study the case of AirBnB mainly because it is a typical example of how the Internet and
the sharing economy have revolutionized the hotel industry.
I have also chosen this firm because it is a really good example of a company that has
experienced and achieved great success in a very short time. The firm has become much more
successful and valuable than many other big companies like Accor, which have already been
implemented in the market for many years. Accor (created in 1967), leader of hotels operators in
Europe and valued at $10bn, has recorded about 8 million nights booked per year. On the other
hand, AirBnB has seen its number of nights booked grow exponentially in four years, reaching
more than 10 million nights booked (Tech crunch, 2012). Today, the company is valued at $13bn,
and has now expanded its community to more than 25 million users (AirBnB, 2014).
Throughout this essay, we are going to analyze how AirBnB has managed to become one of
the fastest-growing travel companies in the UK, and how the different marketing strategies enabled
it to achieve this superior performance and maintain it in the future.
To answer this question, we will first analyze the firm’s environmental factors, and its
positive and negative impacts on the AirBnB’s activity. Then, we will examine the company’s
marketing strategy and the factors that contributed to its success. Finally, we will end this essay by
discussing how some of these factors could drive the company to achieve superior performance.
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BUSINESS’S MACROENVIRONMENT
1) Political and Legal factors: legal troubles
Firstly, in many countries in the world, AirBnB has been confronted by national laws
keeping people from renting their home for short stays (e.g.: less than 30 days). This is mostly the
case in the United States since 2011, where homes rented are viewed as “illegal hotels” according to
the New York Attorney General, Eric Schneiderman (The Telegraph, 2014). This would mainly be
because rented apartment owners do not have to pay hotel taxes, and because of the absence of
safety and heath standards in rented accommodations.
However, the situation is gradually changing in San Francisco. The “AirBnB law” recently
passed, allowing people to rent their apartment no more than 90 days in a year (Cnet, 2014). Some
other countries, like the United Kingdom, also start tolerating it, and politicians even began to
promote the trend of sharing goods and being more connected. Against British law, Eric Pickles has
got rid of the regulation regarding letting homeowners’ properties on holiday websites (The
Telegraph, 2014).
Moreover, regulations such as tourism taxes on online accommodation-sharing services like
AirBnB, recently emerged in some countries like France, and might then hinder the company’s
activity (Factiva database, 2014).
Finally, national organizations like the British Hospitality Association (BHA) are ensuring
that AirBnB accommodations meet safety and health standards. BHA, for instance, requires the
online sharing platform to include these standards to make people’s stays in the UK safer, and to
maintain the UK’s reputation of being safe (Buying Business Travel, 2014).
2) The economic factors
Firstly, with the recent economic crisis (2008), people globally tend to spend less of their
money on travel. Regarding the hospitality industry, they would rather look for cheaper
accommodation or room. With the crisis also affecting companies, business travelers are keener to
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find cheaper rooms or apartments to limit their charges. By offering cheap rents, AirBnB is offering
an alternative solution to people and businesses, and is a good response to the crisis.
Moreover, this 2008 crisis has led to a new concept of “sharing economy”, developed all
over the world. Nowadays, individuals tend to offer and exchange shared assets to other people or
organizations at a very low price. AirBnB is taking advantage of this new trend by matching hosts
and renters, and offering cheap accommodations. According to Olivier Grémillon (head of AirBnB
Europe), “sharing economy is a phenomenon with the potential to transform almost every aspects of
our lives”.
With the initiative of the Business & Enterprise Minister Matt Hancock, the UK government
is now promoting this new trend in order to boost London’s growing technology sector and
entrepreneurship. Nowadays, 25% of the UK population are part of the sharing online economy
(The Telegraph, 2014). It is also booming in other places across the world. Its global annual revenue
is estimated to rise from £9bn to £230bn by 2025” (The Telegraph, 2014).
!
3) Sociological factors
Firstly, the rise of online social networks has had a strong impact on people’s lives.
Nowadays, online platforms and forums enable us to exchange information and communicate with
each other more easily (e.g.: Facebook). We can also share our ideas on forums and our past lodging
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experiences (e.g.: Twitter). Networks are made to facilitate communication and create relationships
between people. For instance, in the UK, 31 million people were connected to Facebook and 15
million connected to Twitter in 2014 (Rose McGrory, 2014)
Moreover, with the recent expansion of the sharing economy, people see opportunities to
make money and have their own business. For some of them, AirBnB also enables them to have a
job and an income. In the UK, 63% of hosts use it to pay their bills, and 44% to pay their own rent
(AirBnB press, 2014). As Brian Chesky said, “there were people and there businesses” and “now
we live with the third category, which is people as businesses” (The Sunday Telegraph, 2014).
4) Technological factors
Created in 2008, AirBnB was born in a technological boom. The innovation of electronic
devices enables the firm to create a new version of the platform on smartphones and tablets, which
gives easier access to the service for its users. Moreover, the recent emergence of applications on
smartphones enabled AirBnB to create its own app and allows people to book apartments more
easily and from anywhere. On the graph below, we can see that the UK smartphone market is quite
important and is strongly increasing. Between May 2010 and May 2011, more than 20 million
smartphones have been sold to the UK population.
!
In addition to this, the Internet creates new ways of communication and information. Its
significant increase of use has also contributed to AirBnB’s success by connecting many hosts and
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renters on the platform. According to Internetworldstats, at the end of 2011, there were around
2.2bn of Internet users, which is about 32.7% of the world population.
!
Percentage of Internet users in the world population
THE ACTORS OF THE MICROENVIRONMENT
1) Bargaining power of suppliers:
Although the suppliers (the hosts) are the ones who set the rent’s price on AirBnB, they are
constantly confronted by other competitors in the market. Therefore, their price-setting power is
quite weak as they have to adapt their price to that of the market. Furthermore, even if AirBnB
charges its suppliers a 3% commission on their payout, those will still need the AirBnB service
platform to promote their offer, as it is the leader of the online rent sharing and attracts more than
25 million guest users.
On the other hand, AirBnB will always need the best offers on its platform, and in the best
locations, in order to attract customers and satisfy their needs. Therefore, suppliers have some
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power in the sense that the company should first attract its suppliers before its consumers. That is
why AirBnB now has more than 600,000 listings worldwide.
!
AirBnB’s suppliers locations in 2014
2) Bargaining power of consumers:
Consumers’ power is very strong because the success and the reputation of the company
depends mainly on them. For instance, many guest users are sharing their experiences of their stay
with AirBnB on different forums and social networks. Price, location, and quality of the service will
then be the three main factors that will determine their satisfaction and any negative reviews will
strongly impact the brand image.
However, the more the business grows and becomes powerful, the lower the consumer’s
power is. Indeed, when the AirBnB’s attractiveness increases, more hosts and guests tend to use the
AirBnB platform as it is more likely they will find guests (for hosts) or find the right
accommodation (for renters). That is why the most popular services always attract the best offers.
As we can see below, the number of customers who use AirBnB is predicted to significantly
increase to 51 million by 2018.
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!
3) Barriers to entry:
It is quite difficult for a start-up to enter a rent-sharing market where there already exists a
big leader like AirBnB. As it attracts most of the hosts and guests on its platform, a new entry in this
kind of market would require high marketing costs and the marketing budget of AirBnB. For
instance, AirBnB has recently raised $500 million in capital, which makes a total of $820 million
raised from the beginning (Tech Crunch, 2014). Obviously, it is impossible for a new start-up to
raise this amount of capital. Therefore, barriers to entry are very strong for new entrants.
4) AirBnB’s competitors: how does AirBnB position itself in its market?
Nowadays, AirBnB’s main competitors are traditional hotels, Bed & Breakfasts, and other
big rent-sharing websites (like HomeAway, Wimdu, or 9flats).
Compared to tradition hotels, AirBnB proposes a different offer to its guest users. First, an AirBnB
accommodation offers a particular authenticity and personality as guests lodge in a country’s typical
house. According to AirBnB, about 85% of the UK guests want to “live like locals” (AirBnB Press,
2014) rather than classic hotel rooms. Consequently, an AirBnB room also allows guests to get a
well-furnished accommodation at a lower price than hotels. A study conducted in 2013 by
priceonomics.com platform service (Digital Trends, 2013) has shown that by choosing an AirBnB
accommodation, renters save on average 49.4% of what they would have spent on a traditional hotel
room.
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!
AirBnB advantages compared to Hostels and Hotels (August 2014, guesty.com)
Among other online rent-sharing platforms, HomeAway group is the main competitor of AirBnB
and have a revenue of $350 million (Le Figaro, 2014). Created in 2004, HomeAway (including
Abritel and Homelidays) now offers 1,000,000 apartments on its platform, in 190 countries. It also
only charges hosts on their payout, which makes it more profitable for guests. However, this
company principally targets families and groups who rent vacation accommodations, whereas
AirBnB attracts a wider segment of customers.
THE MARKETING STRATEGIES
1) The offers: how do they differ from that of its competitors?
As I said above, AirBnB’s offers are simple and authentic, and allows guests to live as locals
when they travel. As Brian Chesky said, “when you come to any city in the world we make you feel
like you belong” (The Telegraph, 2014). AirBnB’s accommodations are also quite cheap compared
to traditional hotel rooms. Furthermore, the company has well internationalized its offers as it is
now listing more than 600,000 rents in 34,000 cities (AirBnB, 2014). In 2012, the firm also decided
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to set up branches in 11 new popular cities across the world. Finally, originality plays an important
role as AirBnB offers a huge variety of accommodation. Among its listings, we can find islands,
boats, manors, castles, igloos and also tipis.
However, we can still question the quality and security of AirBnB’s offers. Most of its
accommodations do not include any safety or health standards (e.g.: smoking detector, alarm). And
compared to traditional hotels, the service and customer’s comfort are globally lower. This has then
led to a few complaints from dissatisfied guests and has a bad impact on the brand image.
2) Promotion and Communication strategies
Being an online based company, AirBnB focuses mostly their promotion on digital
advertising. To expand its audience and target worldwide customers, it has created partnerships with
some social media companies to promote its brand and increase their number of listings. For
instance, in 2011, to improve brand awareness, the company invested in Google Display
Advertising, providing the best overview of the platform to its customers, with properties’ images
and ad campaigns of their rent offers (ThinkWithGoogle, 2011).
The firm also used Youtube TrueView ads to introduce AirBnB’s service. In more than 100
Youtube video adverts, it explained to its users the way the service works. This has allowed the
company to reach and attract more Youtube users (SearchEngineWatch.com, 2011).Thanks to these
Google and Youtube partnerships, the number of nights booked has increased from 800,000 to 2
millions in the year of 2011 (EyeForTravel, 2011).
Furthermore, big news like its recent capital raising of $500 million have been published in
most of the online business platforms like TechCrunch or BusinessInsider, and traditional British
economic newspapers. This attracts more consumers on the platform as they are aware of the recent
company’s activities.
Finally, online social networks, like Facebook, Twitter, LinkedIn and Instagram have also
helped AirBnB to promote its brand. Since these big social platforms are used by many people in
the UK, using their online services is a good strategy to attract people and promote the brand.
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3) The price: how is the consumer’s price sensitivity?
Today, with a huge worldwide hospitality service, constituted by the traditional hotel
industry and expanded with the arrival of new rent-sharing platforms, customers now have access to
a lot of offers at different prices. Therefore, consumers would tend to be very price-sensitive.
However, as I said in the microenvironment part, an AirBnB accommodation is cheaper than a hotel
room. AirBnB’s consumers would pay only half of a traditional hotel room’s price. Moreover, the
company has the ability to always adapt to its consumers budget and purchasing power, with its
different offers and a huge variety of prices.
4) Place: Where do users have access to the service?
AirBnB’s offers are mainly sold on the Internet. Firstly, the most common online place is its
own platform where customers have access to the offers and every informations about the company
(e.g.: contact, help...). Furthermore, partnerships with other online companies also allow AirBnB to
sell its offers to new customers. For instance, as I say below, partnership with the Concur Company
enables consumers to have direct access to AirBnB’s offers through the Concur platform.
FUTURE PROSPECTS: “CRITICAL SUCCESS FACTORS”
1) Keep expanding its customer’s segmentation by creating special services
AirBnB’s profitability largely depends on its number of users. In order to expand its
community, AirBnB should target a wider variety of potential customers, and attract them through
partnerships with powerful and influential organizations.
Business travelers, for example, represent about 10% of its clients. The company has
recently shown some interest in expanding into this consumer market. To target them, AirBnB has
made a partnership with Concur company (travel and expenses management service) which is now
used by more than 70 of the top Fortunes 100. AirBnB is now able to provide a different service
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through a recent innovation, that only shows business travelers the right accommodation with
amenities corresponding to their needs.
Nowadays, according to Tim MacDonald, executive vice president at Concur, “business travelers
are increasingly taking advantage of a new generation of suppliers like AirBnB”, (Internet Retailer,
2014).
!
2) More security standards would improve customers’ stay
The main difference between AirBnB accommodation and other hotels is the level of health
and safety regulations met. Indeed, the hotel industry focuses a lot on its clients’ comfort by
constantly improving the service, whereas AirBnB does not include safety standards in its priorities
(Hotel News Now, 2014). Therefore, its lack of regulations has led to many complaints from guests
due to problems during their stays.
Improving the quality of AirBnB’s offers by imposing new safety standards (e.g.: fire safety)
in hosts’ apartments should now be the new challenge of the company. It will allow the firm to
improve its brand image, which will attract more consumers. Moreover, in the UK, the British
Hospitality Association has an important role by making sure traditional safety standards are met by
AirBnB’s hosts.
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3) Keep promoting the brand and its image
Finally, AirBnB will keep being the leader in its market only if it keeps promoting its brand
image. To increase the size of its community, AirBnB will have to strengthen its advertising, and
increase its marketing budget to find new ways of promoting the brand.
For instance, on the 17th of November, AirBnB unveiled its first business magazine called
“Pineapple”. This will basically represent another efficient way for the firm to inform its users
about news and features, and attract more people.
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CONCLUSION
Throughout my analysis of the company’s marketing, we have seen that many of AirBnB’s
business environment factors, both inside and outside its market, have strongly influenced the firm’s
activity and operation. The firm has got a huge opportunity especially with the increase of the
sharing economy and the rise of online social networks. We have also analyzed how the firm has
developed its marketing strategy to achieve such successful performance in the UK since its
creation in 2008. The business attracts everyday more users to its platform. However, some
challenges are crucial for its future performance. The quality of its offers is yet to be improved, and
the company always needs to attract more worldwide users by improving the promotion of its
service.
AirBnB has also expanded the sharing economy culture on a global level. As Brian Chesky
said in a recent interview, “the biggest revolution will be in the biggest asset of all”. This new
concept has given birth to new companies based on this idea of sharing assets, like Uber (car-
sharing platform created in 2009). By encouraging entrepreneurial spirit, people can now run their
own business, and earn money easily and very quickly. Basically, the world has entered a new era
of micro-entrepreneurs.
We cannot be absolutely sure about the future of AirBnB, but we can forecast a bright future
for it. The sharing economy concept could be a response to current economic problems. As we
know that about half of AirBnB’s hosts depend on the rent to live (McKinsey&Company,
November 2014), this new idea will allow people to get a new job and receive incomes. According
to Brian Chesky, it could “provide tens of millions of jobs or income streams” in the future.
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Appendix:
Strengths:
- Service itself
. People can travel at lower cost as AirBnB’s rents are cheaper compared to hotels. Guests
save money.
. Simplicity and Authenticity: being lodged in an individual’s apartment makes them live
like locals.
. A large variety of offers (manors, castles, boats, islands...) to satisfy most of guests.
- Promotion
. Develops new ways of promoting the brand (mainly online): Google and Youtube
partnerships, brand awareness on social platforms
- Position among other online rent-sharing platforms
. Leader in its market, which allows it to attract the best offers from hosts, and be more
likely to satisfy its consumers’ needs (brand loyalty)
- No working capital
. The company has no assets to sell, or inventory to stock. It facilitates AirBnB’s cash flow.
Opportunities:
- A huge market:
. After the economic crisis, customers are looking for cheaper rents (lower purchasing
power)
. Rise of the sharing economy trend (there is no limit to it)
- Sociological
. Rise of the online social networks creating new ways of communicating and sharing
informations.
- Technological innovations
. Innovation of smartphones, tablets (and other new electronic devices) have allowed
AirBnB to create new versions of its service. It gives an easier access to informations to its
clients (e.g.: AirBnB app)
- Legal issues
. In the UK, recent legalization of renting apartments for short periods of time
- Segmentation
. More segments of people show now some interest in the concept of shared rents (e.g.:
business travelers). This can expand AirBnB’s community.
Weaknesses:
- The Offer’s security
. Safety and health standards in apartments are not often met.
- The offer’s quality
. Customers’ comfort is not guaranteed. If a customer is not satisfied, it will strongly damage
the brand image.
Threats:
- Legal issues
. In countries (like USA), laws do not allow people to rent their apartment less than 30 days.
- Marketing costs
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. With the huge number of competitors (especially hotels) and the arrival of new entrants,
marketing costs are likely to rise.
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