Final Group Presentation

1. E-Business
Group Final Project and Presentation
Tuesday Session: 16:30 pm – 19:30 pm
Tourism and Hotel Sector
Airbnb
GROUP 2
Pablo Castaneda
Clara Gillet
Giovanni Hourlier
Laura Bal
Tess Rimoux
Felipa Agbaba

2. SUMMARY
1. Size and importance of the market globally, in Europe and in France
2. How the sector has traditionally worked
3. The effect of the Internet on the sector
4. Who the major global players are and Major player chosen
5. E-business models being used by the major player
6. Consumer reaction to e-business in the sector
7. Future development of the sector driven by E-business

3. I. SIZE AND
IMPORTANCE OF
THE MARKET

4. Globally
 One Billion tourist
arrivals each year
Europe
 World’s most visited regional
destination
 Increase of 5% in international
tourist arrivals
France
 World’s leading destination with
83.7 million tourists in 2014
 Led to 2 million jobs and 7% of
GDP growth
 It is a strategic sector for the
French economy

5. II. HOW THE
SECTOR HAS
TRADITIONALLY
WORKED

6. Most used
mechanism of
accommodation:
Hotels.
- Seasonal house
rental
- All inclusive
Resorts
Share Economy: Airbnb

7. III. THE EFFECT
OF THE
INTERNET ON
THE SECTOR

8.  Possibility of
Expansion
 Data transfer
 Flexibility
 New booking systems
 New business models  Organization and
distribution costs are
decreased
 New intermediaries
 Traditional roles
have to be changed
 Higher quality  Effective market
research
 Industrial growth

9. IV. WHO ARE
THE MAJOR
GLOBAL
PLAYERS

13. V. E-BUSINESS
MODELS BEING
USED BY THE
MAJOR PLAYER

18. VI. CONSUMER
REACTION TO E-
BUSINESS IN THE
SECTOR

21. VII. FUTURE
DEVELOPMENT OF
THE SECTOR
DRIVEN BY E-
BUSINESS

22. OPPORTUNITIES
 New business
model
opportunities
 New alliances
 New offers in
terms of
accommodation
 Sharing
economy
 Data transfer
 Flexibility
 Collaboration
 Allows using
and sharing
resources
without
possessing
them
 Lower
operation costs
 Better prices
for consumers
 Revenue
generation for
local hosts
 Growth potential
 Economic
benefit: boost
tourism in
underexplored
areas
 Enhancement of
better quality

23. LIMITATIONS
 Legal Environment  Taxes  Information

24. CHALLENGES FOR AIRBNB
TRUST
- As the number of users
grow, trust remains an issue
despite the provision of
insurance
REGULATIONS
- Introduction of laws to
regulate the renting and
accommodation business
- Taxes
TRAVELER RETENTION
- Provides offers,
promotional codes and
credits to travelers as well as
hosts
IMITATORS
- Local imitators could
have already adjusted the
business model and
established a first-comer
advantage locally

25. THANK YOU FOR YOUR ATTENTION

26. BIBLIOGRAPHY AND REFERENCES
AirBnB. Official Website. https://www.airbnb.com/
KAIRDENOVA, Aliya. “Análisis Comercial AirBnB”. Obtained from https://prezi.com/u0q-2nkh7_na/analsis-comercial-airbnb/
“Case study: AirBnB”. Basis Technology. http://www.basistech.com/case-study-airbnb/
“How does AirBnB works: Insight into Business & Revenue Model.” Juggernaut.com Obtained from http://nextjuggernaut.com/blog/airbnb-
business-model-canvas-how-airbnb-works-revenue-insights/#!prettyPhoto
“E-Commerce: AirBnB: Strategies for renting your accommodation Online”. Entrepreneurial Insights. November 19, 2014. Obtained from
http://www.entrepreneurial-insights.com/airbnb-strategies-selling-products-online/
SWARTHOUT, Donna. “Consumer to Consumer (C-2-C) E-commerce definition”. Obtained from http://study.com/academy/lesson/consumer-
to-consumer-c2c-e-commerce-definition-business-model-examples.html
HOLDEN, Greg. “AirBnB and E-commerce work well together”. October 11, 2015. Obtained from
http://www.ecommercebytes.com/cab/abu/y215/m10/abu0383/s03

27. • RY, Sullivan. “The Online Economy: Strategy and Entrepreneurship”. Harvard Business School. Obtained from
http://www.onlineeconomy.org/tag/airbnb/
• “What is a platform?”. Applico. Obtained from: http://www.applicoinc.com/blog/what-is-a-platform-business-model/
• “AirBnB”. Business Modell Toolbox.”. Obtained from http://bmtoolbox.net/companies-and-stories/airbnb/
• TUCCI, Linda. “The platform business model: An Introduction”. July 24, 2015. TechTarget. Obtained from
http://searchcio.techtarget.com/news/4500250534/The-platform-business-model-An-introduction
• “Cinq choses à savoir sur le business d'Airbnb à Paris”. Europe1 – Economie.(29/06/2015). Obtained from
http://www.europe1.fr/economie/cinq-choses-a-savoir-sur-le-business-dairbnb-a-paris-1362290
• MONTAIGNE, Caroline. “Airbnb : le business ultrarentable de la location de logements entre particuliers”. Capital (08/06/2015.). Obtained
from http://www.capital.fr/enquetes/succes/airbnb-le-business-ultrarentable-de-la-location-de-logements-entre-particuliers-
1046306#Tt2PBbp6rFXo4tRY.99
• World Tourism Organization, UNWTO. “UNWTO welcomes the G20 Tourism Ministers’ commitment to promote more and better jobs”. Press
Release (10/01/2015). Obtained from http://media.unwto.org/press-release/2015-10-01/unwto-welcomes-g20-tourism-ministers-
commitment-promote-more-and-better-job
• ALI, Rafat. “Airbnb’s Revenues Will Cross Half Billion Mark in 2015, Analysts Estimate”. Skift (25/03/2015). Obtained from
http://skift.com/2015/03/25/airbnbs-revenues-will-cross-half-billion-mark-in-2015-analysts-estimate/
• KIM, W. Chan. “Blue Ocean Strategy”. INSEAD Blue Ocean Strategy. Obtained form https://www.blueoceanstrategy.com/about-the-
authors/w-chan-kim/
• RIES, Eric. “The lean start up”. Obtained from http://theleanstartup.com/
• BAZIN, Sébastien & GREMILLON, Olivier. “Mardis de L’ESSEC: Accord & AirBnB”. Evénement ESSEC Alumni.(24/03/2015). Obtained from
http://www.essecalumni.com/a-la-une/evenement/24032015-mardis-de-lessec-accor-airbnb/