Business Model Canvas for airbnb
Key Partners
HostsRenting out their space(s): apt, condo, guest room, entire house GuestsOnes staying at those rental space(s) for various usage types Local/regional Real Estate AgenciesA new source of revenue for agencies: renting out their properties like hotels for extra revenue Info. Tech ExpertsWebsite designer, web master, hosting company, data base MGT Outsourced Cust. Service RepsLocal/regional Interior DesignersIn charge of creating unique looks of each and every room/space Local/regional PhotographersIn charge of delivering unique looks of each and every room/space via airbnb homepage Local/regional GovernmentCollabo with a government of major tourism attractions and buy their outdoor ad spaces, then post airbnb ads Payment Processing Channels/mediumsMajor bank/credit card, Venmo/Paypal Lifestyle Media SourcesTv, radio, internet, printed material channels covering or featuring lifestyle/travel editorials Local/regional Cleaning Company |
Key Activities
Recruiting More Potential HostsThe more the registered hosts and their spaces, the more the freedom of choice for guests Online-based AdvertisingA great way to boost their awareness and customer consideration level Offline-based AdvertisingExamples would be bus/metro station, airport, outdoor billboard Marketing via Traditional Printed SourcesLeveraging Web Search EngineSearch history data from Google, Yahoo, Bing can be used to spot potential new users Product SegmentationA variety of staying options can be offered by budget, region, season, activity, occasion, features and many more Collabo with Celeb AgenciesEndorse big-name celebs: a great way to hype up and deliver credibility Platform Update and MaintenanceHomepage gotta stay fresh to attract more customers Customer ServiceSince it is C to C platform, it can easily get into hassles of agent theory: settling disputes down between parties is crucial Visual IntuitivenessSexy photos and videos of rental spaces can boost sales Local/regional Event Sponsorship |
Value Proposition
ConvenienceSo easy and fast finding your place to stay even in the peak season and it is so easy to use: all you need is few clicks from the app On-demand Business NatureBoth sides get what they want ASAP: great at matching two parties More Tailored and CustomizedYou are no longer staying at the same old average Joe room: mix and match with your personal preference Extra Income for HostsMore money in their pockets, what more can I say? More AffordableWho doesn't wanna spend less? More Bang for the BuckGuests usually get more space, amenities, customization for sure Home InsuranceAirbnb providers home insurance to hosts One-of-a-kind Stay ExperienceYou browse and choose your best possible stay experience |
Customer Relationships
On-time Customer SupportIt is a global platform used by customers in different time zones: provides 24/7 customer support Promotion & Loyalty ProgramPromotions and loyalty program which attract first time users and encourage repeat uses of original users Efficient Dispute SettlementSince it is C to C platform, it can easily get into hassles of agent theory. Airbnb tries its best to satisfy both ends of business transactions Social MediaGreat at generating awareness and hyping up the brand via social media channels Customized RecommendationsBased on users' lifestyle and previous stays, it does a great job recommending a one-of-a-kind place for users More Power to CustomersGuests can find their best-fitting space by mixing and matching features/amenities just like choosing toppings at frozen yogurt places Target Up-and-Coming AttractionsFast and flexible finding new tourism attractions |
Customer Segments
A Simple Place to StayGood for cost-sensitive travelers and whom simply needs a place to stay for their road trip Business Travelers1. Wants to save his or her expense GlobetrottersGreat chance to stay local: get to know more about its unique cultures Family Travelers1. So hard to find a place which can accommodate every family member in a room Bespoke, Customized UsersIt's my way or the highway. Customers in this group is very conscious, selective about their choice and preference HostsConsidering its C to C nature, host is another important customer segment. Hosts are also segmented according to customer segments like budget, bespoke, business, globetrotter and family traveler |
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Key Resources
AirbnbThe brand itself carries a huge value and future potential Guest InformationProfile info and usage patterns enables Airbnb to recommend better customized stay options to customers Network of HostsThe more the hosts, the more choices to choose from for customers Tech-savvy ProfessionalsTech, online experts who are able to maintain and deliver an user-friendly website Creative Human CapitalCreative, innovative professionals who can deliver hip, sexy and intuitive images of airbnb via design, homepage, ad/commercial, public relations Online Payment Channels/mediums100% online-based transactions: it has a fast and smooth online system which facilitates overall transactions |
Channels
airbnb.comThe most important channel of all: Mobile AppsAll the features and transactions from homepage can be executed on its mobile app Word of MouthConstantly tracks and maintains feedbacks of both hosts and guests Online Search EngineBased on user's search history on sites like Google, Yahoo, Bing Social MediaStrong emphasis on social media by running its own fan pages and placing banner ads Via Various EventsLocal, regional, cultural event sponsorships |
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Cost Structure
Online Payment Processing FirmsSince it is 100% online transactions, transactions fees to online payment processors like Visa, MasterCard, Paypal would take the biggest chunk of cost Online Platform Creation & MaintenanceIts platform aka homepage is where the magic happens. Airbnb needs to keep it current and trendy, but also intuitive and efficient to streamline the overall transaction process. InsuranceInsurance for rental space of hosts and travelers Human CapitalThe business is heavily dependent on human resources: needs to keep those highly creative talents to sustain its success. Ad & SponsorshipHeavy online ad campaigns, moderate level of offline-based ad campaigns and event sponsorships |
Revenue Streams
Fees from Both Hosts and GuestsIt has pretty simple revenue streams: hosts and guests. |