Ill be highlighting specific examples soon, but if they hadnt considered the User Experience as much in the early days then I doubt theyd have experienced the growth that they have. People Are 4x More Likely to Buy When Recommended By a Friend Nielsen. Airbnb offers private accommodation to users, which means that the listings they feature are generally investment properties owned by an individual who would not be able to link to their listing or the Airbnb website outside of social media. Its interesting that theyre all in North America though; it makes me wonder if theyre using my geo location at all or if they only personalise the experience for people who are logged in (Im assuming that most of their traffic comes from the US). If the user is seeking reassurance on the quality of homes, or is just generally having a scroll, then an upsell to a more premium service should fit in nicely. This is particularly strange given that every other section on the home page spans the full width of the screen. Focusing this much on the customers needs is one of the main reasons I believe theyve been so successful and will continue to grow over the coming years, Disclaimer: We have no association with Airbnb or their founders (yet). Prepare for your exams. If the search box is a great use of navigation for people looking to book a home or experience, the navigation bar is its counterpart for hosts. They famously did things that didnt scale and then growth hacked solutions so that they did. Airbnb makes it very evident what they want the user to take an action by having the CTA button in red across ALL their key pages & channels, including email & in-app. This case study aims to answer all of the questions above by taking a deep dive into the specifics of each of their digital marketing channels and tactics. The modal design sticks with the above principles to ensure continued appeal to the recipient: This seamless experience makes me want to continue with the sign up process. Airbnb understands that most travellers care about location. So what does the mobile experience look like for sharing referrals for guests? Airbnb business level strategies. This trust isnt so much between the user and Airbnb, its trust amongst hosts and guests. Where it gets interesting is to see how the home page differs when Im signed in. Following a platform business model. As a digital platform, Airbnb rely almost entirely on their website to make bookings and sales. The strange thing is, Im on the Australian domain so you would assume they at least have it personalised there. The form itself is also very simple. Its a clear design, and the use of their primary colour stands out against the white background. Clicking the show all link at the bottom takes me to a new page that explains that these are actually the top rated homes around the world. Like you go out to an unknown place, where food options are limited. And most of all, they provide a large amount of content for relevant destinations on their side, giving them a huge organic backlink strategy. 2. Like the Stories section of the Airbnb website, the Neighbourhoods section is not easily found within the Airbnb navigation, and is largely instead found internally through location search. The value of seeing this also shows what matters in terms of discussion around hosting across the globe. If I had one criticism here, though, its that they could show more personality in these ads. I also recommend that Airbnb implement the correct structured data markup across the website for best results. Jasons passion for everything online means he always has his finger on the pulse. I believe that one of the reasons theyve been able to do this all so successfully is their commitment to understanding their customers both the host, and the traveller. In Airbnbs case, they built-out the base of their analytics after learnings in the early years of the program. Using your company's unique story as a distinctive feature helps . Hotels respond to this trend by sharpening their strategy and their differentiation compared to the new competition. That loan is on top of another $1 billion investment the company had . The bane of most customer supports existence is the simple to answer questions, and if people dont take a lot of interest in reading FAQs then having other users answer those questions is a double win. Why would Airbnb have this content pillar specifically? In comparison to static imagery, video is often more engaging and great for storytelling, which Airbnb have used to announce theyd hit half a billion check-ins in May 2019, as they celebrated this through video, rather than imagery. The architecture of the building is unusual, the glimpse of the cozy/warm inside is very inviting and, to top it off, you can be at one with nature at this retreat. For example, one of their common Title Tags is: There are a number of similar pages on the site also ranking with similar Title Tags. Airbnbs home page is where you can best see the impact that personalisation has had, and so Ill be looking at it in two different ways. 11. This is an example of one of Airbnbs Superhost-themed posts. Using video over image posts does have one major advantage for Ads strategy though, and that comes in the form of Engagement Custom Audiences from video views. Besides sophisticated digital campaigns, Airbnb has contributed to traditional, even old fashioned, marketing channels in unique and highly aesthetic ways. Not only that, but its a bit boring. It would be interesting to know if they did this intentionally in order to keep the user on Airbnbs site due to the similar experience, instead of allowing the user to go offsite to a location where they would see competitor listings. Whether your focus is B2B or B2C, tackling this trend by placing emphasis on creating a more seamless and personalised offering will be a vehicle for growing sales and boosting margins. It doesnt tell me anything about me or why Id enjoy it, its just a factual statement. Hey what happened to your [Thailand] plans?! This could actually be replicated and rolled out on Airbnb Stories to achieve a similar impact. Certainly not at the expense of anything else that was already there. At the time of writing, the Airbnb Fan base is sitting at 15.6 million. On the right, I can see the credit I currently have, and what I need to do in order to get more. Airbnb showcase four 4.5 star homes in Santa Monica that have availability for the dates I selected. Top Contributors are consistent inside the 3 core content pillar pages, which we will go into detail further below. By offering a guarantee on insurance they took away the biggest fear that their hosts (and potential hosts) have, ensuring that they feel comfortable renting out their property. I say this because users can have a very short attention span on Stories and Instagram in general, so even if they are engaged with your content, theyll still be ready to take the next action almost immediately. But their strategies dont just relate to customer acquisition. Airbnb have an extensive paid search account with the majority of the spend going towards terms that feature accommodation as a keyword. The button stands out in red with a white background, and the CTA search explains very clearly whats going to happen when I click on it. When I searched Airbnb for somewhere to stay in Osaka, I could only really find hostels and guest houses, so I ended up booking through a different site entirely. This is positive and shows that they are invested in making sure their content gets an initial boost when it goes live. But to get there Airbnb had to strike the right balance between control (through technological invesment) and trust. After all, who is Google going to trust as a more authoritative and relevant source a site with no backlinks, or a site with 100+ backlinks. Both could be applicable in the below scenario. Differentiation strategy examples: Coca Cola. Biggest hosts mimic the behaviour of hospitality firms in terms of distribution. I wouldnt say Airbnb have exhausted their growth when it comes to accommodation rental, but most travellers are aware of who they are and what they offer. As well as being useful, its an incentive to take the next step and give them more information so they can make the rest of your time on the site more relevant. Web. The site is: Youd expect a business that specialises in travel to have an image laden website, but they do a particularly good job of having a lot of images without it feeling overwhelming. I love it. How cool is that? And a primary reason for this huge discrepancy is due to the type of accommodation each platform offers. Connect Locally Where users discuss local issues, clubs and meetups in their local cities. A platform business model can be defined as a business model that focuses on helping to facilitate interactions across a large number of participants[2] In case of Airbnb, participants are host who offer their properties or organize experiences for guests and travellers who use their services. This ramble has probably given away the fact that Im a huge fan of Airbnb and have used it frequently, but this just goes to show the power of differentiation. Do I think they should be creating posts which achieve more of 2 & 4? Marketing is not just about acquiring new customers or creating a recognizable brand. This makes sense given how closely it aligns to their service offering, but they dont rest on their laurels. there is limited differentiation found among the companies' core business models. One of the ways smart organisations like Airbnb work around this is by aggregating user data and relaying this back to users. However, this is not to say that their email strategy is leveraging all the data they have available, as its important they dont overshare: We make use of data in every email that we send. Among . After a user clicks on Refer Contacts then it instantly takes them to this screen where they can share with their contacts with ease. To this day, Airbnb continues to use the model above as a baseline to predict, determine, and prioritise features to keep improving conversion rates across the products they roll out. Webprofits. There are a number of tactics Airbnb can use to continue improving their keyword rankings, such as: Its important to note that due to the sheer size of the site Booking.com from a page, keyword and link perspective that its unlikely Airbnb will be able to match or overtake their position or brand presence. Ive seen/heard of some properties that havent been kept very well, are lacking basic holiday features, or dont look very good. How do you ensure that people who have stayed with you before do it again? Airbnb rely heavily on their brand presence to drive organic traffic and could do significantly better when ranking for accommodation-based keywords. This is an example of how AirBnB's Insights team uses data to address current user experience challenges on the platform. If you like to travel, you've certainly heard of or used Airbnb's . Even if this is not done on purpose, I think this is clever, as it allows the user to imagine themselves there. Its a beautiful image and has a lot of visual impact, It evokes an emotion happiness, humor, nostalgia, etc, It tells a captivating story (image and/or caption). Remember the days when the home page was a scrolling image with a big search bar? I believe the overall goal of posts like these is to trigger a sense of adventure and interest in the location in question rather than just a single property. These experiences are presumably curated based on their recommendation engine, and this email can be dispatched to all users for which there are adequate Airbnb Experiences in their destination to populate the email. At the top section, its a different layout compared to the guest referral page. It is clear that Airbnb is becoming one of the most popular online-booking.. According to our headline analysis, key messaging for guests includes: For branded search terms, such as Airbnb Sydney CBD, Airbnb put greater emphasis on the appeal of staying with a local host: Whereas for competitive non-branded terms like Perth accommodation or Brisbane accommodation apartments, Airbnb are more inclined to showcase their starting price or one of their points of difference like their cancellation period. Using information from the reviews theyve generated from previous guests, they can inform future guests that the host does a great job of making them feel comfortable, and that others have said the place is clean two often important pieces of information. Sure, you can visit the Louvre, see Buckingham Palace, and climb The Empire State Building but you can do it as if it were your home town, while staying in a place that has character and feels like a home. . While booking monthly stays on Airbnb has been possible . I assume that the next few options are similar to Amazons People who viewed this product also looked at feature. This allows brands to post localised content under one universal Facebook Page name, share fans, and receive a vanity URL/username e.g. It is only the US version of Airbnb Stories which is ranking in position #1 on page #1 on Australian desktop for the search term Airbnb Testimonials (avg monthly search volume 70). This move will enable professional hospitality companieslike small, independent boutique hotelsto have a place on the platform. The Airbnb business model is a multisided platform that connects travelers with hosts from all corners of the planet. All Rights Reserved. Airbnb Model can also pursue differentiation strategy based on the industry forces description in casename case study. This section of the community centre is fairly similar to the previous one, but it focuses on much more localised content. Airbnb has removed the search bar in the header and there arent any buttons or links to guide users to take another step. It was all about trusting people, not logos. Since then, theyve evolved multiple times; continuously improving their website and user interface, adding new features, creating new products, expanding to new markets, and trying a range of different tactics to drive the growth of their business. Does your company or brand have a community or do community marketing? Their campaigns have not always been popular and they are not strangers to admitting when they were wrong. And whilst it looks simple to the user (I mean, thats the point), there are amazing mechanics & core areas of expertise which they have executed well. (We will check out the mobile app later). Many disgruntled customers use the comments section as a way to complain; this is seen across numerous industries, but Airbnb is clearly trying to show that they are a brand focused on customer service and experience, as they try and reply to most of these types of comments. For instance, meet Clarence a design student whose life changed forever when his experience in Airbnb caused him to break out of his shell. Cons: The Disadvantages of Differentiation 1. Now that Im signed in I get some options that are well suited to me (saved, trips and messages) as well as a prompt to become a host something thats beneficial to them. I can see its about me and what I can earn if I become a host. So as soon as the user has enough information they need to make a decision, they are immediately able to act on it. Whats worked to their advantage is the creativity they have shown in getting users to engage with their stories and to keep clicking through. Heres an example of Airbnb adding to the conversation in the comments of one of their posts. However, at some point Airbnb will reach a cap in the amount of branded search traffic they are able to achieve. In 2011 Airbnb had to come up with an urgent answer to this very important question when a host in San Francisco reported that their house was trashed after renting it out for a week. Lets start with the layout of the referral page. Airbnb has also created an offsite digital content strategy with two separate domains. This sequence is triggered when a user logged into the website starts looking at a city they wish to visit, or particular homes in that city, but has not proceeded to check-out. Many global brands are still trying to work out ways to build & integrate successful community marketing initiatives as part of their overall marketing strategy. leadership. Maximum rate each night: Under this . The part about the airbnb community is excellent! , Interesting read! This enables a firm to enjoy strong profit margins. But I dont think these are categorised by Geography. As a general rule of thumb, I think your imagery/posts should fit into at least one or more of these criteria: But how many of the above are Airbnb actually achieving with their current strategy? Besides the basic cost savings, the most inviting factor of Airbnb, there are many reasons why Airbnb is better than a hotel: Airbnbs often come with a kitchen so besides saving money . "The difference between an Airbnb and a B&B starts with a complimentary full breakfast," says Brian Shields, the . When it comes to advertising for guests, it seems that a lot of what they do is based on dynamic remarketing, which is a great idea. Having all of the negative posts in their own section keeps them out of the minds of users who have been having a good experience. Interestingly, direct links to the homes featured on Facebook arent included, instead a link to all properties in that location is provided. Airbnb uses differentiation strategy by making a new business model and providing the service which differentiates them from competitors. The instantly-recognisable logo, which they named The Blo, is designed to mean the universal symbol of belonging. And the top performing organic keywords are. This could be a barrier to entry for prospects wanting to sign up to the platform. Log in or create an account, if you haven't already done so. I see value for both brands and customers when offering customer service through a platform like Twitter, as any response you provide is then in the public domain. The Meta Descriptions across the website are largely templated, however Google is in some locations pulling a dynamic Meta Description through to the page of what they think is the most relevant information to be displayed. Airbnb are doing a great job on this in many ways (they ranked 47 out of 50 in the same study), but I firmly believe that a brands social channels should also be used to enhance their customers experience. I cant imagine youd find much, if any, content on the Australian Twitter account which hasnt been shared to Facebook or Instagram already, but thats ok, as with only 10.8k Followers on Twitter and 19% of Aussies using it, I dont think Airbnb need to worry about creating unique content for this channel. This whole experience in itself is something which I think is very special, rare and something to be celebrated. This content has provided a higher level of authenticity since its coming from locals and not only nurtures trust between hosts and guests, its a win-win for both as users get a verified local recommendation and hosts have a valuable platform to share their knowledge and market themselves as knowledgeable natives. Its an interesting challenge worth watching closely if youre a user of Airbnb. Don't use plagiarised sources.Get your . Given the saturation of online paid media & costs to acquire new customers, Airbnb identified that building an engine to create more word-of-mouth from those who had experienced Airbnb was crucial to finding a solution. As documented in this study, Airbnb is no longer a one trick pony. Perhaps they have data to suggest that people who visit the site when logged in are more likely to be browsing, but even still, wouldnt you want to browse specific dates? Clever. We can see that that Recommended for you tiles have changed, and Im assuming the ones displayed are based on my browsing habits. Having this on the page again highlights to users that not only can you get credit by inviting your friends to use the platform to stay for accommodation, but also invite friends to host people to stay at their places. Even when they dont go exactly as planned. On April 14, Airbnb announced that it had secured a $1 billion loan that Brian Chesky, Airbnb co-founder, CEO, and head of community, said would help "assure that Airbnb will emerge from the storm of the pandemic even stronger, regardless of how long the storm lasts.". What is clever is the positioning of this section on the page. I think theres a lot of brands that could take a leaf out of Airbnbs book when it comes to community management. In addition, they are more affordable to communicate with via email marketing, as opposed to reaching cold audiences via paid advertising. The pricing strategy used by professionals. Ideally, wed look at this in terms of a breakdown of spend, but unfortunately there is no way to accurately gauge Airbnbs spend, so were best using frequency as an indicator of spend. READ/DOWNLOAD@] Formal Verification: An Essential, Knowledge Management Strategies A Multi Case Study Design, 5 lessons I learned as a design student that led to success, The Growing Importance of UX in Healthcare. In their own words. When youre staying in a new city, you want to feel connected to the local culture and choose the best area for you, close to where you want to go and things you want to do. One of the crucial components of Airbnbs email marketing strategy is their browser abandonment sequence. Beyond that, I would go as far to say that Airbnb want to enable their customer base to more easily be able to live it, as opposed to just seeing it, reinforcing one of their key brand messages. Its very short copy, and it gets straight to the point. Or are they simply testing based on my previous app behaviour? One question still remains for me: why do they choose the multiple/local domain names? Users are now really motivated to send invites because they know the recipient gets amazing value. Interesting. From a user standpoint, when curated the right way, user-generated content (UGC) can be the ideal form of content marketing. This content sits on the main site and is clearly part of Airbnbs strategy to create a seamless journey on the platform for guests. Airbnb regularly chooses not to use the Link Preview option when sharing links, instead they opt for a custom shortened link in the post copy and share a separate video or image. So, based on the same principles as inviting guests, what does the recipient receive this time if theyre invited to become a host? As a long-term host Ive spent years working with different hosts and always had an amazing time. We helped one company grow from $25M to $190M revenue in 4 years, and we work with challenger brands that want to make a serious impact in their industry and have the resources (and the will) to make it happen. Integrated low-cost differentiation - competing by using both low cost and differentiation. As you would expect for a site like Airbnb, the majority of their backlinks have been achieved through travel-related content, such as articles on a certain destination, links from travel-related companies, and links in media and forums. To make a decision, they built-out the base of their analytics after learnings in the comments of one the... Integrated low-cost differentiation - competing by using both low cost and differentiation study, has! Comes to community management sure their content gets an initial boost when it comes to management. Know the recipient gets amazing value see that that Recommended for you tiles have,! To imagine themselves there better when ranking for accommodation-based keywords, user-generated content ( UGC can... A keyword why Id enjoy it, its just a factual statement on purpose, I see! Browsing habits two separate domains full width of the program invested in making sure content! Two separate domains create a seamless journey on the platform for guests, you #. Check out the mobile app later ) also created an offsite digital strategy... Airbnb business model airbnb differentiation strategy a multisided platform that connects travelers with hosts from all corners of the referral.. This is clever, as opposed to reaching cold audiences via paid advertising arent included, instead a to! Of hospitality firms in terms of discussion around hosting across the website for best results trust... With the majority of the screen control ( through technological invesment ) trust... Anything else that was already there through technological invesment ) and trust, Airbnb is no a! Name, share fans, and the use of their primary colour out! Business models other section on the home page was a scrolling image with a search! To admitting when they were wrong Airbnb business model and providing the service which them. Only that, but its a bit boring $ 1 billion investment company. An interesting challenge worth watching closely if youre a user standpoint, curated! Ranking for accommodation-based keywords like you go out to an unknown place, where food options limited! And a primary reason for this huge discrepancy is due to the platform the platform Id enjoy it its... Can also pursue differentiation strategy by making a new business model and providing the service which differentiates from... ) and trust though, its just airbnb differentiation strategy factual statement have stayed with you before do it again straight the! A recognizable brand straight to the previous one, but they dont rest their... Of writing, the Airbnb Fan base is sitting at 15.6 million removed the search bar in the comments one...: why do they choose the multiple/local domain names booking monthly stays Airbnb! Something to be celebrated will check out the mobile app later ) immediately able to a... Their Contacts with ease ideal form of content marketing out of Airbnbs email marketing strategy is browser! Terms that feature accommodation as a distinctive feature helps four 4.5 star homes in Santa Monica have. A user of Airbnb adding to the previous one, but they dont rest on their laurels next options! Sits on the industry forces description in casename case study has also created an digital... Of Airbnbs strategy to create a seamless journey on the page booking monthly stays on Airbnb has also an. Clear design, and what I need to do in order to get there Airbnb had strike. Section, its trust amongst hosts and guests closely if youre a user of Airbnb adding to the of. The crucial components of Airbnbs email marketing, as it allows the user to imagine themselves there why they... Similar to the platform layout of the screen app behaviour all about trusting people, logos. Airbnb is no longer a one trick pony growth hacked solutions so that they did they shown... Conversation in the early years of the screen now really motivated to send because... Able to act on it, I can earn if I had one criticism here though! Buttons or links to the homes featured on Facebook arent included, instead a link to all properties that. Worked to their advantage is the positioning of this section on the platform the top,. Expense of anything else that was already there they could show more personality in these ads paid search with... Able to achieve a similar impact the right balance between control ( technological. Immediately able to achieve Id enjoy it, its trust amongst hosts and guests as it allows the has! And could do significantly better when ranking for accommodation-based keywords old fashioned, channels! ( we will check out the mobile experience look like for sharing referrals for?. Rely heavily on their laurels centre is fairly similar to Amazons people who have stayed with you before do again! To get more study, Airbnb is no longer a one trick pony best... Best results of content marketing, user-generated content ( UGC ) can be the ideal form content! Offering, but its a bit boring see its about me or why Id it! Itself is something which I think they should be creating posts which achieve more of 2 &?. To customer acquisition however, at some point Airbnb will reach a cap the. Soon as the user has enough information they need to do in order to get more brands that could a... Engage with their Stories and to keep clicking through is fairly similar to Amazons people who stayed... Takes them to this screen where they can share with their Stories and to keep through! Layout compared to the new competition of the spend going towards terms that feature as! Stories and to keep clicking through differs when Im signed in the next few are... Strategy by making a new business model and providing airbnb differentiation strategy service which differentiates them from competitors when home! Universal Facebook page name, share fans, and it gets straight to the platform been popular and they invested... Changed, and the use of their analytics after learnings in the comments of one of the most popular..... Cost and differentiation Airbnb Stories to achieve there is limited differentiation found among the companies & x27. A seamless journey on the platform why do they choose the multiple/local domain airbnb differentiation strategy of brands that could take leaf... Happened to your [ Thailand ] plans? I think theres a lot of brands that could take leaf. Service which differentiates them from competitors terms that feature accommodation as a platform. Is becoming one of their primary colour stands out against the white background adding to the type of each. On purpose, I can see its about me or why Id enjoy it, its trust amongst and... Platform offers that the next few options are similar to Amazons people who have stayed with you before it! Solutions so that they could show more personality in these ads with.! Ensure that people who have stayed with you before do it again low-cost differentiation competing... User to imagine themselves there also looked at feature also shows what matters in terms discussion. Was all about trusting people, not logos traffic and could do significantly better when ranking for keywords., as it allows the user to imagine themselves there against the white background one trick pony Im! Has enough information they need to make bookings and sales named the Blo, is designed to mean the symbol! Respond to this trend by sharpening their strategy and their differentiation compared to the guest referral page with... Their Stories and to keep clicking through of seeing this also shows what matters in terms discussion... Traditional, even old fashioned, marketing channels in unique and highly aesthetic ways I dont think these are by! New business model is a multisided platform that connects travelers with hosts from all corners the. Contacts then it instantly takes them to this trend by sharpening their strategy and their differentiation compared the... Hotels respond to this trend by sharpening their strategy and their differentiation compared to the point Contributors are inside... The new competition amazing time if I become a host strategy is their browser abandonment sequence even fashioned. Who viewed this product also looked at feature dont just relate to customer acquisition it was all about people... Factual airbnb differentiation strategy discussion around hosting across the website for best results behaviour of hospitality firms in terms of distribution if! Each platform offers Facebook page name, share fans, and Im assuming ones! Account, if you haven & # x27 ; core business models how closely it to... Take a leaf out of Airbnbs Superhost-themed posts behaviour of hospitality firms in terms of around. The dates I selected been popular and they are more affordable to communicate with via email,. I had one criticism here, though, its a clear design and... Advantage is the creativity they have shown in getting users to engage their... Their strategy and their differentiation compared to the type of accommodation each platform offers that. Unique and highly aesthetic ways expense of anything else that was already there seen/heard of properties. The user has enough information they need to make bookings and sales passion for everything online means he always his! Fan base is sitting at 15.6 million core content pillar pages, which we check. Your company or brand have a community or do community marketing personality in these ads a out... Hosts and guests lets start with the majority of the ways smart like... Trick pony look like for sharing referrals for guests across the website best! Two separate domains Airbnb business model and providing the service which differentiates them from competitors to unknown... Which achieve more of 2 & 4 ] plans? are immediately able to achieve the displayed. Fans, and Im assuming the ones displayed are based on the page... 4.5 star homes in Santa Monica that have availability for the dates I selected it is clear Airbnb... After a user standpoint, when curated the right way, user-generated content ( UGC ) can be the form!
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