Hotel Chain Bed Breakfasts Airbnb Strength Service Provide wide range of

Hotel chain bed breakfasts airbnb strength service

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Hotel ChainBed & BreakfastsAirbnbStrengthService:-Provide wide range of service (spa facilities, dining options, pool,…)Location:-Located to provide spectacular viewsTarget customers:-Suitable for all segments of travelers (especially for vacation and business use)Service:-Cozy and home-like ambience-Travelers could connect with the host and surrounding communityLocation:-Take advantage of locals’ attractions or history backgroundCost:-Low operating cost on propertyTechnology:-Accessible to everyone(both hosts and guests)Target customers:-Wide range of options suitable for all type of travelersCost:-Low operating costWeaknessCost:-Heavy operating cost on property and utilities-Higher price range in accommodation marketService:-Room quality (smaller and less extravagant services)Legality and service policy:-Does not subject to authority regulation and taxation-Hosts’ property and service is unreliable-Even though hotel and bed & breakfasts both compete in lodging sector, they areextensively different from each other. Hotel chains offer at higher price withquality and variable service. They usually get associated with luxury andextravagant image. Due to that, a large sum of money is invested in wages,property and food which in turns require business owners to raise the price higher.In contrast to hotel chains, bed & breakfasts, cozy and friendly options, run with~ 5 ~
smaller operating cost. They take advantage of local’s attraction or historybackground to enrich travelers’ experience while offer them smaller rooms andservice. -Different from two other businesses, Airbnb has their own playground – thetechnology platform. They don’t actually have any estate property or have tosubject to any regulation or taxation. This makes them face great adversity fromother party in accommodation market. Thus, Airbnb could not prevent all hosts/guests using their platform from policy violation. However, Airbnb still come firstin term of technology and operating cost compared to hotels and bed & breakfasts.Question 3:How has the consumer changed and how does Airbnb’s customer value-proposition meet this change?Airbnb not only influence technology, but also influence the change in the interactionbetween customers and businesses. This change leads how the consumer haddeemphasized ownership. In stead of concentrating on ownership, customers seemed toprefer sharing or renting. Because of this change in consumer experience, other startup companies have beentargeting these segments through subscription – based services and on – demand help.Hilton was considering offering a hostel – like option for travelers. Other entrepreneurswere constructing urban properties to specifically leverage Airbnb’s platform and offerrooms only to Airbnb users.Brian Chesky, CEO of Airbnb, believed that Airbnb guests wanted a community and acloser relationship with the host. Therefore, in order to control the community of hostsand guests, Airbnb had set up a rating system. Popularized by companies such asAmazon, eBay, and Yelp, peer – to – peer ratings helped police quality. Both hosts andguests rated each other in Airbnb. This approach encouraged hosts to provide andimprove quality service, while encouraging guests to leave a property they found it.

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