Case Study on Entrepreneurial Marketing

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1.
Airbnb has adopted several marketing strategies to develop a niche for itself in the market. It consists of developing features that are related to the development of digital marketing that is obtained through the google ratings. The usage of digital marketing is a huge success as it involves developing various features that would be featured online and people would be accessing the places through the digital format.
One of the other significant strategy that has been developed by Airbnb for marketing in the global industry is the adoption of content based marketing that requires developing content strategies for the same. Hence, it can be stated that using the reviews of the people is very helpful, but ranking them or providing them with the priorities on the basis of the ratings that the places have obtained serves the purpose of the marketing strategy in the globalization of the industries. It involves developing advertisements on the google display that will help in reaching maximum number of people and provide the company and its services with the required exposure across the globe (Zervas, et al., 2015).
The segmentation of the customers by Airbnb has been the income as well as psychographic segmentation. These two types of segmentation would consider the economic spending capabilities of the customer as well as bifurcate them on the basis of their preference. It is through Airbnb targeted the customers that had to travel to different places and they did not go and stay into the usual hotels and other expensive options. Hence, Airbnb was developed with the strategy to provide accommodation facilities to the customers and it would be selected by the customers themselves by being thousands of miles far. Airbnb has a significant positioning that includes medium quality and low pricing strategy and it aims at providing maximum amount of feasible solutions at an assured quality. Airbnb promoted the brand through using the platforms that have been mentioned above that consists of carrying digital marketing of the processes. The pricing of Airbnb is very cost effective and it provides a complete view of the service to the customers. Thus, they believe in obtaining large customer base and hence they have kept low pricing structures. The channels used incudes the google display and providing advertisements across different platforms. It has also developed its mobile application and it has worked wonders for the company as the customer can access the availability of rooms and check its quality right from their phone.

2.
In the beginning phase, Airbnb emphasized on the high profile and social events that involved emergence of a huge crowd. It considered the needs of the customers where there were many problems and discomfort faced by the customers while living in hotels that made a hole in their pockets, that is, were very expensive. There are different factors that are contributing to the rapid growth of Airbnb. It includes the development of digital marketing concepts and promoting the company through the content strategy that involves developing stories that consist of the experiences that the customers have while using Airbnb. The people across the globe tend to connect with the stories that are provided by others. Thus, they end up using Airbnb too. It tends to be the driving force for the success of the rapid growth that has been observed in Airbnb throughout the market. There has been a solid growth in its customer base through the adoption of technologies that are trending globally and are used by large of people across the globe. On the basis of the experiences that were shared by the satisfied customers, there is an extensive network of these customers developed at the cost of providing cost effective services to them. Developing an efficient amount of customer base also involves carrying sustainable customer relationship management in the market. It will be on the basis of this that Airbnb has obtained feedback from their customers and even obtained their stories in the form of warm experiences that they had using the service offered by Airbnb. It has developed customer oriented approach against the traditional approach (Wegert, 2014).
Airbnb has been very effectively implementing this strategies that consists of the above mentioned factors of developing an extensive customer base across the different countries of the world. It has inculcated wide scale promotion among the customers that mostly involve the young age travelers who are ready to adapt to any condition and circumstances that are provided to them. They are the ones who have to search for cost effective accommodation options for their sustenance in the foreign market. The main element that is developed by Airbnb is hugely based on the development of strategies that is based on reaching maximum number of people through different platforms. This has resulted in earning rapid growth for them in the industry.
3.
Obtaining finance is a very critical factor for the startups. There are very few options for obtaining financial resources through initial investments made by the other people. Hence, there has to be an innovative idea, concept or product that should be developed and launched for ensuring that the company generates the minimum amount of revenue that is required for establishing its business and carrying the basic operations. It is on the basis of this that the founders of Airbnb developed the initial funding through developing and selling breakfast cereals that belonged to a special edition. They used Barack Obama and john McCain as their role model. It was observed that within two months of its operation, there were more than 800 boxes sold. The cost of each breakfast meal was $40. Hence, they earned a huge amount of $30,000 for investing in the inception of their company. During the startup phase, there are many factors to be evaluated while developing any approaching for the strategies that would be capable enough to provide the company with the required customer base as well as adequate amount of funding from them.
The strategy that is developed by the founders for obtaining funding and other financial resources for their business is a matter of choice. The ultimate goal is to generate sufficient amount of revenues that could support the beginning of a startup. According to me, the strategy that was selected by the founders of Airbnb to generate sum for their business was appropriate as the figures that were earned at the end of two months speaks it for all. It can be ensured that while developing such strategy, the company also focusses on maintaining the old customer base by providing them with an extensive customer service and special discounts. The strategy that was sued by Airbnb was appropriate as they did not approach investors with their concept and idea. Instead, they decided to generate the financial resources on their own through selling the special edition of breakfast cereals that emerged out to be a huge success in the global industry. It involves integrating the needs of the customers and developing customer driven marketing strategies that would help in capturing values from the customers.
4.
I would require Maysoon to carry a testing of the concept that has been developed by her. She should derive a driving force or strategy for the business that involves developing marketing strategies for the development of the business and ensuring sustainability across the business carried in the Gulf countries. It involves the concept of generating ideas, screening them and then developing the concept testing of the model developed. Modelling of the ideology developed has to be done and on the basis of it, a proposal has to be developed that helps in obtaining the needs of the customers and aims at generating a significant amount of market share in the Gulf region. There should be strategies developed for the process of pre-launching of the product that involves the highest amount of marketing that can be done for creating awareness about the product and generate interest among the people regarding its launch (Benedetto, 1999). It also involves testing these strategies in order to attain maximum outcome from the efforts that are carried by Maysoon.
Market acceptance tends to be one of the most significant element that is required for establishing a firm and ensuring its success in the market. It is through this that the maximum amount of exposure would be obtained to the company and it will be able to create a niche for itself in the Gulf markets. It involves developing effective customer relationships and innovative strategies that would attract maximum number of customers. There are few risks that are to be identified and accessed for ensuring that the business idea that is developed by Maysoon does not fail. There are many features to be developed and then redeveloped after testing the product or service in the market. The company should always be ready for critical opinions as well as it should be flexible to incorporate all the possible needs of the customers in its redeveloped product. It should be observed that all the risks that are to be witnessed during the launching of the business should be projected ad evaluated. After evaluation, they should be analyzed for developing product and services that would cover all the risks through developing sustainable strategies. It also involves developing critical success factors in the society that would be requiring efficient amount of research that has to be done among the market. All these factors should be considered while launching a new business in the market and Maysoon has to make sure that she considers all the points and develops an optimum solution after evaluation, analysis and formulation of successful business model.

References
Benedetto, C. A., 1999. Identifying the key success factors in new product launch.. Journal of product innovation management, 16(6), pp. 530-544..
Wegert, T., 2014. How AirBnb Is Using Content Marketing to Stay on Top. [Online]
Available at: https://contently.com/strategist/2014/12/05/how-airbnb-is-using-content-marketing-to-stay-on-top/
[Accessed 26 April 2016].
Zervas, G., Proserpio, D. & Byers, J., 2015. The rise of the sharing economy: Estimating the impact of Airbnb on the hotel industry.. Boston U. School of Management Research Paper, pp. 2013-2016.

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March 10, 2018

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