Did you know that a typical customer may have several hundreds of digital touch points (or what Google calls micro moments) before they book a hotel and other elements of their trip? How does this customer journey look like? And how are the big travel platform businesses (Booking.com, Expedia, TripAdvisor, Google, Airbnb) accompanying the customer’s journey? What can you learn about the trends and opportunities? These are the questions we are going to look at today.
Platform business model: the most revolutionary innovation idea right now
The platform business model must be considered the most important and revolutionary business model of the last decade or two. Google, Facebook, Alibaba, Uber, Airbnb, Paypal and many other of the most successful startups are built on this business model. But it is not only an opportunity for the high-flying IT companies.
From an incumbent perspective, it is worrisome that Uber did not get invented by the taxi industry. Nor did Airbnb get invented by the otherwise innovative hotel industry. This is equally encouraging for young companies as it is concerning for incumbents. But both have it in their own hands.
Gain the knowledge you need to understand how this business model works and develop your own ideas.
If you prefer to get started with the fundamentals, read the Platform Business Model articles 1-6 or just jump into the complete guide (click here) which is a summary.
If you prefer to get started with in-depth examples, start with the Uber Business Model Canvas (click here) or the Airbnb Business Model Canvas (click here).
Platform businesses have entered many industries and in various ways. Demand aggregator platforms like Booking.com, Expedia, TripAdvisor have been vastly successful in the travel industry. Today we are going to look at how these platforms:
(1) guide the digital customer journey,
(2) how this aligns with their predominant customer value propositions and
(3) the monetisation models they apply.
Booking.com, Expedia, TripAdvisor have entered the old-established travel industry with massive success. Learn about the three most important business models that they have applied to overtake the Hiltons and Marriotts in market cap and develop your own innovation ideas you can be proud of
Demand aggregator platforms like Yelp, Tripadvisor, Groupon, Foursquare have grown at breakneck pace. Even ten years ago hardly anyone would have anticipated their multi-billion dollar valuations. They are strategically positioned on the demand side, unlike Uber and Airbnb who are positioned on the supply side.
Learn how their business model works in-depth using the Business Model Canvas from one of their most successful ones: Yelp.
Airbnb is a fascinating company. It is valued at $31b as of mid-2017 (pre-IPO). It has managed to exceed the market capitalisation of Hilton and Hyatt combined in less than 10 years since its start-up. They are serving over 3 million listings in more than 65,000 cities in over 190 countries and 200,000,000 guests to date. Today, we are going to have an in-depth look at Airbnb’s business model using the Business Model Canvas tool.