!! !

Queensland)University)of)Technology))

AIRBNB&SERVICE&AUDIT&AMB340!Semester!2,!2016!2!B226!2pm23pm!)

Laura!Healey!n9488057!Natalie!Hogan!n8871272!!Andrea!Vélez!Gonzalez!n9635035!Grace!Wright!n9176497!!Word!Count:!2194! !

Table&of&Contents&

1.0$Introduction$............................................................................................$3$

2.0$Service$Marketing$Mix$Analysis$...............................................................$3$

2.1$Service$Product$and$Positioning$...............................................................................$3$

2.2$Pricing,$Productive$Capacity$and$Demand$................................................................$4$

2.3$Physical$and$Electronic$Distribution$.........................................................................$5$

2.4$Integrated$Service$Marketing$Communication$.........................................................$5$

2.5$Service$Process$........................................................................................................$6$

2.6$Managing$People$.....................................................................................................$8$

2.7$Servicescape$and$Physical$Evidence$.........................................................................$8$

3.0$Recommendations$...................................................................................$9$

3.1$Managing$People$.....................................................................................................$9$

3.2$Service$Product$and$Positioning$...............................................................................$9$

3.3$Pricing,$Productive$Capacity$and$Demand$..............................................................$10$

4.0$References$.............................................................................................$11$

5.0$Appendix$...............................................................................................$15$

Appendix$A:$Airbnb’s$Incentives$..................................................................................$15$

Appendix$B:$Airbnb’s$Price$Tips$...................................................................................$15$

!

!! !

1.0&Introduction& Airbnb&is&an&online&service&that&enables&travellers&to&rent&short0term&accommodation&

in& residential& properties& through& a& facilitating& peer0to0peer& website& and& app,&

encouraging&customers&to&“live”&in&the&city&of&their&choosing.&The&company’s&business&

model&relies&heavily&on&the&sharing&economy,&as&customers&are&able&to&rent&assets&

directly&from&one&another&(The&Economist,&2013).&Currently,&Airbnb&is&available&in&191&

countries& and& contains& over& 2,000,000& listings& in& 34,000& cities.& (Airbnb,& 2016).&

According& to& Lovelock’s& service& classification& framework,& Airbnb& is& a& people0

processing& service& because& on& arrival& at& the& accommodation,& consumers& are&

physically&entering&the&service&factory&and&must&cooperate&actively&with& the&service&

process&for&the&duration&of&their&stay&(Lovelock,&Patterson&&&Wirtz,&2014).&However,&

the& service& can&also& be& classified& as& possession0processing&as& customers& are& not&

physically& present& when& booking& the& accommodation,& making& the& production& and&

consumption&of&the&service&separable&(Wirtz,&Lovelock&&&Chew,&2012).&This&audit&will&

identify& opportunities& for& Airbnb& to& improve& its& marketing& efficiency& and& provide&

recommendations& based& on& services& marketing& theory& to& aid& in& the& company’s&

development.&&

&

2.0&Service&Marketing&Mix&Analysis&! !

2.1&Service&Product&and&Positioning&

Airbnb& specifically& targets& two&major& segments:& guests& (individuals& and& groups& of&

travellers&who&are&seeking&affordable,&easy&to&book&accommodation&that&allows&them&

to&“live”&in&the&location&of&their&choosing)S&and&hosts&(property&owners&seeking&to&earn&

money& through& renting& out& their& space& as& travel& accommodation).& & Airbnb’s& core&

service& product& is& an& online& peer0to0peer& platform& through& which& guests& have& the&

ability&to&rent&spaces&from&hosts&who&advertise&their&vacancies&on&the&website.&Whilst&

this&core&product&caters&quite&efficiently&to&the&primary&needs&of&both&target&markets&by&

facilitating& a& symbiotic& economic& relationship& between& renter& and& owner& the&

company’s&supplementary&services&could&be&improved&upon.&Marketing&theory&states&

that&an&effective&payment&process&must&be&convenient& for& the&consumers& involved&

(Lovelock& et& al.,& 2014).& Currently,& Airbnb’s& payment& process& only& allows&

accommodation&fees&to&be&paid&via&one&account,&and&amounts&due&must&be&paid&in&full&

(Airbnb,&2016).&&This&leads&to&inconvenience&as&targeted&groups&of&guests&are&forced&

to& allocate& one& member& to& pay& the& full& amount& from& their& account,& evidencing& a&

disconnectedness&between&the&supplementary&services&offered&and&the&target&market.&

Furthermore,&it&is&evident&from&online&reviews&that&Airbnb&does&not&always&fulfil&their&

role& in& problem& solving& and& providing& restitution& for& customers& in& regards& to&

uncooperative& guests& or& hosts& (Airbnb& Hell,& 2016).& This& lack& of& consistency& in&

customer&service&is&proven&to&lead&to&dissatisfaction&among&customers&(Lovelock&et&

al.,& 2014).& By& improving& the& consistency& and& quality& of& the& aforementioned&

supplementary& services,& Airbnb&will& enhance& their& positioning& in& the&market& which&

heavily&focuses&on&convenience&and&world0class&customer&service&(Airbnb,&2016).&&

2.2&Pricing,&Productive&Capacity&and&Demand&

At&present,&Airbnb&charges&guests&a&6012%&service&fee&from&the&reservation&subtotal&

based&on&the&size&of&the&reservation,&whilst&hosts&are&charged&a&consistent&3%&service&

fee&from&the&reservation&subtotal&(Airbnb,&2016).&Aside&from&these&fees,&Airbnb&has&

very& little& control& over& the& price& of& their& service& product& offerings,& with& hosts&

determining&prices&of&accommodation.&In&2015,&Airbnb&implemented&a&dynamic&pricing&

recommendation& strategy,& whereby& historical& data& is& analysed& with& reference& to& a&

number&of&factors&such&asS&room&size,&location&and&desired&booking&date.&From&this,&a&

‘price& tip’& is&provided& for&each&night&of& the&year& for&each& listing&based&on&projected&

supply&and&demand&(Hill,&2015).&Airbnb&reported&a&13%&increase&in&revenue&from&hosts&

that&used&this&variable&pricing&algorithm&compared&to&those&who&didn’t&(Hook,&2015).&&

However,&Airbnb& is&yet& to& release& in0depth& information&on&how& these&price& tips&are&

determined,& instead&only&providing& justificatory&bullet0points& (see$Appendix$B).$This&

has& resulted& in& speculation& from&hosts& about& the& reliability& of& these& tips.& &With& the&

pricing& tool& remaining& optional,& Airbnb& risks& the& possibility& that& hosts& are& not&

undertaking&revenue&management&effectively,&and&are&thus&not&obtaining&the&highest&

possible& yield& from&each& available& room& (Lovelock,&Patterson&&&Wirtz,& 2011).& This&

would&result&in&limited&revenue&received&by&Airbnb&in&service&fees&due&to&such&a&flexible&

pricing&system.&In&order&for&Airbnb&to&ensure&that&the&accommodation&listed&on&their&

site&is&being&priced&effectively,&the&company&should&consider&providing&detailed&price&

optimisation&reports&for&hosts.&

2.3&Physical&and&Electronic&Distribution&

Airbnb’s&service&distribution&channels&are&entirely&digital&as&guests,&hosts&and&service&

staff&communicate&with&one&another&via&online&means.&This&online&strategy&is&tactical&

as&statistics&show&that&consumers&are&increasingly&more&inclined&to&make&purchases&

online,&with&e0commerce&transactions&predicted&to&grow&by&up&to&$1.9&trillion&by&2018&

(Statista,& 2015).& These& statistics& are& especially& advantageous& for& the& company& in&

targeting&the&younger&end&of&the&market&given&that&digital&media&is&the&primary&source&

of&research&regarding&high0involvement&purchases&such&as&travel&accommodation&for&

millennials,&placing&Airbnb&in&a&prime&position&for&customer&acquisition&(Gasca,&2015).&

However,& studies& also& show& that& older& consumers& may& be& less& inclined& to& make&

purchases& online,& potentially& alienating& this& demographic& (Smith,& 2014).& Airbnb’s&

distribution& channels& are& also& predominantly& self0service& as& the& two&major& parties&

communicating&0&guests&and&hosts,&are&both&consumers&of&the&service&(Lovelock&et&al.,&

2014).& Whilst& this& self0service& method& of& distribution& is& likely& to& be& effective& for&

individuals& with& higher& confidence& and& knowledge& about& booking& accommodation&

online,& marketing& theory& suggests& that& for& services& containing& complex& and& high&

perceived&risks,&people&tend&to&rely&on&personal&channels&(Lovelock&et&al.,&2014).&In&

order&for&Airbnb&to&address&these&issues&and&better&capitalize&on&consumers&of&all&ages&

and& confidence& levels,& a& personal,& non0online& channel& of& distribution& should& be&

included&into&the&marketing&mix.&This&channel&could&be&telecommunications&as&studies&

show& that& 90%&of& consumers& are&more& likely& to& buy&when&helped&personally& by& a&

knowledgeable&staff&member&(Time&Trade,&2015).& &

2.4&Integrated&Service&Marketing&Communication

As&Airbnb&is&an&online&business,&service&marketing&communications&are&predominantly&

channelled& through& online& mediums.& The& company& channels& advertisements& and&

promotion&through&digital&media&and&has&utilized&digital&advertising&platforms&such&as&

Google&Display& in&order& to& increase&awareness&and&build&brand& image& (Think&with&

Google,&2011).&Airbnb&also&utilizes&social&media&platforms&such&as&Facebook,&Twitter,&

LinkedIn&and&Instagram&to&interact&with&consumers&and&promote&the&brand&globally.&

Additionally,&YouTube&is&used&to&introduce&the&company&to&unaware&consumers&and&

explain& the& service& process,& which& has& lead& to& an& increased& number& of& bookings&

(EyeforTravel,& 2011).& Advertisements& have& also& been& published& through& platforms&

such& as& TechCrunch,& Business& Insider& and& via& newspaper,& which& have& aided& in&

creating&and&strengthening&brand& image&and&recall.&Traditional& forms&of&advertising&

such& as& television& commercials& and& billboard& posters& have& also& been& utilized& to&

supplement& the& company’s& online& promotional& presence.& Overall,& these& combined&

strategies& commingle& effectively& to& stimulate& positive& interest& in& Airbnb’s& service&

through&third&parties&(Wirtz&et&al.,&2012).&However,&Airbnb&may&be&in&danger&of&creating&

unrealistic&customer&expectations&regarding&the&quality&of&some&accommodation,&as&

customers&are&not&permitted&to&upload&pictures&of&the&accommodation&they&stayed&in&

to&the&website&after&their&service&experience.&Instead,&customers&must&rely&on&trusting&

the&possibly&misleading&pictures&posted&by&hosts,&potentially&generating&a&lack&of&trust&

for&the&company.&Airbnb&could&counter&this&by&allowing&customer&pictures&to&be&posted&

in&order&to&create&a&more&realistic&view&of&certain&spaces,&which&will&lead&to&a&decrease&

in&customer&dissatisfaction&due&to&unrealistic&expectations&(Lovelock&et&al.,&2014).&&

2.5&Service&Process

Airbnb’s&service&process& is&detailed& in&Figure&2.5.0.&The&blueprint&shows& that&while&

guests&are&customers&of&both&hosts&and&Airbnb&staff,&hosts&act&as&service&providers&to&

guests&as&well&as&being&customers&of&Airbnb&staff.&This&is&why&the&blueprint&includes&a&

second& line& of& interaction,& visibility,& frontstage& and& backstage,& which& describe& the&

relationship& between& hosts& and& Airbnb& staff& (Letheren,& 2016).& With& three& parties&

involved&instead&of&two,&Airbnb&clearly&has&a&much&more&complicated&service&process&

than&most&organisations.&It&is&evident&that&guests&are&at&risk&of&experiencing&wait&times&

and&fail&points&from&both&hosts&and&Airbnb.&as&Airbnb&has&very&little&control&over&the&

professionalism&and&efficiency&of&hosts,& it& is& important&that&guests&have&a&seamless&

experience&with&Airbnb&staff.&Airbnb&should&focus&on&minimising&the&possibility&of&things&

going&wrong&at& the& two& fail&points& identified& in& their& service&processS& responding& to&

complaints&from&guests&and&responding&to&complaints&from&hosts.&They&should&ensure&

that&response&wait&times&are&short&and&that&a&staff&member&is&assigned&to&each&case&

to&resolve&the&complaint/issue&such&that&each&party&is&satisfied&(Lovelock&et&al.,&2011).&&

& &

! &

Figure!2.5.0.!Blueprint!of!Airbnb’s!Service!Process

2.6&Managing&People

Airbnb& is& in& the&cycle&of&meritocracy,&with&aspects&of& the&cycle&of&success&such&as&

monetary&incentives&to&invite&friends&and&receive&discounts&0&refer&to&Appendix&A.&This&

positive& incentive& limits& the&brand&appealing& to&hosts&seeking& financial&benefits&and&

does& not& improve& the& customer& service& standards.& Overall,& Airbnb& efficiently&

processes&people&with&online&messaging&systems&and&applications&allowing&quick&up&

to&date& information&creating&satisfied& loyal&customers.&However,&due&to&being&world&

wide,&volume&and&consistent&messages&become&hard&to&manage.&This&is&in&regards&to&

the&host&application&process&of&not&having&interviews&to&ensure&company&value&and&

role&compatibility,&which&is&vital&for&the&cycle&of&success&(Dudovskiy,&2012).&Research&

states& that& ability& to& manage& employee& skills,& communication& and& strategic&

relationships&are&the&key&to&reflect&a&strong&reliable&brand&(Dudovskiy,&2012).&Currently,&

only& vague& online& information& addresses& service& standards& and& limited& support& is&

provided& to& hosts& in& terms& of& equipment& to& enable& staff& to& excel& into& the&wheel& of&

success.&Despite&a&240hour&refund&policy,&Airbnb&also&does&not&monitor&if&hosts&uphold&

these&standards,&resulting&in&inconsistent&service&and&customer&dissatisfaction&(Airbnb,&

2016).&Furthermore,& laws&and&cultural&and&economic&factors&influence&the&quality&of&

the&service&within&certain&regions,&causing&inconsistency&among&hosts&and&customer&

experience&(Airbnb,&2016).&To&monitor&this,&a&two0way&review&system&is&implemented&

that& enables& hosts& and& customers& to& rate& each& other.& Despite& this& system,& flaws&

include& your& personal& details& being& exposed& therefore& influencing& and& preventing&

honest& reviews& due& to& privacy& concerns& (Mulshine,& 2015).& These& areas& of&

inconsistency&which&head&office&has&failed&to&control&must&be&fixed&to&solidify&a&position&

in&the&wheel&of&success.&&

& & &

2.7&Servicescape&and&Physical&Evidence&

Services&are&harder&to&market&and&create&strong&brand&awareness&than&products&due&

to&being&intangible.&Therefore,&strong&visual&and&emotional&cues&are&vital&to&reflect&a&

trustworthy&brand&and&create&customer&relationships&(Chroncom,&2016).&As&Airbnb&has&

vast& variation& in& accommodation& style,& this& becomes& difficult& to& measure& causing&

potential&inconsistencies&and&customer&frustration.&Further,&images&of&accommodation&

online&can&be&deceiving&and&guests&cannot&post& images& in&reviews&to&support& their&

claims.&&As&travel&accommodation&is&perceived&as&a&high0risk&category&with&associated&

financial,&emotional,&physical&and&sensory&risks&–&it&is&vital&that&information&and&physical&

evidence& are& accurate& to& build& a& foundation& of& trust& (Reisinger,& 2009).& This& will&

therefore& be& analysed& from& the& website& and& head& office& perspective.& Overall& the&

website& is&brand&consistent,&modern&and&easy&to&navigate&–&which&removes&doubts&

prior&to&purchase.&In&reference&to&the&Flower&of&Service,&Airbnb&uses&online&electronic&

systems&to&monitor&the&core&products&–&billing,&payment,&information&search&and&order0

tracking.&This&lack&of&physical&evidence&hinders&the&customer’s&ability&to&judge&a&value&

proposition,& service& quality& and& expectations.&Additional& issues& include& the& service&

being&restricted& to&online&and&application&based,& therefore& limiting&a&potential&wider&

market&of&those&who&are&not&globally&connected.&Lastly&the&San&Francisco,&California&

head&office&can&be&summarized& in&one&quote&as&“the&ultimate&reflection&of&both& the&

brand,& and& the& tech& world’s& new& way& of& working”& (Hagberg,& 2013).& Thus,& despite&

having&difficulties&conveying&physical&evidence&online&it&can&be&seen&they&excel&within&

the&head&office&department.& &

3.0&Recommendations&

3.1&Managing&People

Allow&guests&to&have&the&option&to&make&reviews&anonymous&by&removing&links&to&their&

personal& profile,& and& allow& photos& to& be& posted& to& support& claims.& This& is& vital& to&

improve& Airbnb’s& credibility& as& online& reviews& influence& pre0purchase& behaviour.&

Research&indicates&people&feel&more&comfortable&posting&anonymous&comments&as&it&

enables&them&to&write&honestly,&not&attract&criticism&and&protect&their&identity&(Browning,&

So,&&&Sparks,&2013).&Airbnb&should&trial&this&and&monitor&changes&in&review&responses&

against&prior& reviews,&and&allow&guests& to&change&any&previously&made& reviews& to&

anonymous.&Further&cross0examination&of&guest&photos&to&host&photos&highlights&any&

inconsistencies&providing&a&more&accurate&representation,&whilst& removing&potential&

bias.& Overall& this& process& enables& an& honest& and& accurate& representation& of& the&

accommodation,&thus,&improving&customer&satisfaction.&

3.2&Service&Product&and&Positioning&

To& generate& a& higher& level& of& customer& satisfaction,& Airbnb& must& better& cater& to&

travellers& who& consume& the& service& in& groups.& This& can& be& achieved& by& offering&

tailored&supplementary&services& that&allow& for&a&split&payment&method&of&purchase.&

This&strategy&has&proven&to&be&successful&when&implemented&by&other&peer0to0peer&

companies&such&as&Uber,&as&it&enables&each&consumer&to&pay&conveniently&from&their&

own&account&(Ochs,&2013).&The&heightened&level&of&convenience&that&split&payments&

would&bring&to&Airbnb&is&vital&as&convenience&is&one&of&the&key&drivers&of&consumer&

purchasing&(Kelley,&1958).&Furthermore,&tailoring&the&product&to&better&suit&the&target&

market&is&vital&in&increasing&customer’s&perceptions&of&service&quality,&which&leads&to&

increased&customer&acquisition&(Lovelock&et&al.,&2014).&&

3.3&Pricing,&Productive&Capacity&and&Demand&

To& ensure& that& Airbnb& is& operating& at& optimum& capacity& and& receiving& maximum&

revenue&from&each&booking&(Lovelock&et&al.,&2011),&the&company&must&develop&their&

pricing& recommendation& system& such& that& it& generates& comprehensive& price&

optimisation&reports&for&each&host&every&night&of&the&year.&Airbnb&should&then&monitor&

the&percentage&of&hosts&using&these&pricing&recommendations,&and&if&usage&has&not&

increased&significantly&after&6&months,&Airbnb&should&consider&enforcing&rules&where&

hosts&are&required&to&set&prices&within&15%&of&the&recommended&price.&Enforcing&such&

rules& would& inevitably& lead& to& an& increase& in& efficiency& for& the& company,& in& turn&

increasing&Airbnb’s&total&revenue.&&

!! !

4.0&References Airbnb.&(2016).&About$Us.&Retrieved&October&17,&2016,&from&

https://www.airbnb.com.au/about/about0us&

&

Airbnb.&(2016).&Can$I$use$more$than$one$payment$method$to$pay$for$a$reservation?&

Retrieved&October&18,&2016,&from&

https://www.airbnb.com.au/help/article/444/can0i0use0more0than0one0

payment0method0to0pay0for0a0reservation&

&

Airbnb.&(2016)&How$can$we$help?&Retrieved&October&6,&2016,&from&

https://www.airbnb.com.au/help/article/376/what0legal0and0regulatory0issues0

should0i0consider0before0hosting0on0airbnb&

&

Airbnb.&(2016).&What$are$the$service$fees?$Retrieved&October&7,&2016,&from&

https://www.airbnb.com.au/help/article/384/what0are0the0service0fees&

&

Airbnb.&(2016).&What$Should$I$do$if$Something$is$Missing$or$Not$As$Expected$When$

I$Check$In?.&Retrieved&October&13,&2016,&from&

https://www.airbnb.com.au/help/article/248/what0should0i0do0if0something0s0

missing0or0not0as0expected0when0i0check0in&&

&

Airbnb&Hell.&(2016).&Airbnb$Guest$Stories.&Retrieved&October&18,&2016,&from&

http://www.airbnbhell.com/airbnb0guest0stories/&

&

Browning,&V.,&So,&K.,&&&Sparks,&B.&A.&(2013).&The$Influence$of$Online$Reviews$on$

Consumers’$Attributions$of$Service$Quality$and$Control$for$Service$Standards$

in$Hotels.&Retrieved&October&25,&2016,&from&

http://www98.griffith.edu.au/dspace/bitstream/handle/10072/52550/86338_1.p

dfSsequence=1&&

&

Dudovskiy,&J.&(2012).&Cycles$of$Failure$and$Cycles$of$Success$and$their$

Implications$on$Service$Profit$Chain.$Retrieved&October&13,&2016,&from&

http://research0methodology.net/cycles0of0failure0and0cycles0of0success0and0

their0implications0on0service0profit0chain/&&

&

EyeForTravel&(2011,&October&4).$How$Google$Display$Network$helped$Airbnb$grow$

to$over$2m$nights$booked.$Retrieved&October&17,&2016,&from:&

http://eyefortravel.com/social0media0and0marketing/how0google0display0

network0helped0airbnb0grow0over02m0nights0booked&

&

Gasca,&P.&(2015,&December&7).&8$Shopping$Habits$of$Millennials$All$Retailers$Need$

to$Know$About.&Entrepreneur.&Retrieved&October&20,&2016&from&&

https://www.entrepreneur.com/article/253582&

&

Hagberg,&E.&(2013,&December).&Rooms$with$a$view.&Retrieved&October&11,&2016,&

from&http://www.metropolismag.com/December02013/Rooms0with0a0View/&

&

Hill,&D.&(2015).&How$much$is$your$spare$room$worth?.&IEEE$Spectrum,&52,&32058.&

doi:&10.1109/MSPEC.2015.7226609.&Retrieved&October&21,&2016.&

&

Hook,&L.&(2015,&November&13).&Airbnb$shakes$up$pricing$to$attract$new$hosts.$

Financial$Times.&Retrieved&October&15,&2016,&from:&

http://gateway.library.qut.edu.au/login?url=http://search.proquest.com.ezp01.li

brary.qut.edu.au/docview/1748505277?accountid=13380&

&

Letheren,&K.&(2016).&AMB340$Services$marketing:$Module$11$[Lecture$Notes].$

Retrieved&from&

https://blackboard.qut.edu.au/webapps/blackboard/content/listContent.jsp?co

urse_id=_124951_1&content_id=_6046408_1&&

&

Lovelock,&C.&H.,&Patterson,&P.&G.,&&&Wirtz,&J.&(2011).&Services$Marketing:$An$Asia$

Pacific$and$Australian$Perspective$(5th&ed.)&Frenchs&Forest,&NSW:&Pearson&

Australia.&&

&

Lovelock,&C.&H.,&Patterson,&P.G.,&&&Wirtz,&J.&(2014).&Services$Marketing:$An$Asia$

Pacific$and$Australian$Perspective$(6th&ed.).&Frenchs&Forest,&NSW:&Pearson&

Australia.&&

&

Mulshine,&M.&(2015,&June&19).&After$a$disappointing$Airbnb$stay,$I$realised$there’s$a$

major$flaw$in$the$review$system.&Retrieved&October&6,&2016,&from&

http://www.businessinsider.com.au/why0airbnb0reviews0are0a0problem0for0the0

site0201506&

&

Reisinger,&Y.&(2009).&International$tourism:$Cultures$and$behavior.&Retrieved&

October&22,&2016,&from&

https://books.google.com.au/books?id=_Jz4ZJsoaMgC&pg=PA315&lpg=PA3

15&dq=is+travel+a+high+risk+purchase+decision&source=bl&ots=0

RFhRpQY7V&sig=Y64C0

NCK5vfSoWZr3MJlLyvlyR8&hl=en&sa=X&ved=0ahUKEwin3siVvNLPAhWCc

D4KHW5uB0cQ6AEILzAE#v=onepage&q=is%20travel%20a%20high%20risk

%20purchase%20decision&f=false&

&

Smith,&C.&(2014,&June&13).&The$Surprising$Facts$About$Who$Shops$Online$And$On$

Mobile.&Retrieved&October&17,&2016,&from&

http://www.businessinsider.com.au/the0surprising0demographics0of0who0

shops0online0and0on0mobile0201406?r=US&IR=T&

&

Smith,&C.&(2015).&50+$Amazing$Airbnb$Statistics.&Retrieved&October&17,&2016,&from&

http://expandedramblings.com/index.php/airbnb0statistics/&

&

Statista.&(2015,&September&11).&Eacommerce$worldwide$a$Statistics$&$Facts.&

Retrieved&October&23,&2016,&from&

https://www.statista.com/topics/871/online0shopping/&

&

The&Economist.&(2013,&March&9).&The$rise$of$the$sharing$economy.&Retrieved&22&

October,&2016,&from&

http://www.economist.com/news/leaders/215731040internet0everything0hire0

rise0sharing0economy&

Think&with&Google.&(2016).&Airbnb's$Success$with$Google$Display.&Retrieved&17&

October,&2016,&from&https://www.thinkwithgoogle.com/case0studies/airbnbs0

success0with0google0display.html&&

&

Time&Trade.&(2015,&May&18).&Study:$85%$of$Consumers$Prefer$to$Shop$at$Physical$

Stores$vs.$Online.&Retrieved&17&October,&2016,&from&

http://www.timetrade.com/news/press0releases/study0850consumers0prefer0

shop0physical0stores0vs0online&&

&

Wirtz,&J.,&Lovelock,&C.&H.,&&&Chew,&P.&(2012).&Essentials$of$services$marketing$(2nd&ed.).&Singapore:&Prentice&Hall.&

! !

5.0&Appendix& Appendix&A:&Airbnb’s&Incentives

Appendix&B:&Airbnb’s&Price&Tips&

!