Business Model Analysis

The travel revolution

No easy way existed to booked a room with a local or became a host
Book homes from local hosts in countries and experience a place like you live there.
Costumer Segments | PROBLEM

Price is an important concern for Hotels leave you disconnected

customers booking travel online from the city and its culture.

No easy way exists to book a room

with a local or become a host
Costumer Segments | PROBLEM

To date, tens of millions of travelers have

chosen Airbnb to experience cities not as
tourists, but as locals.
Costumer Segments | PROBLEM
Costumer Segments | PROBLEM
Costumer Segments

Two-sided market
People that are looking for places and people that are willing to rent out theirs.
Costumer Segments

Two-sided market
People that are looking for places and people that are willing to rent out theirs.

2 Billion +
560M
84M
Costumer Segments

Airbnbs Tbilisi
Costumer Segments

Airbnbs Tbilisi
Costumer Segments

Myhome Tbilisi
Costumer Segments

Airbnbs Tbilisi
Channels and customer relationships
How do you reach customers? How do THEY want to be reached?

Craigslists integration
Channels and customer relationships
How do you reach customers? How do THEY want to be reached?

Advertising print / display / social paid advertising

Referral (AKA word of mouth)
Channels and customer relationships
How do you reach customers? How do THEY want to be reached?

Advertising print / display / social paid advertising

Competition
Competition
Competition

Awesome design? Excellent idea? Technology? Just dumb luck?

How Airbnb Became a Billion Dollar Company

?
Competition

Awesome design? Excellent idea? Technology? Just dumb luck?

How Airbnb Became a Billion Dollar Company

Our Answer: Craigslist Spam!

Competition
Competition
Competition

Craigslist Spam!
Competition

Craigslist Spam!
Competition

Craigslist Spam!
Competition

Craigslist Spam!
Competition Craigslist vs Airbnb
Competition Craigslist vs Airbnb
Competition

Craigslist vs Early Airbnb Airbnb Today

Network/Marketplace

Network/Marketplace
Network/Marketplace
Technology Technology
infrastructure infrastructure
Infrastructure Data

Data
Key resources

* Digital: Online platform

* Skilled Employees: well-networked founders,
tech people & country managers
* Financial: $2.39B in 8 Rounds from 32 Investors
 Key activities

* Trust Problem: /verification process, insurance policy, transparency.

* Traveler Retention: /promotional codes and credits to frequent travelers
* Country Legal Fights: /Tax law, Airbnb Low

The Economic Impacts of Home Sharing

in cities around the world
Key Partners

* Investors: /$2.39B in 8 Rounds from 32 Investors

$20 000 Funding, Network, Advisers

Sequoia
Capital
Key Partners

* Investors: /$2.39B in 8 Rounds from 32 Investors

Key Partners

* Photographers: /Freelancers 2,000 +

The photos were really bad. People were using camera phones and
taking Craigslist-quality pictures. Surprise! No one was booking
because you couldn't see what you were paying for."
Revenue Streams

Revenue model: How Airbnb makes money?

* Commission from Property Owners (Hosts)

* Transaction fee from Travellers (Guests)

A 10-15% commission on each transaction

10.6M $20 $200M

Revenue Streams
Cost Structure

* Technology: /programming, payment processors

* Marketing: /ads, lobbyists
* Sales: /country managers/business development
Costumer Segments

The future of Airbnb in cities