TIỂU LUẬN KẾT THÚC HỌC PHẦN MÔN HỌC MARKETING CĂN BẢN

UEH UNIVERSITY
SCHOOL OF FOREIGN LANGUAGE

---- TIỂU LUẬN KẾT THÚC HỌC PHẦN --MÔN HỌC: MARKETING CĂN BẢN
Mã học phần:

: 22C1MAR50316101

Giảng viên:

: Đinh Tiên Minh

Người thực hiện:

: Nguyễn Thị Kim Anh

MSSV:

: 31201020003

TP. Hồ Chí Minh, ngày 14 tháng 10 năm 2022


MỤC LỤC
I.
II.

CASE STUDY SUMARY.........................................................................................3
RELATED THEORIES.........................................................................................5

1. Customer value:.........................................................................................................5

2. Level of product and services:..................................................................................5
3. Adoption process:......................................................................................................6
4. Service:....................................................................................................................... 7
5. Service marketing:....................................................................................................7
6. Four characteristics of services:...............................................................................8
7. Brand Positioning......................................................................................................9
REFERENCE................................................................................................................. 16

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I.

Case study Sumary.

In decades, the Hotel industry has sharpened its standardized offerings. A typical room is
about 13 by 25 feet including a bathroom, a closet and some typical furniture. In that way,
they could hide lots of negative experiences which typically results in an unsatisfied
frame of mind for most guests. However, keeping the same model as offering only one
cookie-cutter option, that prevents the travel industry from keeping in touch with its
customers.
For this reason, a logging provider has broken new ground in these areas by providing
completely opposite experiences with the hospitality world’s status quo, it’s called
Airbnb. The company is established by 2 founders Chesky and Gebbia, is an online
community marketplace. They do not own any real estate, they basically facilitate
transactions between those who have available room in their homes with guests who are
finding accommodations. 
Whereas other major hotel chains make efforts to follow a typical and strict model of
industries, Airbnb enhances their list of property options as much as they can by
providing services to both guests and hosts. Firstly, The company gives owners the

opportunity to rent out any real property which is available. It could be a couch, a single
bedroom, whole apartment, a moored yacht, even a castle as well. They could also offer
booking duration depending on price as well as some more detail information of their
accommondations and listings with just a 3 percent booking fee returned to the website.
On the other hand, Airbnb facilitates the booking process by online website providing
attached photos, details and the owner’s contact. Therefore, the guests find it easier to
figure out the suitable room. Moreover, about 6 to 12 percent of the buyer's payment is a
service fee in order to ensure the security deposits.
As applying the new technique in a certain stable model, Airbnb has to deal with a big
question: When few users were willing to take risks with first experience. How could they
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push the adoption process? They go through these problems via 2 methods. The first
method is using a standard rating system which can measure both lodging provider and
renters credibility through reviews and a clear booking process. Secondly, Airbnb
provides a verification process as well as some safe tips which makes users approach the
website easier. Thirdly, Hosts received further protection by an included insurance policy
minimizing a variety of their risks. Although these measures can not solve all damages, it
becomes a strong competitive advantage setting them apart from other hotel chains.
Airbnb broke the barrier of a certain hotel industry one more time by providing users with
unique and more meaningful experiences which satisfy customer’s expectations. They
realized most customers who are traveling are delighted to engage with the locals. Instead
of giving guests a list of convenient hotel rooms, Airbnb recommends them to live in a
local house to approach practical cultures and experiences. In Airbnb Open which is a
motivational annual event established in Paris, the company conveyed a strong and clear
message that: With those Airbnb experiences, guests are provided the feeling of being a
piece of the new culture in a new city. It was a successful positioning strategy defining
stable characteristics for their brand in the consumer's mind. Airbnb does not give you the
best travel experience, they provide you with an authentic and unique living experience.

Airbnb took up a line extension. They extend existing brand names to new logo text,
symbols and slogans. The new logo and slogan communicate an idea of belonging to
something that goes beyond cultural differences, slogan is: Belonging anywhere.
Through the years, Airbnb's first priority remains the same. They set their goal on
providing authentic experiences to both guests and hosts. The company gives a deep
concentration on its community with hosts who are considered as their target customers.
They purposely build up a large global community of lodging providers following their
vision in order to maintain the service quality possible. Furthermore, Airbnb ambition is
contributing to world peace via their services which create people engagement and
provide them deeper cultural understanding. Airbnb has impacted the hotel industry.
Some huge hotel chains were trying to expand their perception and innovate new
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approaches. However, it is impossible to duplicate Airbnb’s preemptive experience in a
short period of time.
In its brief eight-year-existence, Airbnb has proven their vision with magnificent success.
Their global network includes greater than 2 million options to sixty million guests
throughout 34,000 cities in 191 countries which built a market value reaching $25 billion.
Airbnb defeats the accomplishments of the biggest hotel chain worldwide, 100-year-old
Hilton with the number of 765,000 rooms, 4,660 properties, along with a market value of
$22 billion.
Going along with their fast growth and magnificent success, Airbnb has to deal with a
variety of difficulties. Firstly, Some cities require the rental of personal real estates for
duration greater than 30 days. The other problem comes from the guest's hesitation when
choosing a new way. Airbnb goes through all those issues with their sustainable ideals.
II.

Related Theories.

To enhance the unique customer value as well as build up a sustainable value for the
company, Airbnb has applied a large number of marketing theories.
1.

Customer value:

Customer value includes all the practicality, advantages a customer receives when they
buy a product. It could be measured as how it is worth for customers, especially when
they compare it to a variety of alternative options in a competitive market.
Having a deep understanding about customer value and how to apply this theory can
assist service providers to price products fairly and reduce friction within the customer
experience.
2.

Level of product and services:

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In the beginning, Airbnb invested a lot of money on budget-minded customers, it
provided some listings with competitive prices. After that, Airbnb realised that customers,
especially travellers, want more than just low prices. Airbnb positioned its service like a
unique and realistic experience. The customer value improvement is a result of the level
of product and service they focus on.
Level of product: Philip Kotler devised a model
which divides products and services into 3
levels. This concept helps us actively estimate
the nature of a product further.
The CORE product: Is the main benefit of a
good and service that consumer really receive.

It’s the intangible product that we can see or
touch. For Airbnb example, their core product is
not an available room, it is a unique and
realistic experience
The ACTUAL product includes tangible, physical
products. You can get some use out of it. Again with
Airbnb, it is their brand image, standard rating system,
website and the quality of the room guests receive. 
The AUGMENTED product consists of lots of additional
value. So when you become an Airbnb user, augmented products would be the guidelines,
protect policies, lodging provider community… They are a crucial part to tailor products
to what an individual customer is seeking.
3.

Adoption process:

Adoption process: Are plans, strategies of a company as they publish a new product. It is
like a mental process to help a customer to pass from heristation of first learning. The aim
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of this process is to turn an individual from total unawareness into a regular user of this
service.
There are five stages in the adoption process:
Awareness. When The consumer hears about a new product or service but they have very
little information related to it.
In this stage, marketers should convey awareness of the product to emphasize their
difference between their new method and the other. They also need to clarify customer
confusions or problems.
Interest. The potential consumer who is delighted, starts to find more information about

the product. Depending on their purposes – along with suitable features, price and
additional services.
Evaluation: The consumer takes considerations about the pros and cons when they stop
using certain products and others try.
During this phase, marketers start communicating the best use cases, emphasizing their
strengths, setting their product apart from other suppliers.
Trial. The consumer decides to try the new good or service to compare and estimate its
value to the previous one. They will choose the new one when it fit their specific needs.
Adoption. The consumer is willing to buy the new product regularly. Marketers have to
show them they will always receive the best value and forego whatever other companies
can give.
Each segment of consumer has different techniques to approach. Marketers often attract
their attention and seek their primary consumers. There are several features influencing
the rate of adoption: relative advantages, compatibility, complexity, divisibility, and
communicability.
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4.

Service:

According to Philip Kotler’s definition, service is defined as an activity, advantage, or
satisfaction a company offers to their customers. They are intangible “products” and
unable to be owned.
5.

Service marketing:

Service marketing is strategy based on relationships to improve customer value. Service

providers apply it to market their segment of product. Service becomes more and more
crucial in the international economy. the company should pay the hard attention on this
market aspect to differentiate with their competitors, especially in an emerging market.
Marketing services are not similar methods to marketing products because of 4
significant elements of services including intangibility, perishability and inseparability
and variability.
When the company tries to extend their product and services internationally, developers
have to deal with some challenges. Firstly, they must find out the suitable offer for
different customer segmentation. The second challenge is measuring appropriate
standardisation to the adaptation process in the world markets. Thirdly, companies need
to carry out the way to maintain their service quality and convey a succinct message
which enhances a company's consistent international image. Last but not least, It also
minimises marketing costs but still keeps productivity and quality of a number of
service’s aspects. With those methods, Companies can control these differences by
adapting their product offerings.
6.

Four characteristics of services:

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Intangible: Service intangibility tells the story that customers can not see, taste and feel
the service before purchasing
so they find it hard to measure
this “product” and make a
decision to buy it.  Developers
need to push the adoption
process by making their service
more tangible. They need to

create the right “signals” to
communicate

quality

differences, especially their platform security.
Inseparable: Service inseparability shows that services cannot be separated into
independent parts. Service outcome depend much on people. Both staff and customer
contribute to service process, customers don’t just buy and experience a service; they play
an important role in its delivery. Both the provider and the customer affect the service
outcome. In Airbnb’s case study, lodging providers are people who engage with guests
and decide the service quality they receive. In returrn, the customer resource is the core
factor that hosts can value Airbnb’s service. Creating provider–customer interaction is
primary mission of developers.
Variability: refers to the customer service is flexible, it depends on providers, time, place
and how they are provided. For instance, Airbnb has to struggle with keeping a
sustainable service qualilty when connect lodging providers community have reputations
for providing better service than others. Therefore, quality varies relying on hosts feeling
and frame of mind during booking process.
Perishability: is a service features that prevent the product or service to be stored for sale
at a future date. It brings no problem as demanding of the market is stable. Thus, when
demand become flexible, service provider have to struggle with some complicated issues.
For instance in some hotel service providers as Airbnb, it’s too difficult for their
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customers to provide the best option because they have fewer choices in when the demand
of travelling turns so high, especially during the travel season, In contrast, Hosts have
more vacancies in some months. Thus, service firms have to deal with the pressure
controlling a better match between demand and supply. 

7.

Brand Positioning

Brand Positioning: is defined as “the action of designing the company’s offering and
image to occupy a distinctive place in the mind of the target market” by Kotler.To
rephrase it, Brand positioning clarifies what is the brand difference which can set them
apart from its competitors and which features that sit in customers’ thinking. A company
needs to plan a positioning strategy involving conveying their image in customers’ minds,
Communicate a clear message to get their good perception.

The company should go beyond attribute or benefit positioning. They create strict and
sustainable visions and values, and have a deep engagement with consumers. For
instance, Airbnb research showed that booking an accommodation service is more than
just providing a convenient room to customers. They create a better connection with the
value by giving their customer a chance to know more about culture, meet locals and
become “a locals” during their journey.
Applying this strategy, the company should build a clear mission as well as a vision that
all staff and employees can follow easily. It is their promise to maintain a stable set of
characteristics, benefits, services, and experiences to consumers. It must be a clear
message. 
Airbnb, for example, was a successful positioning strategy defining stable characteristics
for their brand in the consumer's mind. Airbnb does not give you the best travel
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experience, they provide you with an authentic and unique living experience. They ensure
a memorable experience, not just a low payment.
III.

1.

Questions.

How do the four characteristics of services apply to Airbnb? How does
Airbnb deal with each characteristic?

There are four characteristics of services including: Intangible, inseparate,
variable and perishable. They create some challenging difficulties that Airbnb’s
developers need to overcome. The differences in choosing solutions set the
company apart from the others.
Intangible: Airbnb provides services for both owners and renters with the aim of
facilitating the booking process. Hosts pay for the sale platform functions, customer
resources, certain service guidelines and their security... to maximize the opportunity of
renting out their real estates. For guests, they pay Airbnb for a variety of renting options,
booking assistance and special unique experiences as well. All of those services are
unable to be seen, felt and evaluated before first experience. Developers need to push the
adoption process by making their service more tangible. They need to create the right
“signals” to communicate quality differences, especially their platform security. There are
some methods Airbnb has applied to deal with this issues: 


They provide realistic images as much as possible. Most listings include photos
and details that give potential guests a reasonably accurate idea of what their stay
will be like. Guests can contact potential hosts with questions before booking.



Using a standard rating system which can measure both hosts and guests credibility
through reviews and a clear booking process. 



Hosts received further protection by insurance policies minimizing most of their
risks.
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Inseparable: Service inseparability tells the story that services cannot be separated into
independent parts. Guests and hosts impact the service outcome, they not only purchase
and experience a service, they are also an main role in its delivery. In this case study,
Lodging providers are people who engage with guests and decide the service quality they
receive. The number of renters is the core factor that hosts can value Airbnb’s service.
Developers enhances provider–customer interaction in these ways.


Airbnb continuously improves all aspects at a time. It facilitates the booking
process and ensures a unique experience for guests. However, Airbnb considers
its lodging provider to be its target segment of customers who are given extra
protections. 



Any user could be a staff member of the customer service department through the
standard rating system. Developers create motivation by giving A “superhost”
status, representing an assurance of better booking experience and high-quality
service as well.

Variable: The number of lodging providers and guests, users’ demand, real estate
placement and booking duration have core impacts on Airbnb’s customer service, making

it flexible. Guests stay in local houses, there is no standardized model, their experience
depends on different hosts or even the provider's frame of mine. It creates a big challenge
for the company to maintain their quality. Airbnb follows basically two approaches
developers followed towards meeting their service standards.


Airbnb keeps activities stable by maintaining the number of users and customer
resources. Airbnb priority is its community of lodging providers, intended to build
an active global community of hosts putting their belief in the Airbnb vision.



Airbnb sets their standards by giving host guidelines to maintain the similar
booking experience.

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

Airbnb's objectives and direction remain the same through the years. They have
clear goals on providing authentic experiences to both guests and hosts and create
people connections. 

Perishability: Airbnb offers accommodation through registered hosts who are using the
platform. However, service is perishable which means they can not be stored. In periods
of time when demand rises so high, especially during the travel season, they find it hard to
figure out the best option because they have fewer choices. In contrast, Hosts have more
vacancies in some months. Thus, service firms have to deal with the pressure controlling a
better match between demand and supply. 



They extend the segment of users by allowing owners to rent out any real property
which is available, It could be a couch, a single bedroom, whole apartment, a
moored yacht, even a castle as well. In this way, guests are also always given a
property of choices.



Airbnb attracts customers, especially travelers by the online process including most
about buying or booking. Users who registered already can search by their own
keywords. These methods facilitate the booking process and we can find it
relatively simple to become their customer.

2.

How does Airbnb differentiate its offer, delivery, and image?

Airbnb developers thought out of the box which standardized the hotel industry model.
Chesky and Gebbia realize that keeping the same model as offering only one cookiecutter option prevents the travel industry from keeping in touch with its customers.
Airbnb enhances their list of property options as much as they can by providing services
to both guests and hosts. They facilitate the booking process by online website providing
attached photos, details and the owner’s contact. Therefore, the guests find it easier to
figure out the suitable room. Furthermore, instead of recommending a convenient and
comfortable room in hotels, Airbnb brings guests a chance to stay in a local house.
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Chesky and Gebbia claim that Airbnb provides the customers a unique experience when
traveling internationally and people who use Airbnb do not just get the typical tourist

experience, rather an experience of living like a host who are citizens of the country they
visit. 
Airbnb makes a great attempt on line extension to emphasize their value proposition. The
company tossed out its certain straightforward text logo to find something far more
abstract—a symbol that reminds of a puffy capital letter “A” is understood as the “bélo,”
“the universal symbol of belonging.” The new logo conveys an idea of belonging through
something that transcends language, culture, and geography. A new slogan “Belong
Anywhere.”  With those Airbnb experiences, guests start to feel like they are a part of the
local and the city. They also hold up In Airbnb Open - a motivational annual event held in
Paris to promote this strong and clear message. That’s the reason why their product holds
a strong competitive advantage as hoteliers try to follow the Airbnb way, they will take a
tough time to duplicate their experiences
3.

Will Airbnb last as long as Hilton Worldwide has? Explain.

Although Airbnb has to face up with a variety of challenging problems, we can
see their growing potential in the long term through these aspects of extending
marketing.


They provide guests with unique and preemptive experiences, setting them apart
from other service providers in the hotel industry. Airbnb keeps a strong
competitive advantage by building profitable customer relationships and
delivering more value and satisfaction to target customers. Despite being an
innovator in the face of challenges to persuade customers to overcome the
hesitation of trying something new, Airbnb still drives the adoption process in
line. 



Global development: Their global network is greater than 2 million listings and 60
million guests throughout 34,000 cities in 191 countries. They even defeat the
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accomplishments of the biggest hotel chain worldwide, 100-year-old Hilton with
the larger market values in the first 8 years. Their method affects individual
consumers and public actions as well when some big service providers in the
hotel industry follow them. Airbnb always make efforts on carry out unique and
better methods with the aim of maximize customer value. They become a
significant marketer who continuously innovative in marketing strategies.


Airbnb considered beyond immediate customer satisfaction and hotel industries
performance toward sustainable strategies that make the company suitable for
future generations. They are aware of the social responsibilities to bring people
together, improve world peace. Airbnb drives the company in those great visions.
They release a new technique which depends on customer expectations. People
pay more attention to traveling, cultural differentiation. In this case study, we can
see that a lot of people are delighted in Airbnb’s services even though they are
still afraid of an unusual method. It is suitable for lifestyle changes, especially in
this globalization era.



Airbnb has successfully built up sustainable goals and priorities, Airbnb's first
priority remains the same through the years. They follow ethics policies including
distributor relations, customer service standards through all marketing strategies.
It is easier for users to follow certain guidelines, maintaining the best service

quality. Futhermore, it enhances their credibility which attracts more and more
users.

In conclusion, Airbnb can develop sustainably because of all customers value they create.
They take action in both social, and ethical responsibility. Not only considering the
demands and desires of certain users, they also have concern for future’s generations in
maintaining the survival and achievement of the business, lodging providers, guests, and
the perception of the worldwide. Following the objective of connecting people and rise
cutural value, Airbnb build profitable relationships in an intention to receive value from
users in return.
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Reference

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