You cannot run a business of today using yesterday's methods
The business environment is without a doubt, one I find unpredictable. Things can go up and down overnight.
This is most likely going to be one of my shortest blogs but i thought i would be better to write it here rather than a long post on facebook.
One of my assessment this term was to evaluate the marketing strategy to Airbnb. And the more i learn about this company the more I become fascinated about this company.
Airbnb was founded by Brian Chiasky and Jo Gabier in 2007. They had just moved to San Francisco from New York. There was a Design Conference happening at one point and having noticed that most Hotels were either too expensive or fully booked, they decided to make room in their own apartment using air beds. The rest is history, look it up
In 1919, when Conrad Hilton bought his first hotel, As of September 2018, its portfolio includes more than 5,500 properties (including timeshare properties) with over 894,000 rooms in 109 countries and territories. Prior to their December 2013 IPO, Hilton was ranked as the 36th largest privately held company in the United States by Forbes
Why these two companies? Well the most “in your face” answer is that they are both in the Hospitality industry. With over 99 years of history, It is only logical for you to think that the Hilton Group is worth more than an 11 year old company. Besides, the Hilton is luxury worldwide hotel and yes 99 years in the making.
If that’s your thinking too, well you are far from reality and that’s where I was too.
As of 2018, The Hilton is worth $28 Billion and wait for it … Airbnb is worth over $30 Billion!!
You will ask but “HOW?” Supply and Demand, Positioning. In a world where starngers meet online and get married within a year (yes I am one of them), people who have never met become best friends via social media, people sharing their most important life moment on social media as if the 1000 connections on their page are all their best friends. Airbnb founders wanted to offer a personalised service whereby people can book a holiday accomodation with the intimacy that you wouldn’t get from booking a hotel room.
Laveraging the power of internet marketing, in the past 7 years Airbnb has gone from strenght to strength. Although legislations in certain countries is clamping down and trying to make things difficult for these guys, there will always be a business for them
According to an article by Shane Barker, more than 74% of consumers make purchasing decisions based on what they see on soical media. Being an entrepreneur, online marketing is a huge part of my business, in fact I went back to Uni to learn more on advertising and consumers behaviour.
Can you business survive without social media, of course it can! Can it be better? Yes most definitely. Yes it is easier said than done, but do you really have a choice? Can your business really grow without using Online Marketing?
Airbnb owners only made $200 profit a week in their first year. Second year they were making $500 a week which went to millions on their 3rd year. Often when people start to build their business online, they tend to expect instant results. They quit after 10 Facebook posts and 5 Instagram pictures.
Building an online presence takes time, effort and also money and so does building a business. The reality is, If you start today, you will get there earlier than if you started tomorrow.
Do you use Social Media for your business? Do you have a Social Media Marketing Strategy for your business? If not what do you do to attract your customers? Do you agree with Shane?
In my next blog, I will share with you how I started, the mistakes to avoid, the books to read, the best platform and how to make your business stand out online. Remember to follow this blog to receive a notification when i next post.