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Unrelated to start-up investment, just a random thought about ABNB: I was thinking about the impact of hotel chains' business traveler kick-back schemes (euphe
by ShabbyDoo 16y ago
Unrelated to start-up investment, just a random thought about ABNB:
I was thinking about the impact of hotel chains' business traveler kick-back schemes (euphemistically known as "rewards" programs) on the independent room providers (a phrase I just coined to run the gamut between someone renting out his spare room and a boutique hotel) ability to attract business travelers. How, as a business renting out 40 rooms in a single city, do you compete with Marriott who can offer some guy and his wife a free weekend stay anywhere in exchange for funneling his company's (or even his company's client's) dollars toward their brands? What if ABNB offered up to these independent operators a rewards program similar to those offered by the big chains? They would move beyond be a transaction facilitator toward being closer to a consumer brand. I believe that lower-end hotel chains basically follow this model -- independent owners become franchisees of the brand as a way to get bookings, have a recognizable brand, etc. While I doubt that too many of today's ABNB bookings are business-related, that number will surely increase. I love playing armchair QB :)
- Duff 16y agoYou can also hook into the kickback schemes by partnering with major reward programs like Amex Membership Rewards. Or work with state governments to have a voucher program like what Ireland has for BnBs. It's a great business.