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Wednesday, October 31, 2012

Ch.18 Sales Promotion and Costumer Selling




How do the online companies promote special discounts and offers?


The revolutionary e-commerce companies have different promotional strategies such as :



  • Free Merchandise
  • Sweepstakes
  • Free shipping
  • Coupons codes

Most of the online companies have a physical product where free shipping and handling can be applied. 







How can companies without a physical product such as Facebook and Airbnb offer promotions? 



In the first place, signing up for Facebook is free. Most of Facebook profits do not come from promotions. Instead their high revenue numbers come from selling advertising to other companies who are promoting their products. On the other hand Airbnb offers a service and not a product so their promotions are mainly focused on coupons that come with specific codes that the user enters in the coupon box option when booking a place. 





Discounts coupons 

The best way to get a discount coupon is through a simple google search. The first results show numerous coupon websites such as “coupondiona.com”, “cuponsleo.com”, etc. There are several kinds of promotion codes like the ones listed below.




Off booking coupons: When a traveler decides to rent a place with Airbnb, the price listed goes down by entering the coupon code.


Airbnb: €20 Off on Your Next Airbnb Booking (min. €125)

Enter this coupon code when you checkout – EUROPE2012

Location coupons: Sometimes Airbnb offers these coupons on a specific country or city.


Airbnb France Coupon Code

Travelling in France? France $25 discount on your next stay on booking value of $120 or more in France.
Coupon Code – TOURDEFRANCE


Events coupons: These ones are offered in special dates and events, knowing that this parties are the reason of traveling for many potential users. 



Airbnb: Oktoberfest Coupon

$25 off exp 08/21 Munich only.Use code AU_OKTOBERFEST2012

New Hosts only coupons: These ones, offer discounts on transactions fees as a strategy to attract new users. 


New Airbnb hosts only

List your unique space for free and receive bonus credit of $50 at time of first payout.
Coupon Code – 4KZWAS



Facebook - Airbnb coupons: These one have a purpose advertising for facebook.



25 Off When You Register and Book Your Accommodation
Coupon Code – FACEBOOK
Free samples


Photographer for free: Airbnb hosts can sign up for a free photographer to snap professional shoots of the place that hosts are planning to rent. The intention is to compel travelers with nice pictures of the hosts properties hoping that this can help guests to make a purchase decision.






Property cards: These are giving for free to hosts for networking purposes.




Airbnb relationships 

Airbnb hosts play the role of sales representatives. When a potential guest is interested in renting a place, it is highly recommended that guests ask as many questions as possible to make sure that both, guests and hosts are in the same page and comfortable with each other. The ultimate consumer decision depends of everyone's expectations. Here are some examples of frequently asked questions of guests in Airbnb:


Are you pet friendly?

Are you planning to have some friends over? 

Is there any public transportation that I could use?

Can you low the cleaning fee?


Can we use your kitchen to cook?


It does not really matter what the question is about as long as the host responds to it. In fact, by answering any of these questions, hosts get points that boosts their search engine results and future sales.

Guests are sellers too

Not every new traveler is welcome. Even though Airbnb has a high number of satisfied customers, Airbnb hosts want to be cautious as possible without hurting their high growth. Guests also are welcome to ask as many questions as they want. They can even friend their possible hosts on Facebook. After all they are strangers and at least their profiles and history in facebook can throw offer assurance and peace of mind.

This is the way users build up a relationship with the other. Airbnb has a higher rate of successive sales because travelers get involved in an Airbnb culture.  



Customer service available now! 

Airbnb understood the importance of consumer satisfaction in business. Especially in this case, Airbnb relies on word of mouth that users will spread on its reputation. After having a couple of red flags over the last few years with vandalism cases, Airbnb implemented a 24 hours a day emergency service to help with any customers inquires.




8 comments:

  1. AirBnb raised 1.5 billion recently valuing the company at 25 billion. This makes their valuation larger. That is awesome for them, but also seems extreme. AirBnb has somewhere around 600k "properties". then why should not more coupons !

    Eric Dzane,
    Ava Logan

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