Accor vs airbnb
The new trend of consumption collaborative has shaken up many companies, particularly in the hotel and tourism industries. With companies like Blablacar, Airbnb and Ã¼ber shaking the industry as we knew it, how are the players that were on it before these new competitors reacting. Les Mardis of the ESSEC, Association of students of the higher school of Economics and commercial sciences, welcomed the debate in which SÃ©bastien Bazin, Chief Executive Officer of the Accor Group, and Olivier GrÃ©millon, executive director for EMEA (Europe, Middle East and Africa) of Airbnb, explained how each company sees the other.
Accor and Airbnb are aimed at similar markets, although they differ substantially in terms of services offered. are they really competitors? GrÃ©millon are agreed that, without a doubt, they are both Bazin. In fact agree in pointing out that both companies are complementary, as it is evidenced in the situation of market of Paris. Airbnb has more than 44,000 apartments in the gala capital, but Accor results remain exceptionally good.
Bazin says whenever Airbnb users remain faithful to the initial concept and not use the platform for industrial or commercial, Accor will adapt to the changing scenario where the Center is the customer and their emotional response. In fact, Airbnb has been occasionally an inspiration for French group.
According to Bazin, the success of Airbnb can be explained by the 5% annual increase in international travel, although the growth of hotels has been more modest, a 2%.
One of the aspects that is fundamentally different in both companies is their cost of capital. Capital markets seem to be rating Airbnb based on the volume of travellers and clicks, while Accor is valued for its earnings and revenue. As a result the market capitalization of Airbnb is superior to the Accor but does not have any real estate asset. This uneven playing field chain is a huge challenge, since it is grow and move as fast as the portal P2P, but is limited by its weight.
And already on the different which are both products and services, they should be subject to the same regulation to offer virtually the same? Once more Bazin and GrÃ©millon are agreed that no. Such as different products may not be regulated by the same rules. Airbnb owners pay their income taxes, while for the catering companies are corporate taxes.
Bazin said also that there is no interest in the fight against Airbnb for tax reasons, provided that the company stays faithful to its original spirit provide a local stay with home experiences to travellers. From this perspective, Accor is a hotel chain that is trying to enhance its technological dimension, while Airbnb is a technology firm that is trying to improve its accommodation experience.
Airbnb is in essence a technology company with its powers strongly developed in the area digital. do can be Accor catch up to the? Historically the hotel chains have focused on product and brand building, although since 2005 the sector has experienced rapid change with the entry into the market of companies such as Expedia and Orbitz, replacing its traditional distribution channels and reducing their profit margins.
Bazin shown agree that industry did not react fast enough to this change and now Airbnb, unlike Orbitz or Kayak, presents a real threat to model existing in the hospitality industry to take advantage of the collaborative economics. Accor is not left no choice but to stop being a spectator and becoming an actor.
GrÃ©millon mentioned that Airbnb is a company focused on the design, for example, spending lots of money and sending professional photographers to take photos more than 50% of the locations in major cities. The company is more proactive, dynamic and light that companies such as Accor and takes advantage of its ability to act quickly and generate movement at any time and be very efficient cost.
describes the seven steps that make up the travel experience: the idea, the selection, booking, planning, the journey or stay, sharing the experience and loyalty. The chain wants to work hard at being present beyond the fifth step (the journey or stay) and be part of the process from the first. To get it to stop focusing on the commercial aspect and instead build a relationship emotionally with customers, both existing and prospective.
Therefore, what the future to both companies hold it?
For Airbnb, according to GrÃ©millon, strong growth. It provides, for example, exceed the 900,000 apartments in Paris in the near future. The Chinese market is also in the crosshairs, although it represents important challenges since they have to rethink its cooperation with Google before entering that market.
Airbnb also wants to expand its services to cover more aspects of the travel experience, as already said HOSTELTUR news tourism in ’ hotels vs. Airbnb: second assault ’, but of course without giving more details. Bazin sees the future of its adaptability-based Accor.
Reference information is available on Hospitality Net.