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Airbnb Etsy Uber Acquiring The First Thousand Customers Case Solution

Solution Id Length Case Author Case Publisher
1811 400 Words (3 Pages) Thales S. Teixeira, Morgan Brown Harvard Business School : 516094
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During the start-up stage, strategies are focused on gaining more volume, and may even, not focus on profitability. They are usually aimed at making a presence in the market and to grow its base. The campaigns are also concentrated on the awareness aspect. 

Following questions are answered in this case study solution

  1. Were there any commonalities across Airbnb, Etsy and Uber in their strategic approaches toward acquiring the first thousand customers?

  2. Could any of the approaches used by these three companies early on in their life cycle work for other two-sided platforms, networks, or markets in very different industries?

  3. How do strategies change from the first thousand customers (startup phase) to mature market positioning?

Case Analysis for Airbnb Etsy Uber Acquiring The First Thousand Customers

1. Were there any commonalities across Airbnb, Etsy and Uber in their strategic approaches toward acquiring the first thousand customers?

There was one commonality between the three two-sided platforms and that was the use of unconventional marketing tactics instead of the usually paid advertising and marketing tools. AirBnB and Etsy sent out teams of two to three people to directly interact with people who would form the supply side of their platform i.e. home owners in France in case of AirBnb and artists and craftsmen in case of Etsy. Whereas Uber heavily relied on word of mouth marketing and about 95% of Uber users knew about Uber through other users. Hence, the acquisition of the first thousand customers for all three companies was done not by heavy marketing tools but through the use of human interaction and involvement which enhanced the supply as well as the demand side of the platforms.

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