The 7 Ps advertising combine framework is a extensively used managerial software that helps companies establish the principal elements of a service product. The 7 P components embrace Product, Promotion, Worth, Place, Participant, Bodily Proof, and Course of.

The 7 Ps framework can help entrepreneurs in making choices relating to segmentation, positioning, and differentiation. Even for a similar sort of merchandise with totally different manufacturers, entrepreneurs can nonetheless drive increased gross sales by the development of a product’s advertising combine.
The empirical examine about 7 Ps of home-sharing companies
Constructing upon the 7 Ps advertising combine framework, I led a analysis crew in a big-data, supervised machine studying evaluation of over 1.14 million English critiques of 37,092 Airbnb listings in San Francisco (SFO) and New York Metropolis (NYC). We aimed to find new significant enterprise intelligence by the evaluation of an immense amount of on-line evaluation data that’s created by shoppers within the cyber market.
We printed the analysis within the Worldwide Journal of Hospitality Administration. The report will also be accessed within the Elsevier Public Well being Emergency Assortment.
The three analysis questions of the examine
What does the advertising combine revealed from shoppers’ on-line evaluation knowledge on Airbnb inform us about vacationers’ expertise of home-sharing merchandise?
Do vacationers touch upon the same component(s) of the advertising combine for his or her home-sharing stays with multi-unit and single-unit hosts? In different phrases, do vacationers share related experiences for his or her home-sharing stays with multi-unit vs. single-unit hosts by a comparability of the 2 product sorts’ advertising combine?
Do vacationers touch upon the same component(s) of the advertising combine for his or her home-sharing stays with superhosts and atypical hosts? In different phrases, do vacationers share related experiences for his or her home-sharing stays with superhosts vs. atypical hosts by a comparability of the 2 product sorts’ advertising combine?
The info and the evaluation
We downloaded the info from InsideAirbnb.com, an impartial, non-profit web site that gives publicly accessible knowledge collected from Airbnb.com. We picked SFO, for its being a gateway metropolis within the West Coast and Airbnb’s birthplace, in addition to NYC, for its being a gateway metropolis within the East Coast and a prime vacationer vacation spot. We downloaded 233,070 critiques of 4,381 Airbnb listings in SFO and 1,047,337 critiques of 32,985 Airbnb listings in NYC in September/October 2018.
We then cleaned the dataset by eradicating all non-English critiques, retrieving 94.3% (219,833) and 88.6% (928,229) of the critiques that had been written in English from the SFO and NYC markets, respectively. We used a sentence as a unit for knowledge annotation beneath the idea that individuals often specific one thought in a single sentence.
Via a collection of preliminary analyses, we concluded that almost all sentences expressed one of many components in our coding schema, with about 3% of the sentences talked about two or extra of the weather. Within the instances when a sentence may be labeled with multiple component, probably the most possible component was utilized in our evaluation.
7 Ps advertising combine because the coding schema
We educated the mannequin to annotate the sentences utilizing the next coding schema earlier than we utilized the validated algorithms to research the entire dataset.
Service Product (PT) – phrases that describe the general impression of the intangible experiential product, e.g., “A terrific expertise.”
Worth (PR) – phrases that point out the worth or worth of the experiential product, e.g., “Reasonably than renting two resort rooms, we cut up this 2-bed Airbnb and doubtless saved $300 per night time.”
Place (PL) – phrases referring to the placement of an inventory, e.g., “Brief stroll to the Bart station.”
Promotion (PO) – phrases evaluating what the traveler(s) noticed in opposition to an inventory’s pictures or descriptions on the web site, e.g., “The place was precisely as marketed!”
Participant (PP) – phrases mentioning the host(s) or individuals/pets within the itemizing, e.g., “The hosts had been additionally extraordinarily pleasant and accommodating.”
Bodily Proof (PE) – phrases that describe the tangible side of the experiential product, such because the bodily attributes and the power of an inventory, e.g., “Particulars like flowers, wine openers, britta water pitcher, shampoo, added to our leisure.”
Service Course of (PS) – phrases that emphasize the method the place the traveler(s) obtained a service, with or with out the interactions with the host, e.g., “[host name] left detailed directions for us upon our arrival.”
Traveler (TR) – phrases which might be irrelevant to the experiential product (Airbnb) itself, e.g., “We had ice cream for dessert two night time in a row (Bi-Ceremony! The Greatest!) and walked dwelling with our cones feeling very completely satisfied certainly.”
The outcomes
Vacationers in each markets talked about PT (about 26%) and PE (about 25%) most frequently, adopted by PL (at about 19%) and PP (at about 15%). PS (lower than 10%) was often concerning the check-in course of and the way the hosts dealt with customer support points. Vacationers seldom talked about PO (about 2%) and PR (about 1%).
Analysis query two is to check vacationers’ experiences between multi-unit and single-unit hosts. We discovered nearly no observable variations besides that vacationers would point out the hostnames extra usually for single-unit hosts. Such a discovering means that multi-unit hosts are as aggressive as single-unit hosts. Hoteliers ought to pay shut consideration to multi-unit hosts available in the market as a result of they’re the micro-entrepreneurs {and professional} operators of home-sharing companies.
Analysis query three is concerning the variations between superhosts and atypical hosts. On common, listings managed by superhosts recorded extra reviewers than those managed by atypical hosts, an excellent indicator that vacationers favor listings managed by superhosts. Vacationers staying within the listings managed by superhosts commented extra on their great expertise (PT) and the hosts (PP). In distinction these staying within the listings managed by atypical hosts commented extra on the bodily proof (PE) and the placement (PL). Probably, when vacationers do not need as a lot to speak about PT and PP for atypical hosts as they might for superhosts, they remark extra on PE and PL as a substitute.
COVID-19’s doable impacts on the analysis findings
COVID-19 is predicted to vary how individuals journey, and it’ll take a very long time earlier than we see an actual restoration. Now greater than ever, hygiene and cleanliness have change into the highest precedence amongst shoppers, accommodations, and tourism corporations. Vacationers’ emphasis on the 7 P components might have shifted within the post-COVID-19 period, similar to concerning the maintenance and cleanliness of a spot (PE) and avoiding direct human contacts (PP & PS).
The implications
In addition to this examine’s theoretical and methodological contributions, the outcomes present invaluable insights for the hosts who wish to compete with the superhosts. In the meantime, hoteliers could check with our findings as they search enchancment of their current merchandise or wish to differentiate their merchandise from home-sharing companies. Lastly, we advocate the policymakers to contemplate limiting the skilled operators or multi-unit hosts within the short-term residential rental market.
What do you consider the analysis findings? To what extent does the 7 Ps advertising combine replicate vacationers’ experiences of home-sharing companies?