Opodo Business Model

Why this company?
We wanted to analyze Opodo because the company is the leading online travel company in Europe. It operates in 9 countries and the company goal is to give the customer the tools and information to plan and book a travel, which here includes flight, hotel, car hiring etc. Compare to other companies in their field they also focus the business on the business segment and a high level of customer service.

Website?
http://www.opodo.com/

Business model description

Customer segments
Opodo has two types of customer segments, the private customers and the business customers.

Customer relationships
Compare to other companies in their field, they have a customer service team, especially to the business customers. So the customer service and the co-creation, describes the relationship they have to their customers. Besides that they have also self service, which many of their customers use. Opodo have also created a community for their customers with the blog ohMyGlobe.com.

Channels
There are two types of main channels, the first one is the sales force, handling especially the business customers and then there are web sales, where people can book trips online. Some other channels to mention are blog and newsroom.

Value proposition
Their main value proposition is "get more out of travel", and Opodo describes themselves as the best partner to do that. To support people in making the right travel decision they have a customer service team, there are available to help 7 days a week, which is another of their value proposition. Opodo have the knowledge and experience to give the right recommendation to their customers. They have a wide selection of travels and therefore they can provide their customers with made-to-measure state to some affordable prices because of their competitiveness with their prices.

Key activities
One of the most important key activities is the platform/software, because it's here the biggest part of the company is selling the travels. So without the platform there will be no business. Besides that they also have this service team doing customer support etc. Opodo have a lot of partners so one of their key activities is to take care of them and make sure that they maintain the good relationship with them.

Key ressources
To maintain Opodo’s most important key activities, the platform, they need some resources to do that, so therefore the it-system is one important key resource. And the same count for the service team, so the second important key resources Opodo have is customer supports.

Key partners
Opodo has many partners and the business depends in a high level of them. Some of the key partners are; airline companies, hotels, travel insurance, car hire agency and travel guides. They have chosen to partner with leading travel guides, to provide their customers with details on hundreds of worldwide destinations.

Cost structure
The main costs of Opodo are the people, because of the wages, partner cost and the last thing is to maintain the IT-system.

Revenue streams
Opodo's main source of revenue comes from the online sales and the customer service team sales.

Club Med Business Model

Why this company?
Nowadays Club Med is one of the major actors of the tourism. It is the world leader of vacation villages with more than 100 villages in every corner of the world. Club Med proposes trips for all ages and for all tastes by having programs by the sea to winter programs. Club Med uses Internet as their main communication tools with it's customers.

Website?
http://www.clubmed.com/




Business model description

Customer segments
The main customers of Club Med are travelers and holiday maker. The travelers can be private/family, business people, teenagers among others.

Customer relationships
Club Med maintains privileged relation with its customers. It’s personal relationship. Club Med knows how their customers are, what their expectations are. Club Med suggest to their best customers to belong to “Club Med Great Member” group.

Channels
There are three main types of channel: Internet (meta search site), Direct selling multichannel (online booking of hotel, telephone booking), Channel intermediaries (tour operators, travel agencies, incentive organizations).

Value proposition
The proposition value of Club Med is “living together”. It’s based on tolerance, mutual interest involving people from very different backgrounds, religions, nationalities and walks of life. It’s also based on traditional values of quality and satisfaction. It leads to happiness, fun and enjoyment of the natural world.

Key activities
The main activity of Club Med is to make turn the 100 Villages (Sports, relaxation, animations and gastronomy) which are present on 5 continents.

Key ressources
The main key resources to Club Med are employees, material, building. Club Med can rely on its staff to put on the village activity among others.

Key partners
The main types of customers are travel agencies and tourist offices. Besides they are providers (for airlines transport, for support, for consumption goods, etc.). Indeed Club Med is a company which needs several resources to make its activities go on. For instance, Club Med integrates flight in its packages that’s why it has to collaborate with airline transport.

Cost structure
The main costs of Club Med are purchases, external services, wages. It’s mainly attribute to Village activities. These activities required a lot of utilities and employee. The marketing department also requires many costs.

Revenue streams
The main source of revenue for Club Med comes from the Village activity.

Mobility Business Model

Why this company?
We wanted to analyze Mobility to study a company very different from the other two (Club Med or Opodo). Mobility is a very innovating company, the number of users of car sharing is increasing every year. We consider that, in our context of study "travel industry", Mobility provide short trips for its users with car-sharing.It’s not the same concept of Hertz or car rental companies where we must book a car for a long time (2 days for example). With Mobility, we can choose to book a car during 2 hours.

Website?
http://www.mobility.ch/Business

Business model description

Customer segments
There are four types of customers: private customers, members of the cooperative (members must invest money in Mobility), business customers (companies...) and countries (who buy MobiSys platform).

Customer relationships
There are two types of relationships: an automated service for the first three customers and a personnalised service for the integration of the platform in the countries.

Channels
The channels are the website or the mobile platform to do an online reservation (click and drive) of a car and the mobile phone to receive the sms confirmation with the description of the reservation.

Value proposition
The general value proposition is « Having a car at any time ». The customers can have a car when they want but it’s not their car.

Key activities
The platform is very important because all reservations are made on it (or more rarely by phone). The other key activity is the negociation with all the partners (for the cars, for oil, for parkings...).

Key ressources
Firstly the material ressources, we have the web and mobile platforms, cars and parks, all the technology inside the cars (small computer used to activate the car when the customer places his Mobility card on the windshield). And secondly, Mobility need human ressources for all the assistance with the customers (if a problem occurs with the car for example). We don’t know if Mobility has a patent for its platform MobiSys.

Key partners
There are a lot of key partners. First of all, the automakers (with car technology too), the oil companies and the parkings are very important. In a second part, the insurers or breakdown companies like TCS can help if a problem occurs with a car. Thirdly, we are the travel partners like Hertz or SBB-CFF (for a better visibility). And to conclude, the other partners (Migros, public transportation for example) that allow customers to have reductions.

Cost structure
The main costs are for the platform, cars, parks, oil. Not forgetting the cost of contracts with partners.

Revenue streams
Firstly, the customers pay an annual subscription with an optional insurance (for cars). But they pay also the cost of the reservation (hours and kilometers) each month. Secondly, we have investments of members of the cooperative (less frequently). Thirdly, Mobility obtains profits from partners. And finally, Mobility has paid for purchases of platform (by countries).

To begin...

This blog has been created in a HEC lecture context. "eBusiness" is the name of the course and is taught by Professor Alexander Osterwalder. On the blog there will be stuff about the "Travel Industry", some because we want to, some because we have to and some just because we feel for it.

Enjoy!

http://www.businessmodelgeneration.com/

"Business model innovation is about new ways of creating, delivering and capturing value."
Alexander Osterwalder

Zakia, Lisa, Karolina, Vanessa, Marc and Arielle.