It's difficult to predict where a disruptive company like Airbnb will be in five years and it's a folly to try to forecast its numbers, especially as the company still faces uncertainty coming out of the pandemic. However, two significant trends should shape Airbnb's business over the next five years.
Airbnb saw a 164% increase in reservations between May and July, according to a report from Edison Trends, which examined how the hospitality newcomer is fairing against such venerable brands as Marriott and Hilton.
Airbnb is continuing to widen its focus beyond 'unconventional' hotels as it gets ready for a much-anticipated IPO.
Airbnb crossing the half-billion mark isn't surprising given recent aggressive expansion strategies. Valued at $31 billion, the San Francisco-headquartered business recently announced it would acquire HotelTonight in a deal reported to be worth roughly $465 million.
Up until a few years ago, the phrase 'getting an Airbnb' meant one thing: staying in the apartment, house, or spare room of a stranger, likely at a bargain price compared with nearby hotels. But in 2019, things aren't so simple.
AHLA President/CEO calls on state and local leaders in U.S. to pass stronger laws
The acquisition points to two strategic developments at Airbnb, both aimed at helping the company diversity and grow its revenues. The first is that it will build on Airbnb's expansion into services for the business market.
Travelers sometimes want a cookie-cutter room in a downtown hotel, and they sometimes want a cozy Tuscan farmhouse to share with friends. Hotels have always been good at providing the first one. Now, they're trying to figure out how to provide the second.
Airbnb has reported a significant jump in the number boutique hotel and bed-and-breakfast accommodations available on its platform.
The main trade group for French hotels has sued the home-sharing giant Airbnb, accusing it of unfair competition by 'knowingly violating' rules imposed as part of a crackdown in one of the US giant's biggest markets.