Airbnb’s Evolution in the Face of Criticism
Airbnb has emerged as one of the most popular rental platforms globally, yet it has faced significant backlash from various stakeholders including tourism boards, residents, and travelers. Over recent years, numerous destinations have implemented strict regulations to manage the surge of short-term rental properties, particularly in cities like Florence and Barcelona, where local housing crises have escalated.
Furthermore, some of Airbnb’s promotional campaigns have been met with disdain. A recent initiative that allowed guests to experience life as a gladiator in Rome’s Colosseum was criticized by local residents and officials alike, who deemed it an attempt to ‘Disneyfy’ this historic monument.
In response to these challenges, Airbnb is re-evaluating its strategies, focusing on refining the types of properties available and introducing innovative experiences for users.
Airbnb Sees a Surge in Bookings for 2024
Despite ongoing concerns about its impact on overtourism, Airbnb continues to gain traction. During the summer quarter of 2024, bookings surged by eight percent, totaling 122.8 million compared to the previous year. This trend indicates that more travelers are turning to the app for their accommodation needs. Notably, the percentage of mobile bookings has increased by five percent this year. To enhance user experience, Airbnb has rolled out 50 upgrades to its app since October, aiming to make it more personalized and user-friendly for first-time visitors.
Additionally, the platform has reported a notable increase in first-time bookings, especially among younger travelers.
Airbnb Expands Local Payment Options
One factor contributing to the rise in bookings is Airbnb’s introduction of more local payment methods. Users can now pay in their country’s local currency, benefiting residents in nations such as Vietnam, Denmark, and Poland. The company stated, “While our timing and investment levels vary by market, our strategy remains consistent: to make Airbnb local and relevant.” By spring 2025, Airbnb anticipates offering nearly 40 local payment methods across five continents.
Airbnb Tightens Its Quality Control
In an effort to enhance the quality of its listings, Airbnb has become more discerning in its property offerings. The company disclosed that it has removed over 300,000 “low-quality” listings from its platform after these properties failed to meet guest expectations. Stories of subpar rentals and unreasonable demands from hosts have frequently made headlines, prompting the company to take action. Additionally, Airbnb is working to minimize the incidence of cancellations by property hosts, which, while not common, pose a “significant pain point” for guests.
Airbnb’s Plans to Expand Beyond Accommodation
Looking ahead, Airbnb has announced intentions to expand “beyond accommodation” in the upcoming year, though specific details remain undisclosed. This expansion may correlate with its experiences offerings, launched in 2016, which have not performed as well as expected. These experiences include activities such as local food tours and adventurous excursions. Due to a decline in interest, the company ceased new sign-ups for experience hosts last year.
Travel website Skift has speculated that Airbnb might relaunch its experiences program, targeting locals in addition to travelers, and potentially incorporate ticket sales for major attractions like the Louvre. Future offerings could also integrate property rentals with at-home experiences, such as massages or private chef dinners.
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