What’s your take on AirBnB and is it hurting hotels?

13 Nov What’s your take on AirBnB and is it hurting hotels?

We know as much about AirBnB as we did about Trip Advisor’s debut. We either dismissed that innovation or we recognized it as a transformation within the industry.

A business in 190 countries, offering 600,000 places to stay and 15 million guests is worth noting. In order to grow this “asset light” operation, they acquire similar businesses, constantly add new “hosts” while lobbying municipalities to expand availability.

Will it last? Hotels are driven by economics and business plans. AirBnB hosts are opportunistic and cash driven. Owners simply want payment for unused homes. Demand in destination and resort locations is well established, but growth in urban markets is different. In hotels, your neighbors are other travelers. When your neighbor is a tenant / resident, that’s a different situation entirely. If a tragedy were to occur, it probably wouldn’t immediately change the business model. But if the room/building were damaged by a tourist, any backlash could impact availability. Demand from travelers may continue. Unless hosts simply choose not to rent or unless demand fails; I believe it’s here to stay.

I’m not an AirBnB guy. I’m a well-trained professional concerned with safety, security and the enjoyment of a guest’s stay. I take my job seriously. Renting rooms is my profession; not my hobby. My advice—take heed. Don’t turn a blind eye. Run your hotel professionally, have good fundamentals and consider this just another form of competition in an already competitive industry.