Friday , May 24 2019
Breaking News

Airbnb expands into Luxe Travel Services and Hotels

Facing slowing growth and pressure from regulators, Airbnb is introducing new services targeted toward travelers who choose luxury accommodations and hotels. On Thursday (Feb. 22), the company introduced upmarket travel services as well as a new category of properties, according to news from Reuters.

“Airbnb (is) figuring out how do we grow at the same levels that investors are expecting us to grow, given some of the regulatory headwinds,” Christopher Anderson, a Cornell University professor, told Reuters. “That comes down to more breadth of inventory.”

To increase its inventory, the company plans to make it easier for bed and breakfasts and hotels to list their rooms on the site. It also plans to introduce a category of homes that are inspected for cleanliness and quality. In all, the company is looking to win the business of travelers, who are worried about the risks of occupying a stranger’s home.

The news comes as the company has reached regulatory roadblocks in many countries. Regulators in cities such as Berlin and New York have increased their scrutiny of Airbnb apartments. As a result this pressure, Airnb has had to reduce its listings in some cities.

Airbnb’s popularity, particularly in travel destinations like London, has led to concerns that the service is creating incentives to eat up local rental stock for long-term residents in favor of the more profitable short-term rental market.

More recently, Airbnb launched Experiences — an initiative that enables small businesses, entrepreneurs and community nonprofits to create immersive experiences for travelers.

In a blog post, Airbnb had said it will invest $5 million in the U.S. in an effort to develop, support and promote entrepreneurs through Airbnb Experiences. It is aiming to expand to 200 cities across the country this year.

Since launching Airbnb Experiences, the company said it has seen a lot of growth, with global weekly guest bookings up over 2,000 percent and the number of active experiences growing by 500 percent.


About Lanre Oyetade

A multiple award winner in Economics and business journalism, Lanre Oyetade has served close to two decades in the media industry, spanning different notable stables, where he is privileged to have risen to the position of a title editor. A masters degree holder in Economics from the University of Lagos and doctoral student at the Babcock University, he is a winner of the prestigious NMMA Capital Market Award for two consecutive years (2004 & 2005), and was also a nominee for the body’s banking and finance and money market awards for two years. In 2013, he also won the Most Outstanding Business-Reporting Title Editor award of the National Institute of Marketing of Nigeria (NIMN). A minister in the LORDS’s vineyard, he has been an inspirational speaker and resource person at many corporate and religious fora since early 2004, and has so far authored three books on the capital market; on personal effectiveness, and on personal finance, in 2008 and 2014, respectively.