Welcome to Bw Daily, the Bloomberg Businessweek newsletter. Today is the second and final day of our Out of Office Special—articles that involve summer travel, summer interns, summer inertia. Let us know what you think by emailing our editor here! If this has been forwarded to you, click here to sign up.
Last summer, Joan Robertson and her husband, Mark, finally realized their yearslong goal of buying a second home in the Sun Belt to escape the brutal winters of Minnesota. Persuaded by one of their sons who loves amusem*nt parks, they homed in on Kissimmee, Florida, just south of Orlando, and bought a three-bedroom townhouse in a gated community with resort access for $295,000. To help pay off the mortgage, they planned to operate the home as a short-term rental.
FAQs
Travel patterns and preferences have shifted significantly in response to the COVID-19 pandemic, with travelers prioritizing safety, flexibility, and unique experiences. Additionally, competition within the short-term rental (STR) market continues to intensify and alternative STR platforms are vying for market share.
Why have people stopped using Airbnb? ›
Lack of Quality Control
You can find Airbnb almost anywhere, but there is no standard of quality control. This can create several issues, including a lack of cleanliness and comfort for guests. After all, when guests don't comply with Airbnb guidelines, the host has more to lose than the guest does.
Why is being an Airbnb host much harder now? ›
The pandemic has increased demand and also ramped up the expectations of vacationers.
Why are people banning Airbnb? ›
Housing Affordability: Short-term rentals can reduce the availability of long-term rental properties, driving up housing costs. Neighborhood Integrity: Frequent turnover of short-term renters can disrupt the sense of community and lead to noise and safety concerns.
Why is Airbnb not doing well? ›
The flood of new hosts has meant fewer can earn good money. “Now, the markets are completely oversaturated,” says Melody Wright, founder of mortgage strategy and technology company Huringa. Meanwhile, excess supply hasn't led to lower prices, and anecdotes about bad Airbnb experiences keep pouring in.
Is Airbnb failing in 2024? ›
Guests are increasingly booking on the Airbnb app.
In Q2 2024, Nights and Experiences Booked increased 9% year-over-year, representing stable growth from Q1.
Who is Airbnb's biggest competitor? ›
Vrbo is commonly considered the biggest Airbnb competitor. It has over 2 million listings and vacation rentals in 190 countries. And because Vrbo is part of the parent brand Expedia Group, listing on Vrbo enables you to tap into this brand's 112+ million monthly unique visitors.
Why is Airbnb declining? ›
The decline in Airbnb revenue can be attributed to various factors, including market saturation, financial constraints, and increased availability of Airbnb rentals. As more properties have been added to the platform, the market has become saturated, leading to a slowdown in revenue growth.
What is Airbnbs biggest problem? ›
4. What is the biggest problem with Airbnb?
- Security and safety. ...
- Guests who are loud or disruptive, increasing traffic, and the commercialization of residential areas are some of the issues that some locals have taken issue with.
Unlike hotels that offer standardized services, Airbnb's reliance on individual hosts leads to a wide variance in the quality and safety of accommodations. Stories of misleading listings, unresponsive hosts, and even dangerous situations have surfaced, sometimes resulting in public relations nightmares for the company.
You'll have to communicate with guests, quickly respond to their inquiries, immediately address problems when they arise and keep your place clean. In rare cases, you might need to deal with unpleasant guests or face Airbnb complaints. It takes a lot of work and can be physically and emotionally draining.
Why Airbnb losing customers? ›
Airbnb's struggles go beyond people spending less. It's losing some travelers to hotels. Airbnb stock tumbled 14% in one day after the company predicted slowing demand. Some former Airbnb diehards say they now prefer the consistency of hotels.
Are Airbnbs becoming less popular? ›
High demand. According to AirDNA, Airbnb listings in the United States reached an all-time high of 1.4 million in September 2022, up 23% from the previous year. Airbnb 2023 quarterly results also reveal that the overall nights and experiences booked at Airbnb grew by 19% in 2023, and their supply shot up by 18%.
What is the main problem with Airbnb? ›
A 2021 study of more than 125,000 Airbnb complaints on Twitter found that 72% of the issues were related to poor customer service and 22% were related to scams.
Are less people doing Airbnb? ›
High demand. According to AirDNA, Airbnb listings in the United States reached an all-time high of 1.4 million in September 2022, up 23% from the previous year. Airbnb 2023 quarterly results also reveal that the overall nights and experiences booked at Airbnb grew by 19% in 2023, and their supply shot up by 18%.
