Airbnb slid into the hospitality scene with a humble start in 2008. Now 11 years on, Airbnb is thriving in 191 countries with more than seven million homes online and open for bookings. Chances are you’ve heard the consistent chorus of perks from staying through Airbnb, so how does Airbnb work? Let’s take a look at how it works for host and guest, and why so many people have made the switch to a smarter way of travelling.
Let’s recap on what Airbnb is
Airbnb is an online platform where home owners can list a room or an entire home for guests to spend a short or extended period of time. The host sets their own pricing, with recommendations put forward by Airbnb based on demand in the area. There is a wide range of options available on Airbnb, from teepees to villas, which more than meets the gap in the market that hotels cannot compete with.
Guests can liaise with hosts prior to their check-in, and the host can effectively design their own guest experience throughout the duration of the stay. Like hotels, the success of Airbnb accommodation will rely on the reviews received. These reviews will assess the communication, cleanliness and accuracy of the listing.
How does Airbnb work for guests?
Everyone is looking for a different experience when they embark on travel. It can be a special, sombre or work occasion that draws you to another city, and Airbnb hits the mark every time. The Airbnb platform allows you to apply filters to narrow down the appropriate accommodation, such as city, suburb, size and price. For example, you can narrow your search to find 3-bedroom accommodation in Fitzroy (Victoria) for no more than $400 a night.
Beyond these metrics, guests will resonate with the photos presented of the property, often selecting a property based on the style and look of a room or entire property. Before guests start booking and staying, they are required to set up a profile which provides hosts with a picture and some general information. Guests must also link a payment option to their account before they book, and Airbnb verifies this method and requires payment upfront at the time of booking.
How does Airbnb work for hosts?
Most hosts on Airbnb are listing spare rooms and unoccupied properties to earn some money, and offer great accommodation to the right guests. Hosts will also create a profile, and add several photos that best showcase the property that is being listed. Hosts require the same verification to ensure guests are arriving at real and safe accommodation, as well as confirming accounts that will receive the rental income.
Once the host has their property live, they can start to take bookings and communicate with future, current and past guests. Remember that guests have many options when booking, so style your home to be an inviting place, or seek advice with this critical task. While an exciting step, styling and communication can be an all-consuming management task, which is why many hosts will engage Airbnb property managers like Quickstay. This also takes the responsibility away for doing room rate research and yielding this figure according to seasonal drivers and demand in your area.
Those new to Airbnb may find the platform complicated and not worth the effort. Properties that sign on under Quickstay management have immediate uplift, benefitting from a full-time property manager optimising the listing and communicating with prospective bookers. Click here to find out more about Quickstay management.