Many Airbnb hosts in major cities switched to long-term rentals as the short-term market collapsed in March, as a way to maintain a steady (if lower) income. At the pandemic peak, new bookings were down 85 percent, although app usage has gradually increased as countries have relaxed travel restrictions. Even with these acquisitions, it is still considered a rather “light” asset company in comparison to its main rivals, Expedia and .Īirbnb was one of the hardest hit platforms by the COVID-19. It acquired Luxury Retreats in 2017 for $200 million, followed by a $400 million acquisition of HotelTonight in 2019. The company planned to launch an airline, although with the coronavirus pandemic those plans have been delayed indefinitely.įor the past three years, Airbnb has consolidated its position in the market. In 2016, Airbnb expanded its service to include experiences, in which a host could offer tours or tickets to events through the app. Barcelona, Amsterdam, Paris, Venice and San Francisco, amongst others, have enacted regulations specifically targeted at the short-term rental market Airbnb popularized. As it expanded, Airbnb has faced persistent opposition from several major cities, due to a perceived increase in the cost of rent for locals.

Long term air b and b