Wowser!! Have you heard the latest on Airbnb? It seems every time I turn on the computer these days Airbnb is in the news about something – and it’s typically not for good news. This article explores what 25% reduction in Airbnb staff means in lack of support for you.
COVID-19 has interrupted everyone’s lives regarding their health, their business, the way they interact with other human-beings – basically every aspect of our worlds as we know it has been touched in some shape, way, or form. Airbnb has been no stranger to the downfalls of this crazy virus. Hence, the roller coaster of Airbnb being constantly in the news.
On May 5th, Airbnb released an update notifying the public that a 25% reduction in its workforce occurred. Yes, 25% of all Airbnb employees were laid off. Losing a quarter of the company in one swift cut drastically affects hosts and guests alike, not to mention all of the employees who suddenly found themselves out of work. Definitely a scary, scary place for those now out of work as well as for the remaining staff at Airbnb.
What the staff reduction mean for hosts?
For one, hosts can expect to see a great reduction in support. With a 25% staff reduction, it undoubtedly equates to less support. Less support for general issues as well as less support for more urgent manners. A 25% reduction in support will equate to less host support during the time of need. Definitely a lack of Airbnb support.
Since COVID, are there less Airbnb hosts?
At the time of this article, less than 50% of all Airbnb hosts are currently active. Many states have mandated temporary closures of short-term rentals. Beyond state mandates, many hosts are choosing to lay low during this period. On Airbnb’s official site, an article was posted regarding travel restrictions and advisories. It is still not fully understood how the virus travels so many hosts are opting to play it safe by temporarily deactivating their listings.
For those in home share situations, greater precautions must be taken. It is impossible to know how cautious potential guests are conducting themselves when it comes to ending the spread of the virus. All of us have different standards that we are adhering to. The term “stay-at-home orders” means different things to different people. Home share rental situations during this time include heightened risk. Each host will have to decide for themselves when they feel comfortable opening up their homes once again.
What will hosting be like moving forward?
It will be interesting to see this lack of Airbnb support resumes business after all this is over. The longer this Coronavirus plays out, the more it seems we are in store for a new normal – for ourselves and for how Airbnb runs its platform. Airbnb has had discussions about retargeting the company towards the longer-term tenants. This means that Airbnb is looking at repositioning its business model towards guests who choose to book by the month as opposed to the night. This change to the overall structure affects how hosts conduct their own listings.
Should this occur, it should not be seen as purely negative for home share hosts. Travelers will continue to need places to stay. This includes those traveling for pleasure as well as for work. At the current time, there is a drastic reduction for anyone going anywhere. However, people have been locked up in their own homes since March. Many are very eager to break out of their shells and yearn to get back to being the travelers they are at heart. The Airbnb model by no means will fade into the night. You can read more in “Am I Crazy to Start an Airbnb home share option Now?”
Benefits to longer term stays
Should the Airbnb platform go full speed ahead with favoring the longer term stays, many advantages are in store for the home share host. The longer term guest offers greater stability for rentals. This long-term strategy may also allow for increase in profits. Yes, an increase in profits. Typically, a longer stay such as a month warrants a discount.
However, month-long stays will bump up occupancy rates thereby increasing overall profits. Another result of this will be that the calendar will flow easier. No more guests booking for a night here or there thereby blocking the calendar for a longer term guest. Many of us have experienced times when we miss out on a great multiple week rental simply because we already have a booking for a day or two. Hosts shall experience a decrease with these types of frustrating cases. An Airbnb lack of support is surely to be realized.
More advantages for Longer-term renters
Many additional benefits may also be realized with guests with longer term stays. Home share hosting is all about getting to know people. Longer-term stays allow a greater opportunity to get to know your guests. A reduction in partiers will also be realized if longer term stays become the expectation. Usually when visitors travel specifically to party, the duration is only for a weekend or so. Less rowdy crowds can equate to less damage and less deep cleaning to your property.
Hosts will also experience a reduction in the number of times your property must be cleaned. Should you use professional cleaners, your bill will decline. Much more work goes into turning over rooms for new guests compared to simply keeping it tidy for the current guests. Should Airbnb adopt these changes, all of the above benefits can be realized.
For now, Airbnb continues to dominate the short-term rental market
As hosts, we could choose to panic when hearing that 25% of Airbnb’s staff was let go. However, Airbnb continues to dominate in the short-term rental space. At some point our world will adjust to a post-COVID environment. While getting to our “new normal” there are going to be some growing pains. Negative aspects are sure to arise from this staff reduction; however, these changes may also open the door for new benefits. This time is great for new home share opportunities. The question is, how are you going to safe guard yourself against additional Airbnb changes?