As the world begins to normalize after a year of pandemic, Airbnb (ABNB) is trying to seize the opportunity to convince users to take a spontaneous trip without a specific destination in mind.
“We saw a paradigm shift in the way people search for travel on Airbnb. Before, people knew where they were going. That’s why there is a search box [that asks] where are you going? Now, 40% of our guests coming to Airbnb do not have a place in mind or a date in mind, “Airbnb CEO Brian Chesky told Yahoo Finance, the day after Airbnb released its first financial results as a public company. .
On Tuesday, Airbnb launched “flexible search”, an open way to look for houses or apartments to stay, showing that there is a pent-up interest in getting away – without much emphasis on location. Users are booking in windows that are shorter than ever, many finding a destination within 30 days of travel, according to Airbnb.
“The reality is that they are in a home. They are saying, ‘I feel trapped. I go anywhere within two hundred kilometers. I want to go in the next few months. ‘ We are allowing more flexibility, “said Chesky.
This open search function is ubiquitous on other travel sites, including Booking.com (BKNG), Expedia (EXPE), Momondo and Skyscanner. While not a useful tool for, say, business travelers, it is good for leisure travelers – especially those with flexible hours who can work remotely, as many do during the pandemic.
“Fewer people are traveling on business. Fewer people have defined destinations and that means they are open-minded. We can point travelers and demand to where we have supply,” said Chesky. “It really helps to balance supply and demand. I also think the playing field is level. I think it can benefit Airbnb.”
Airbnb reported better-than-expected revenue during the first quarter as a public company, although gross reserves have dropped 31% year-over-year. With 4 million hosts on the platform, Chesky said the most important growth area is to recruit more people to open their homes.
“Many people like to start hosting at the beginning of a life change. As we see more flexibility, there are more empty houses that people are leaving behind. In 2019, 23% of our hosts were invited first. There are great opportunities to convert guests into become hosts, “he said during the Thursday afternoon conference call.
Currently, Airbnb calls its experienced top-level hosts “superhosts”. Before the pandemic, the company was iterating on a superuser model similar to a frequent flyer program. During the interview with Yahoo Finance, Chesky alluded to a future product that would encourage users to continue making reservations on the platform.
Melody Hahm is a West Coast correspondent for Yahoo Finance, covering entrepreneurship, technology and culture. Follow her on twitter @melodyhahm and on LinkedIn.
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