Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
I just got an email from Airbnb saying they are offering services.
I don't see this moving the needle and doubt I would ever use any of this.
Not sure where they are going to get and vet the services providers?
If I book a STR if am going on vacation or for an event so I already know what I'm going to do. I like to go to local restaurants and wouldn't be interested in a chef coming to my STR.
It seems like an offshoot of the Experiences they've been offering for five or six years now. (We actually ran a street art tour in Denver for two years that we offered through Airbnb Experiences.)
I think it's brilliant of Airbnb. The Services offered so far seem in line with what a lot of travelers might want. Nails, spa treatments, massages, personal training. Airbnb is trying to be an all-in-one stop.
I know my Colorado clients are a full spectrum of Airbnb properties -- from budget 1br cabins to high-end designed spaces. So it will be interesting to see if Services hit all those demographics.
Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
1y
I also noticed things like the private chef is pretty expensive. From my experience the majority of the Airbnb crowd are pretty frugal. I could see something like this doing a little better on Vrbo due to the higher clientele but still being iffy.
I also noticed things like the private chef is pretty expensive. From my experience the majority of the Airbnb crowd are pretty frugal. I could see something like this doing a little better on Vrbo due to the higher clientele but still being iffy.
I also noticed things like the private chef is pretty expensive. From my experience the majority of the Airbnb crowd are pretty frugal. I could see something like this doing a little better on Vrbo due to the higher clientele but still being iffy.
It seems like an offshoot of the Experiences they've been offering for five or six years now. (We actually ran a street art tour in Denver for two years that we offered through Airbnb Experiences.)
I think it's brilliant of Airbnb. The Services offered so far seem in line with what a lot of travelers might want. Nails, spa treatments, massages, personal training. Airbnb is trying to be an all-in-one stop.
I know my Colorado clients are a full spectrum of Airbnb properties -- from budget 1br cabins to high-end designed spaces. So it will be interesting to see if Services hit all those demographics.
Tampa, FL · Member since 2022 · 3k+ posts · 3k+ votes
1y
This is definitely an offshoot of the experiences. I see it mostly flopping. Chesky says he wants Airbnb to be the "Amazon of travel" so I imagine next rollouts may include car rentals, possibly airfare etc. we do get requests from time to time for private chefs, grocery delivery etc so they may have a little success but 99% of guests I do not think will use it, so not sure if they can be profitable with such few takers. Guess we will see.
Rental Property Investor · Arlington, TX · Member since 2016 · 706 posts · 611 votes
1y
I think it's a smart move. Outside services are already offering this, and I think this will help Airbnb get in on those services and drive revenue. The question I had about it was whether the hosts can opt into these services and whether they are also receiving a cut. I think the vetting process will be pretty simple because they used to have people do professional photography and host experiences, so they have done a pretty good job of vetting services that they have allowed on their platform. It will be interesting to see how it plays out.
I think it's a smart move. Outside services are already offering this, and I think this will help Airbnb get in on those services and drive revenue. The question I had about it was whether the hosts can opt into these services and whether they are also receiving a cut. I think the vetting process will be pretty simple because they used to have people do professional photography and host experiences, so they have done a pretty good job of vetting services that they have allowed on their platform. It will be interesting to see how it plays out.
I bet Airbnb doesn't share with hosts any fees they get
Real Estate Broker · Boca Raton · Member since 2022 · 18 posts · 9 votes
1y
Its something I already offered my guest, I work with photographers, massage, chefs and yoga teachers and people ALWAYS took advantage of it. So i suspect it will work well for Airbnb. If there was one thing I wish Airbnb would do it would be... they need to promote listings that are AIRBNB exclusives and discount fees for the owner and renter for homes that are exclusive to airbnb.
Its something I already offered my guest, I work with photographers, massage, chefs and yoga teachers and people ALWAYS took advantage of it. So i suspect it will work well for Airbnb. If there was one thing I wish Airbnb would do it would be... they need to promote listings that are AIRBNB exclusives and discount fees for the owner and renter for homes that are exclusive to airbnb.
What's it matter if someone is exclusive to Airbnb? People can still search for a property that meets their needs and provides the best price.
Real Estate Broker · Boca Raton · Member since 2022 · 18 posts · 9 votes
1y
if Airbnb wanted to increase their profits they could allow people like me to list exclusively with them and I would take my listing off vrbo since I hardly get any listings on vrbo. I would just be an Airbnb exclusive and if we got a small discount as a host to list primarily or exclusively with Airbnb, it would mean that I wouldn't take direct bookings and I wouldn't block off days.
it's a win-win. it creates an exclusive agreement between myself and Airbnb
I'm sure that Airbnb is not going to give us a cut of anything to do with the new offerings of being able to book experiences. I don't make anything from the experiences that I offer my guest now. actually the only thing I get is just kick back from the community saying that I'm running businesses at my house even though I haven't even gotten a free massage or a discounted one.
as an Airbnb host with many properties, I can say that the fees get pretty cumbersome and I think it would be a huge incentive of Airbnb. gave me a small discount for listing exclusively with them.
Olympia, WA · Member since 2016 · 8k+ posts · 7k+ votes
1y
I would be curious to see if it triggers the significant services part of the IRS code.
Anytime you offer some kind of significant service like personal chef, daily house cleaning and pretty much all of the services listed would trigger it.
That would change your tax status and the way you file and the deductions you can claim.
I would be curious to see if it triggers the significant services part of the IRS code.
Anytime you offer some kind of significant service like personal chef, daily house cleaning and pretty much all of the services listed would trigger it.
That would change your tax status and the way you file and the deductions you can claim.
I would be very hesitant until I knew for sure.
Guest are getting these services from Airbnb not the owner. Airbnb is making the money off these services.
Guest are getting these services from Airbnb not the owner. Airbnb is making the money off these services.
Possibly. Still I would be concerned at first. The IRS can get tricky when it comes to verbiage.
This is something I wouldn't look to offer being as we are pretty far out of town. I can't imagine any of the services offered would be cost effective.
Guest are getting these services from Airbnb not the owner. Airbnb is making the money off these services.
Possibly. Still I would be concerned at first. The IRS can get tricky when it comes to verbiage.
This is something I wouldn't look to offer being as we are pretty far out of town. I can't imagine any of the services offered would be cost effective.
It looks like you won't have any say in the offered services as they are part of the Airbnb app.
I see it similar to Viator. I went on to see if I could offer private yoga services (currently I do this privately), but they don't have this as a service yet (they have private trainers only right now). I'd be interested to see if it drives any business...I do have it as part of my listing descriptions right now and have very few people ask about it.
Rock Star Extraordinaire · Northeast, TN · Member since 2015 · 10k+ posts · 16k+ votes
1y
I think it's going to be a big flop. For the following reasons:
1. Airbnb users tend to be CABs.
2. They already suck from a host's perspective in that everything is geared towards sucking up to the person booking rather than providing equal support to both sides. That may work fine when you're talking about a $1000 house rental that doesn't have a lot of other options right now besides VRBO, but isn't going to fly for a chef or bike rental place or anything else that is dealing in small dollar commodities and can tell AirBnb to suck it when it comes to eating up big fees or having CAB guests expecting imported sushi meals when they paid for McDonald's services.
3. The vast majority of AirBnb users are looking for inexpensive accommodations and really nothing more. It's a select few that are looking for "experiences". For most people this is a cheap place to drop their heads while they're in town.
I think it's going to be a big flop. For the following reasons:
1. Airbnb users tend to be CABs.
2. They already suck from a host's perspective in that everything is geared towards sucking up to the person booking rather than providing equal support to both sides. That may work fine when you're talking about a $1000 house rental that doesn't have a lot of other options right now besides VRBO, but isn't going to fly for a chef or bike rental place or anything else that is dealing in small dollar commodities and can tell AirBnb to suck it when it comes to eating up big fees or having CAB guests expecting imported sushi meals when they paid for McDonald's services.
3. The vast majority of AirBnb users are looking for inexpensive accommodations and really nothing more. It's a select few that are looking for "experiences". For most people this is a cheap place to drop their heads while they're in town.
.... 3. The vast majority of AirBnb users are looking for inexpensive accommodations and really nothing more.
Maybe it will be a flop, but I totally disagree with the idea that all Airbnb guests in all markets are only looking for economy stays.
The majority of my clients who buy STRs in Colorado are offering something unique. It's either a premium high-end accommodation or it's a unique experience that, while not crazy expensive, is charging way more than a similarly sized "economy" property. (I'm thinking of this A-frame in the middle of nowhere charging $300-$500/night.)
Maybe the majority of users are looking for a budget stay, but the majority of offerings are that as well. And, at least in Denver, Colorado Springs and many of the markets I serve, you can't earn enough for cash-on-cash to look good unless you're offering something unique.
What that says about the potential of the new Services' offering, I'm not sure.
I agree. My guests predominant came from VRBO and now from Airbnb. Interestingly, in off season, there are only people looking for a deal but in high season, we get mostly high-end of the market that are not afraid to pay higher nightly rates for better properties.
Real Estate Agent · Colorado | stan.store/JamesCarlson · Member since 2014 · 2k+ posts · 2k+ votes
1y
I also think we have to define for whom this will be a success or failure.
If I'm a business, I'm absolutely going to be on Airbnb Services. We had a tour business for a number of years that got around 25% of its business from Airbnb Experiences. For us, Airbnb put us in front of a massive audience of potential visitors.
If I'm Airbnb ... who knows. The Airbnb Experiences has been a mixed bag and does divert from their core business model.
If I'm an Airbnb guest ... not sure. I've booked a few experiences (mostly food tours) through Airbnb. I might consider booking a massage or spa treatment through them if it's right there.
Investor · FL · Member since 2016 · 332 posts · 388 votes
1y
I expect this will work for more metro areas, but I expect the conversion rate to be less than 2% of guests. Some people never really care about prices and just buy/book and Airbnb will focus on this customer profile. I do see it not ending well in the sense of being like Allegiant Airlines Sunseeker Resort. This will drain resources (manpower/money) from Airbnb core hosting and eventually after 3 or 4 quarters of losses they will still offer it but with bare minimum resources/support and operate like Viator. What will be interesting is when people offering on-site services start asking/demanding owners give early access to provide a service on property. What happens when owners/hosts start asking for proof of insurance and/or liability waivers from service providers? Off-site services will have minimal impact on hosts.
You can contact customer service to opt out of the services.
I have three big concerns:
1) What about insurance? What happens if a third-party service provider is injured in my home? Or what if they damage something in my home?
2) A poor experience = a poor review for my property. I don't think a lot of people will decouple the two reviews
3) Additional wear & tear without any compensation. The service options include getting your hair dyed at the rental. That's a hell-to-the-no for me.
There's also additional logistical concerns. Right now we only have parking for two cars allowed. If there's two couples at our place who hire a personal chef, there's no place for them to park according to HOA rules. I can imagine that additional traffic would be a problem in other places as well.
Fortunately services aren't even available in my area and may not ever be in more rural areas so it's moot for me. At least for now.
Rental Property Investor · Phoenix, AZ and Rehoboth Beach DE · Member since 2019 · 1k+ posts · 1k+ votes
1y
I agree with everything @Dina Schmid says. And for Airbnb to spring this on us is disrespectful. We shouldn’t have to opt out, we should have to opt in. There is no real vetting of these vendors. Airbnb just reads their reviews and asks for a copy of any license or permit if required by the locality. And no way am I allowing hair dyeing in my house either.