Airbnb is keeping up with the times, introducing artificial intelligence (AI) initiatives, expanding pricing flexibility, and sparking Gen Z’s interest in off-the-beaten-path travel.
Beyond that, the short-term rental giant is also active in the hotel sector.
“We’re ramping up, especially in New York, San Francisco, and a few other cities,” Airbnb co-founder and chief strategy officer Nathan Breschalczyk said during a fireside chat at Berlin’s ITB last week.
In a conversation with Mitra Sorrells, SVP of Content at Phocuswright, Blecharczyk added that Airbnb is adding hotel-specific features such as the ability to select room types.
“We recognize that even our most loyal customers still book hotels, because some trips are all they need,” he said, noting that Airbnb also offers deals on boutique hotels and independent real estate for international travelers and young people.
In the long term, Airbnb wants to help people staying in its hotels discover “the charm of the outside world” and explore destinations around them, Bresharczyk said.
The conversation then turned to AI. Airbnb is currently using AI to enhance customer support. Like other travel brands, Airbnb also wants to leverage AI as an independent travel agency in the future.
But when asked whether the company feared disintermediation, Blesharczyk said Airbnb did not consider it a “significant concern.”
“I think we’re in a much stronger position than a lot of technology companies who are very concerned about their software being replicated by AI and their workflows being replicated by AI, because, again, we have very strong relationships with the supply side of the market.”
Blesharczyk also talked about the popularity of nature tourism, with 60% of Airbnb’s business taking place in non-urban Europe. The executive also used the opportunity to confirm a new partnership with the German Tourism Association and launch a $1 million fund to promote non-urban travel.
Blecharcyzk said the partnership will provide short-term benefits by positioning Airbnb as a partner for destination marketing organizations, but will also help drive more travelers to more rural areas in the long term.
CSOs also discussed issues such as city regulations, housing, and Airbnb’s priority markets. Watch the full discussion below.
Betting on nature: How Airbnb’s innovations are shaping the next era of travel
