My Predictions for the Future of Airbnb
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What does the future look like for Airbnb? Find out my predictions for where I think the company will go in the next 6-12 months in this video.
Now, with any predictions, I am not guaranteeing that this is going to happen – I do not have insider knowledge as to what is going on within the company. However, I do keep up with the company pretty consistently.
So here are my predictions for the future of Airbnb and where the company is going overall in the next 6 to 12 months. For starters, it looks like they are preparing for an IPO that is likely going to happen during 2020.
THis is pretty surprising since they postponed their IPO earlier this year when the pandemic hit and it was thought to have been delayed until at least 2021. When you look at it though, this is probably a good time to go public, since that cash injection will help them out a lot. They have been able to capture a lot of the opportunity that presented itself right now and to adapt and focus their energy on long-term stays when the pandemic first started. Now, they can capitalize on domestic travel. They have a reduced workforce and reduced overhead, which is causing some support issues but puts the business in pretty good financial standing.
People like to see stability in the business in an IPO and Airbnb has proved pretty clearly their stability, even in this challenging market. A lot of hotel companies have really suffered, but we have seen Airbnb and similar companies doing well, all things considered.
I talked previously about how Marriott is competing with Airbnb in offering home sharing and actually grew that 800% year over year.
Airbnb has a lot of stability and has been able to easily adapt to cater to longer-term stays and launch different things like Airbnb online experiences to give their platform stability in a volatile market.
I also think management is doing a really good job overall in what they have been able to accomplish in all that they have done in a market like this. Yes, their support suffered because they laid off a bunch of support employees. However, I do not think that anyone, including Airbnb’s top management, expected to bounce back as quickly as they did.
Outside of the IPO, it’s been interesting what the focus has been. It’s fairly clear that they’re focusing on their roots and core business. They have cut off a lot of the venture divisions of the company, which I think is a really good overall for the company. They should have always been focusing on those perfecting the core aspects of the business.
I know a lot of people are upset with Airbnb on the hosting side, but with the new head of Hosting is going to make changes over the next six to twelve months. I think they will also be aggressive in hiring support staff and the IPO will help finance that.
Ultimately, if they can nail hiring that support staff for hosts and make the hosting experience better than it already is and make this opportunity better. They are getting all the additional publicity from things like their partnership with Will Smith will give credibility to the brand. While there are other booking platforms, very few come close to Airbnb in the actual home-sharing space and are Airbnb’s unique value proposition.
I predict in the future that they will double down on that to compete more with booking.com and attracting more property management companies like ourselves.
I think on the software side of things, they are going to focus on giving hosts more tools to be able to succeed in our roles and to maximize on this opportunity. Any changes I predict will be on the host side because things are good on the guest side.
So those are the changes we foresee in the next 6 to 12 months and if you want to take advantage of our free training, see the links above.
What's up guys, my name is James and in today's video, I just want to share with you some my predictions for the future of Airbnb where the company's going overall, what they're going to be focusing on over the next 612 months and beyond that, really just what I think the company's going to do to kind of adapt to all the changes that are happening right now even further. And as they prepare to eventually do actually go public.
Now, as with any predictions, I'm not guaranteeing this is going to happen, I don't have a crystal ball, I don't have any insider information that would tell me what's actually going to happen with the company. But I do keep up with this pretty consistently. And so I just want to share my thoughts on what the company is doing well, what they're doing not so well. And what I think that we're going to do moving forward. Now, if you liked the video, if you get value from it, then please just give it a quick thumbs up. If you want to give the video a little like right now I would really appreciate that helps me a lot.
If you want to learn more about Airbnb, whether it's through buying our book on Amazon, Airbnb for dummies, so you can start hosting, or checking out our free trainings on how to become a top performing host, or how to manage other people's properties on Airbnb and earn a full time income doing that. All the links to that are in the description down below. So I highly recommend checking those out. There's any area of Airbnb hosting that you're exceptionally interested in and you want to excel at, we put together free trainings down below that will help you to do that.
And we've also got our book down below, like I mentioned, where you can buy that on Amazon. So without further ado, let's go ahead and dive right into it. So what do I think is going to happen with Airbnb? What do we think is gonna? Where do I think the company is going to go over the next six and 12 months?
Well, for starters, it's pretty clear right now it looks as though they're preparing for an IPO that is likely going to happen within 2020. Now this is pretty surprising because they postpone their IPO earlier this year when the whole pandemic hit. And it was expected that that was going to be delayed until at least 2021. It's now looking like the company's poising itself to go public within the year. And so that's pretty surprising for most people. But honestly, if you look at it, it's probably a pretty good time for Airbnb because the cash injection will help them out a lot.
And honestly, they've been able to really capture a lot of the opportunity that's present right now they've been able to, to adapt and focus their their energies a lot on longer term stays when everything first set. Now they're really capitalizing on domestic travel, and they've got a reduced workforce, they've got a reduced amount of overhead every single month, which also is causing issues we all know with support being pretty hard to reach out to but overall, the business is likely in pretty good financial standing, all things considered.
And they've proven pretty clearly that there's pretty much nothing that can kill them. One thing that people like to see in an IPO is they like to see stability in the business. And so ultimately, that's why a lot of people were thinking that it was probably going to be postponed till at least 2021. So Airbnb could kind of get its footing back. And a lot of hotel companies have really, really suffered. But what we've seen is that Airbnb and similar similar types of companies, similar types of platforms are actually really doing well all things considered, especially when you compare them to other similar companies like hotel chains.
I talked about in a previous video how Marriott they're competing arm with Airbnb that offers home sharing actually grew 800% year over year 2020 compared to 2019. Now there's still not any kind of a major threat to Airbnb, like I mentioned in that video because they only have 10,000 listings. But it's pretty insane that while the rest of Mariano's business was crumbling, and really suffering financially, this one leg, this small leg of their business that had the same essential model as airbnbs grew 800% now there's a lot of people that want to stay in Airbnb ease and short term rental properties as opposed to hotel.
So that does make a fair bit of sense. And so we're seeing that that is actually given Airbnb, a lot of stability and the fact that they're so easily able to adapt to cater to longer term stays then do different things like launching Airbnb online experiences, to give their platform more stability when the overall market and industry is more volatile. that bodes very, very well for the company overall. So a lot of positives on the company. As far as from a just a stability perspective. I think management is doing a really good job overall. And a lot of people would disagree with me on that.
But if you look at what Airbnb has been able to accomplish in the face of such enormous volatility, it's actually pretty impressive. Now, their support has suffered because they had to layoff a whole bunch of their employees and a lot of those fell in the support category. And Airbnb really wasn't expecting things to bounce back as quickly as they did. No one had a crystal ball six months ago, just like no one has a crystal ball right now. And so I think it was pretty unpredictable. as Brian chesky the CEO of Airbnb has stated, even he didn't expect things to bounce back as quickly as they did. So they're feeling the pain of that quite a bit as much as they're feeling all of the great things.
About that, in terms of just the platform doing better overall. But in terms of support, they're feeling a lot of stress from having a reduced support staff. Now, outside of the IPO, what's really interesting is what their focus has been on. When you look at the layoffs, when you look at the new hires, the new executive, they've had, they've hired as the head of hosting, and you look at what they're what they're, they're speaking about doing in terms of restarting the company, it's pretty clear that they're really focusing back on their roots and on their core business, they've cut off a lot of the venture divisions of the company, which I think is a really, really smart move, and overall, a really good move for the company.
And if I'm looking at it from an investor's standpoint, I think that bodes really, really well, a lot of those other opportunities that they were kind of exploiting in the business were outside of their primary wheelhouse. And were, in my opinion, pretty opportunistic of them, rather than keeping them focused on the core of the business, which, even before all of this craziness happened, when they were focusing on those ventures, the core of their business still wasn't really perfect, it was pretty far from it, there was definitely room for improvement. And they were focusing on these ventures, when in my opinion, they should have always been focusing on those core aspects of the business, it seems as though they've seen the light on that now.
And they've really cut off a lot of the venture divisions and are focusing really on their hosts, they've hired a new head of hosting whose goal it is to make the platform better for hosts. Now, a lot of people are upset with Airbnb on the hosting side. But I think that's likely going to change over the next six to 12 months as they start to make some of those major improvements. And as they start to restock their support side of their business. Now, that's another thing that I think is really interesting is it looks like they're going to be pretty aggressively re hiring support staff, I think as well, the IPO is going to help them out a lot to be able to have the money to finance buying in, you know hiring more support staff and expanding that side of the business.
Ultimately, if they can really nail that support staff for hosts, and they can make the hosting experience even better than it already is, and make this opportunity even better than it already is for property owners who want to list their properties on Airbnb, then the sky really is the limit in terms of the growth that they can have on the platform, if they can really continue to attract more property owners on the platform. And they get all the additional publicity from intelligent things they're doing like their partnership with Will Smith, or with their IPO in general, which will just give more credibility to the brand and will give it more even more presence in just everyday life from people.
You know, given a more familiarity with the brand, I think that there's going to be a really great combination there to help Airbnb to succeed long term and continue to grow. Its ever growing chasm that it's built between it and any competitors. Again, if you look at you know, company like Mariana huge, massive international hotel chain, only having 10,000 listings under this model, compared to Airbnb multi-millions, you can see pretty quickly they built quite the moat around themselves. There are other otas other booking platforms like booking.com did a similar number of listings. I think that very few come even close to Airbnb in the actual home sharing space.
It's kind of Airbnb is unique value proposition. And I can see that in the future, they're likely going to really be doubling down on that, in addition to expanding to really compete more with booking.com by attracting hotel A's attracting more property management companies like ourselves. So I think that's really where the core focus is going to be. I think on the software side of their business, they're really going to be focusing on giving us as hosts more tools to be able to succeed on our rolls, and more tools to be able to really maximise on this opportunity for ourselves make things a lot easier, they've already been making strides, even if you look at just the past two years, and making it more user friendly on the host side. And I don't think that's going to change very much moving forward.
I think that's really where they're going to be focusing their energies because on the guest side, they're doing a pretty good job all things considered. I think that where they really have the most room for improvement is on the hosting side. Now, if you want to start really getting in on this opportunity, you want to start hosting on Airbnb or managing other people's properties on Airbnb. Before this opportunity gets too late before we're you're kicking yourself six months from now 12 months down down the road, wishing you'd take an action sooner, then just check out the links down below to the free trainings that I've included in the description.
I've linked some in depth free trainings I put together just for you that are going to walk you through the step by step by step of exactly how to get started managing other people's properties on Airbnb, and how to earn a full time income doing that. So again, just check out the link in the description below to go through that free training. You can register grab yourself a speed a seat before it's too late, get yourself in there and go through the free training so you can learn the exact steps you need to be able to build this really, really cool business at the perfect time when the opportunity is prime and do in a way where now you're going to actually have freedom to work on a business that you actually want to that you enjoy doing, but also have freedom to work more
You want where you want because one of the great things that I love about managing properties on Airbnb is it is a business that affords you a lot of freedom once you have the right system set up to be able to outsource and automate all the day to day operations. So again, link is down below in the description to the free training that will walk you through how to do that. If you like this video, if you got value from it, then just give this video a quick like give it a thumbs up, click that like button in the corner there it helps me a lot. If you're new to the channel here then consider subscribing as well. We post two new videos every single week. So just hit that subscribe button if you want to be notified when we post new videos. Until next time, I will see you again soon and happy hosting