5 months ago
 

Airbnb seen as cheapest option for accommodation by many millennials

Either the marketing continues to wow younger travellers or it is correct that Airbnb is the cheaper provider of somewhere to stay when compared to hotels.

That’s an outcome to consider by hotel marketers following the release of a report by Lendedu, a US-based finance provider to millennials.

The company asked almost 2,000 college students how an Airbnb-sourced property compares to staying at a hotel.

Some 37% said it was the “cheaper, preferred option”.

This is compared to the 35% who consider the “benefits of a hotel are worth the added cost”.

Still, just over a quarter (27%) claimed that “Airbnb feels sketchy and not as accommodating”.

On the one hand, Airbnb should be rather pleased that it has caught the eye of so many in the emerging traveller audience.

But, as Lendedu warns, Airbnb will still have its work cut out.

“Airbnb must universally improve their operation so that visitors feel comfortable and accommodated in every single Airbnb dwelling.

“A large reason why hotels have been so successful is that they are typically a consistent, known commodity.

“Airbnb would skyrocket in popularity if they can ensure that customers are not playing Russian roulette with their travel accommodations.”

The organisation’s analysts claim that Airbnb could reach a 50% mark within a year or two of millennials that have used the service.

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Kevin May

About the Writer :: Kevin May

Kevin May was a co-founder and member of the editorial team from September 2009 to June 2017.

 

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  1. Ginger Sullo

    Agree with Aljosa’s comment, on the pointed inference with 35% of M’s viewers preferring a hotel stay, QUITE telling, considering approx. 2% U.S. supply growth in hotels, multiplying as thousands of “new” rooms coming on line, from last year into ’18 along…thus, in no uncertain terms, are these hotel finance, investment and RE execs stopping because of ABNB…its continual in evolving our the distribution dynamics of our unwieldy lodging landscape..again, speaking about U.S. “Living like a Local” clearly has comparable implications with houses versus boutique-type small indies hotels.

     
  2. shawn

    I love Airbnb. We have found a ton of nice places from NYC, San Diego, Tokyo, LA, Ecuador, at half the price.

    We got a nice little Melrose place style apartment 10 minutes walk to Santa Monica pier for 65 bucks a night. It wasn’t a roach motel. Try that with a Hotel.

    When in NYC we had a large group go and split between 10 people who fit came out to less than 400 for my wife and I for almost 2 weeks. Try that with a hotel.
    And as far as sketchy I tried a Ramada Inn that ended up looking nice the pictures and was a drug dealers and hooker infested hotel in a really bad neighborhood.

    With airbnb I get nice personal reviews from people who stayed there . I use that to choose what I need. Never have I been disappointed. I hope airbnb never changes. You can keep your overpriced hotels.

     
  3. Jeff Howard

    Our boutique travel company travel just did a deep dive on the cost of Airbnb vs. Hotels vs. Vacation Rentals near the DC Metro. Our insight was that often Airbnb is cheaper than a hotel during the week when business travel spikes, but on the weekend we thought hotels were still a better option considering the extra set of risks that Airbnb rentals comes with. Some high level stats and data is available at this page – http://hotelsneardcmetro.com/ultimate-guide-to-airbnb-in-washington-dc/

     
  4. Karen Sammarco

    Why are only asking college students? I have 3 very successful airbnb properties 5 years in the running. 3 miles from beaches. County park across the street…etc..average age of guests would be 25 to 45….OUT OF COLLEGE and quite savvy, professional individual’s who are wanting to travel a better way. Living like the locals

     
  5. Nikki

    Mellenials may grow older and wealthier, but they also want accomadations where they can take their pets, children, and elderly parents. Hotels limit the amount of people in a room, for instance I had a situation of a family with 5 children who were forced to rent 3 hotel rooms. In my area we have whole homes in great communities that get AIRBNB, 5 and 6 bedrooms with pools, and everything in it is usable, the bikes, golf cart, fishing equipment, coolers etc.
    When people want to visit family that lives out of area, they get an AIRBNB thats larger, so they can have the family be together. I can go on and on as to why AIRBNB is satisfying melllenial needs.

     
  6. Lilly Araiza

    Airbnb is used by all types of people not just students, older people take advantate too. It is a great option, one gets a home for the cost just a room in a hotel

     
  7. Aljosa

    Hmmm 35% of college students already prefer hotel over homestay? If so, this data is not encouraging for airbnb, I’d expect a higher share that obviously declines as millennials grow older…and wealthier 🙂

     
 
 

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