Airbnb is a company that helps find accommodations for guests and short term rental income for hosts. What is an Airbnb? It is a marketplace where Airbnb connects people who are looking for accommodations with people who are looking to rent out their homes.
What Does Airbnb Stand For?
Airbnb stands for an abbreviation of its original name “Air Bed” and “Breakfast”. The present company name “Airbnb” is an abbreviation of its original name.
Air bed and breakfast are abbreviated into Airbnb. The founders of the company rented out their living room. Their rooms had mattresses for their paying-guests. Hence, the company is called “Airbnb”.
History Of Airbnb
The history of Airbnb is quite interesting. Joe Gebbia and Brian Chesky are the founders of this company. They were living in the United States (San Francisco). Before 2008, they stayed in their rooms and wanted to make some money.
Putting air mattresses on the floor and renting them out is where they started. This was a good idea. Because hotels can be full. In that case, where would a person stay?
This idea was commercialized by these fellows. In 2008. another name joined this company. His name is Nathan Blecharczyk. They founded the company and made a website.
Initially, the company was called, “Airbed&breakfast”. The company started in a small area. It was not an international company back then. Short time rentals and breakfasts were offered.
After 6 months, they began to get their customers. These customers came in August 2008. It was a conference on ‘Industrial Design’. Many people came to the city and the hotels were full. Then, they booked rooms under ‘Airbnb’.
In 2009 the company got some investments. The company was ‘Y-Combinator’ (investor). They invested a good amount of money ($20000). This investment filled them with hope. The founders of the company went to New York and promoted their company. Within one year they had 10,000 users.
After the first year, their company’s name was abbreviated. Now, the name was ‘Airbnb’. This is the present name of the company.
After 2009 ‘Airbnb’s success was remarkable. By the end of 2011, their bookings were record high (around 5,000,000 bookings). In 2012 Airbnb doubled its business.
From 2011 to 2012 Airbnb opened many international offices. London, Sydney, Berlin like famous cities were providing businesses for Airbnb.
The founders of Airbnb came to the Asian market in 2012. In 2014 Airbnb changed its logo and they also launched an App.
From 2017 Airbnb’s marketing plan changed. They started to expand more rapidly. Restaurant reservations were now available with the Airbnb app. In 2018, “Airbnb Plus” and “Beyond” services were launched by Airbnb. These services offered high-quality and luxurious home rentals.
Airbnb has a long listing and millions of people book their services every day. The company is growing and earning huge profits year after year. Airbnb is worth over $38 billion.
How Does Airbnb Work?
Airbnb is a great platform for tourists. They act as a broker. For the vacations, you can choose from a variety of rental properties including an entire place, private room, hotel room, and shared room.
Depending on the location will change if you are able to book entire places or a shared room (your own bedroom). Remember to check before planning a trip.
Now, Airbnb has two parts – hosts and guests. The host is the person who rents out his/her property. Guests are those who are looking for accommodations to stay at on there trip. The company owns no property. They just take a commission.
How It Works – For The Hosts
Step 1 – Register Your Property
The first step is to register your property. You have to visit the Airbnb site. Then you can put details about your property. They will verify your email and phone number.
You can register your entire house or a room. You can give your property details and location details.
Step 2 – Legal Authentication
Some countries don’t allow people to register their property for rental services. In that case, you should know whether your country or place will allow you to rent your home.
Step 3 – List Your Property
After this step, you can list your property on the Airbnb website. This section is called – “List your space”.
Here you can write details about your property, facilities, and any other features. You will also provide photos of your property.
Now, your guests will search. If they like your Airbnb listing then they will rent your home. Airbnb takes a small commission charge from your rental price (3%+).
How It Works – For The Guests
Step 1 – Register Yourself
To find a property on Airbnb, you first have to register your name, email address, and confirm your phone number. This is for hosts and guests’ safety alike. Afterward, you can search among millions of Airbnb listings.
Step 2 – Compare and Select Your Place
Airbnb gives you many options including pricing and features of the different properties. Once you have registered you have the ability to filter through numerous settings and request to book with a host.
In order to qualify for “Instant booking” on Airbnb, you will need to verify a valid government official I.D.
Step 3 – Payment
Airbnb has a secured payment system. They use ‘Google wallet’, ‘Paypal’ and many other forms of popular payment options. Once you confirm your payment as a guest you fully booked.
Airbnb services are getting popular all over the world. Because of this, you can book affordable rentals, great locations and great facilities on the Airbnb platform. Above all, the cost is cheaper than a hotel if you choose the right location