Over the past few years, certain apps such as Airbnb have grown immensely popular because they enable consumers to find comfortable and stylish lodgings for themselves in a quick, easy, and mostly affordable fashion. This has led some commentators and industry analysts to worry about the future of the hospitality industry, especially when it comes to the prosperity enjoyed by hotels, motels, and other, more traditional lodgings providers.
Is Airbnb really disrupting the prosperity of hotels? Are traditional methods of doing business in the hospitality industry safe, or are apps really the future? Here’s a breakdown of how Airbnb, hotels, and others in the hospitality industry are faring these days.
Hotels likely aren’t going anywhere
There’s no denying that Airbnb has enjoyed some blockbuster years of growth and expansion. According to one report provided by Reuters, for instance, Airbnb has managed to slowly but surely increase its revenue stream since it began operating. The total booking value of Airbnb transactions from their first quarter of this year was up by more than 30 percent compared to this quarter in 2018. Nevertheless, it would be wrong to think that this is somehow spelling out the death of hotels and motels. As a matter of fact, there are compelling reasons to believe that hotels likely aren’t going anywhere regardless of how much growth Airbnb and similar companies enjoy.
Hotel websites and online travel agencies have evidently held strong when it comes to the overall number of bookings they can rely upon. Despite the fact that Airbnb has been slowly gobbling up large swathes of the hospitality marketplace, consumers still want a traditional hotel experience more often than not. While the idea of temporarily residing in somebody else’s home, apartment, or property may be alluring to some, to others it’s a commercial turn off which should be avoided at all costs.
According to a report on hotel bookings, websites like booking.com and companies like Expedia are driving huge sums of revenue towards modern hotels. This means that consumers still find it easy and affordable to locate a traditional hotel option even with competitors like Airbnb presenting themselves as alternatives. We can thus expect hotel booking website development to become more important as time goes on, as it’s clearly keeping more traditional hotels financially healthy in this digital era.
It’s thus safe to say that Airbnb is enjoying tremendous growth lately, but it’s not taking over the hospitality industry entirely. Regular hotels and motels that have been around for decades if not longer will yet endure.