Rooms Hotels

Airbnb doesn’t pose a big threat to hotel industry: analyst

Excerpt from Euromonitor

Mar 27, 2013 11:21 am

Skift Take

Hotels have to respond to the user experience that players like Airbnb have enabled and innovated in digital, and even if the markets are different, consumers are learnings cues from superior UX of such players.

— Rafat Ali

Latest Report: Instagram Strategies for Travel Brands

Euromonitor expects that both hotels and vacation rental accommodation types will see similar growth, with hotels growing by 20% over the next five years, and rentals growing by 19%. While the success of Airbnb has elevated the profile of the vacation rental market, it is a market that has always existed—its distribution has merely improved with easy…As a result, the vacation rental industry isn’t expected to significantly cannibalize hotel industry sales.

Leisure travellers is where both accommodation types compete heavily. There has been a shift to more family and multi-generational travel…It is this segment that the hotel industry will need to try a bit harder to win over.

Hotels can respond to this by promoting their extended stay brands to more leisure travellers and emphasising the family friendliness of their properties—providing unique activities such as specific outings for children that aren’t available at vacation rentals…overall, hotels must leverage their greatest advantage over the vacation rental industry: standardised service.

Read the Complete Story →

Tags:

Next Up

More on Skift

American Express to Vote in Favor of Concur-SAP Merger
TripAdvisor’s Viator Notifies 1.4 Million Customers about Site and Mobile Data Breach
6 Tourism Trends We’re Tracking At Skift This Week
Business Travelers Find Turning Trips Into Vacations Has Its Perks