Staying in an Airbnb could get cheaper after the firm’s CEO said he wants prices to become more competitive when compared to hotel rates. In recent years, the rising cost of cleaning fees and booking charges on the homestay platform have prompted customer complaints that A irbnb rentals often cost more than a hotel stay . Now, CEO Brian Chesky, co-founder of the company in 2008, says Airbnb intends to improve the pricing structure of its accommodation.
“We want prices to move and to be more competitive vis-a-vis hotels – that is really important,” Chesky told Bloomberg . On Wednesday, at the company’s first-quarter earnings call, Chesky announced the new initiatives to lower user costs. “When we started Airbnb, our original tagline was ‘a cheap, affordable alternative to a hotel.
’ And the majority – the primary reason people came to us is because it was a better value than a hotel. And we still think that’s a core value proposition that we have to offer,” the CEO said. The new upgrades include a total cost price display to increase service fee transparency and show guests the full value breakdown of a booking before any discounts are applied.
Airbnb has already started offering long-stay guests weekly and monthly discounts on properties to encourage more affordable rentals and prompt more bookings. A new price-comparing tool for hosts will also give dynamic insights into the average price of similar listings in their area when updating their property rat.
