Airbnb's Price Flexibility Could Aid in Bigger Travel Slowdown -- Market Talk

Dow Jones
May 15, 2025

1256 ET - The slowdown in travel has been felt across hotels and vacation rentals alike, but Airbnb may have an upper hand thanks to greater pricing flexibility, TD Securities analyst Kevin Kopelman and Wells Fargo analyst Ken Gawrelski tell WSJ. Airbnb and hotels said they've logged a slowdown in demand in the U.S. Airbnb's 2Q outlook came in lower than expected. But Airbnb offers a broader range of tiers and prices compared with hotel chains. Customers can easily trade down within Airbnb if they are feeling more budget-conscious, and hosts can lower prices if demand slows further, Gawrelski says. While Airbnb's booking value per night is higher on average than many hotels, that price is often split among several people staying at the same rental, Kopelman says. (katherine.hamilton@wsj.com)

(END) Dow Jones Newswires

May 14, 2025 12:56 ET (16:56 GMT)

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