Illinois Tourism & Travel

Crazy About Travel

What Airbnb CEO Brian Chesky Said in the Q3 Report Amazed Me

My family members bought shares in Airbnb (NASDAQ: ABNB) because it is revolutionizing the vacation market place. Standard hotels and motels are going to have a hard time competing with Airbnb’s business enterprise design. Airbnb has a supply of 4 million locations where folks can continue to be all over the globe. What hotel chain can compete with that?

And if which is not plenty of, Airbnb has basically zero building fees concerned with these spots. Hotel chains have to choose on enormous debt in get to construct new structures. Airbnb uses existing houses in a new, fascinating way. If you blend millennials’ adore of travel with their really like of recycling, Airbnb is the fantastic web page for them. We do not want to generate new holiday vacation spots just use existing areas!

graphic source: Getty Visuals.

I am extremely enthusiastic about the future of this firm. And the network outcome will hold all potential opponents at bay. As much as I’m worried, the struggle is above, and Airbnb has received all the mindshare. So my loved ones acquired in, expecting probably a 10-bagger about the upcoming decade.

Then I listened to what the CEO, Brian Chesky, reported on the Q3 meeting connect with, and my thoughts was blown. Now I’m wanting at Airbnb in a entire new way.

It can be not a holiday, it’s a way of life

1 of the intriguing stats at Airbnb is lengthy-term stays. About 20% of guest visits last for a thirty day period or more time. For most folks, a holiday vacation is a week or two. So what is actually up with these very long-phrase stays?

Here’s what Chesky explained that boggled my head:

The globe is going through a revolution in how we reside and operate. The pandemic has abruptly untethered tens of thousands and thousands of folks from the want to go into an workplace. Technologies like [Zoom Video Communications] make it possible to work from household. Airbnb makes it feasible to work from any residence. And this newfound adaptability is bringing about a revolution in how we vacation for the reason that for the initial time ever, tens of millions of persons can now vacation at any time, anywhere for any duration, and even reside everywhere on Airbnb.

Wow. I might never basically considered how Airbnb is revolutionizing how numerous of us are living. I thought it was a holiday inventory. But he is talking about people today dwelling in Greece for a pair of months, and then relocating to Jamaica for a couple months. And then it’s off to Norway for the ski period and then Japan in the spring. Are living anyplace in the earth, for as lengthy as you want. Vacation wherever and remain any place.

Which is a revolution in optionality

Even though you happen to be performing all this relocating close to, you can hire out your own house. (also on Airbnb, of system). And the cash you make from your rental can defray the charges of your environment travel. So that’s new. And making use of Zoom to get the job done from property — that’s new, too. I knew all these matters, of course I would just never put it all with each other in advance of.

The selection to do as significantly globe traveling as you want to do is seriously interesting. Men and women have completed that just before, normally when youthful and poor. But now you can journey the earth when you happen to be middle-aged and working for a living. You do not have to stop your occupation and see the entire world. You can retain your occupation and see the globe.

Men and women also journey a large amount when they retire. I have listened to of persons retiring on cruise ships and just going from one particular cruise to a different. Cruises are exciting, but I believe it could possibly get aged soon after a even though. And these rooms are very small. After a when, I think I’d go ship-mad.

I imagine the world vacationers — the young and the aged — are the most clear case in point of teams of men and women who would use Airbnb a good deal. But Airbnb (and Zoom) is expanding the pool of people who can be planet travelers — not just little ones attempting to see Europe on $10 a day. A good deal additional people today can journey about the earth now. You can do that with your young ones, far too, for the reason that this pandemic has launched a lot of individuals to the idea of educating their little ones at dwelling.

Acquire a yr off, see the entire world, and introduce your little ones to international locations and cultures. Do this at any issue in your life, for as long as you want. And go wherever you want. That is certainly new. I feel this stock will shock a great deal of persons with how big it might turn into.

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Taylor Carmichael owns shares of Airbnb, Inc. The Motley Fool owns shares of and recommends Airbnb, Inc. and Zoom Movie Communications. The Motley Idiot has a disclosure coverage.

The sights and opinions expressed herein are the sights and viewpoints of the writer and do not always reflect those of Nasdaq, Inc.