Airbnb Ventures into Hotels, Enhances AI for Host Onboarding and Customer Support

Airbnb Ventures into Hotels, Enhances AI for Host Onboarding and Customer Support

2 Min Read

Airbnb traditionally focused on allowing users to rent rooms or entire properties from private hosts, offering basic amenities like a bed, bath, and kitchen. Now, it introduces hotels to increase revenue and expand booking options. After months of testing, the company officially adds a hotel filter to its app, initially partnering with boutique hotels in 20 cities, including New York, Paris, and Singapore.

For travelers looking for one or two-night stays, Airbnb will suggest hotels directly within the app, avoiding redirecting users elsewhere. A price match guarantee is also available: if a user finds a cheaper rate elsewhere, Airbnb offers app credits for the difference.

Airbnb sees hotels as better options for last-minute bookings, short stays, or business trips, mentioned Jud Coplan, Airbnb’s VP of marketing. The addition of hotels gives Airbnb an advantage in cities like New York, where short-term rentals face restrictions.

Beyond property bookings, Airbnb is expanding into experiences and services. Users can book local guided visits and food experiences as the company competes with Viator and GetYourGuide. This summer, Airbnb plans to launch services like luggage storage and car rentals, incentivizing users with credits on initial bookings.

Despite the AI trend in travel, Airbnb refrains from launching AI-powered trip planners. Instead, AI is used to streamline processes for hosts and guests. It assists in listing creation and categorizes reviews with tags like “location” or “family-friendly.” An AI tool compares wishlisted properties to help users decide.

Airbnb’s AI-powered customer service bot launched in the U.S. last year and will expand globally, handling 40% of queries. Later this year, Airbnb plans to introduce a voice-based AI assistant for calls.

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