(Honest questions for thought. To the extent they're a bit leading, it's to make them interesting enough to think about.)
Is there some other highly-entrenched market that could be cracked this way that nobody's considered?
(Honest questions for thought. To the extent they're a bit leading, it's to make them interesting enough to think about.)
Is there some other highly-entrenched market that could be cracked this way that nobody's considered?
The "gig economy" as exemplified by Uber and AirBNB primarily seems to be a way for businesses to circumvent the regulations on existing markets, giving them a competitive advantage over 'traditional' players.
Uber wouldn't be investing in self-driving cars if they thought they were going to have to buy taxi medallions for them and offer fixed fare prices, the way legitimate taxis do. If there were a way for AirBNB to just run hotels without having to comply with the usual hospitality laws, they'd be doing that instead of crowdsourcing.
There is a reason we gave had hotels for 100 years. Kinda nice to get consistent quality with no big process to find a room.
http://marketrealist.com/2014/10/why-marriotts-hotels-have-s...
What'll someone's happen is that the building and management don't change, yet the hotel brand will change.
There's no particular reason that wouldn't be successful, but it makes about as much sense as them branching out into the ketchup-making business.
Being a Marriott hotel means you have access to Marriott customers on Marriott.com and other sites through their systems. That's not much different than AirBnB.
They may as well take that money, and invest it into <Insert non-core competency of AirBnB>. Or, alternatively, partner with an existing hotel franchise.
Managing other people's properties, on the other hand, is a natural extension of their core business.
and liability
If a hotel has bedbugs or you find something nasty, it makes the morning news and headlines. There are usually regulations that kick in, procedures that must be followed. The hotel goes out of their way to compensate you, yes probably even prevent you from making a big deal about it by offering you a free booking or two. If something happens on an airbnb, they get a bad review.
I brought up the issue when I was checking in and they claimed they'd never had bedbugs which is clearly a lie.
Airbnb actually has more incentive to fix the issue for you because you'll stay with them again (same as some large hotel chains) whereas in this case I was never coming back to Newark Airport Hotel so they didn't care
Details can be worked out by someone other than me.
I stayed at a best western in the Philippines and it was pristine. I also stayed at local places and quality varied, because who was going to know/care?
The lesson here is that big, reputable places have incentives, whether traditional (best western) or alternative (airBnB).
That said, this is the nice thing about Airbnb. The reviews would have warned me.
http://www.lasvegasnow.com/news/restaurant-reopens-after-bed...
Not bed bugs, but mold, same concept - http://wncn.com/2016/08/25/raleigh-hotel-has-black-mold-prob...
Google news for "hotel bed bugs" yielded a plethora of results.
Airbnb is worth it if it's significantly cheaper than a hotel, but once the prices became similar imo totally not worth the hassle. With a hotel you know what you are getting upfront.
For business trips or similar, yeah, hotels are perfect.
If I as a person own a house, and I want to rent to out to other people when I am away, how do I do this in an easy way?
This is free supply that SHOULD be on the market, but wasn't until airbnb came along. Sure there was craigslist, ect, but airbnb really made the process much easier.
Because many hotel chains don't even do that - they simply franchise. The end goal for many of these things is to become a directed-fund: investors bring money (to buy property), the company adds their secret sauce and takes a significant margin.
Uber would have never gotten off the ground if it had to finance ownership of its own cars. AirBnB wouldn't be profitable (Or, more specifically, would be in an extremely risky line of business) if it had to own all the property it rents. They both capitalize on inefficiencies in driver/host use of their vehicles/homes, essentially borrowing them at a discount, compared to owning the asset + paying their own employee to drive/host.
I can already get consistent quality with no big process to find a room. I go to any hotel's website, and book a reservation.
Said hotel will also let me check in at 3 AM, will happily extend my stay, and will assist me with any travel emergencies.
That claim is even more absurd in the case of Airbnb, which is a pure marketplace. They are no more "freeloading" than your local newspaper is/was freeloading on the posters of classified ads for renting.
Say they own an apartment complex and allow people to either purchase units or lease long-term, with the option to rent out their place to short-term AirBnb users when they aren't there.
AirBnb and its users would benefit from having on-site staff as well as standardized units, reducing unpredictability for everyone involved and making it a hotel-like experience, while still profiting off of capital owned by the working class.
What I'm imagining is probably closest to a time-share property but re-branded to lose the stigma and with slightly more standardized units.
I just like the idea of something that allows remote workers to easily move between multiple cities, for varying intervals of time, with similar, predictable accommodations.
No idea if there's actually a viable market or if it's even in the realm of what AirBnb are trying to do.
As someone who has moved an aweful lot, I always imagined such an option should exist and was always frustrated to know it doesn't.
Barring a large corporation offering a seamless option, I'd like to see hostels tackle this problem by being built to offer several rentals (rooms) per location, perhaps with a 2-3 month limit. In a large enough city, one could just do a search for these types of rooms via Hostelbookers et al. At least such an offering would take care of the "I just moved here and want to figure out the lay of the land first" problem.
Can you elaborate?
The point of the gig economy is to circumvent regulations both on existing industries and the hiring of labor that reduce the returns to capital (in the latter case by providing greater security and returns to labor).
Now, allowing the working class to think that they are being made able to better leverage their meager capital is part of the leading wedge and marketing image of many gig economy ventures, but even there the trend is to transition away from use of working-class-owned capital to capitalist-class-owned capital. Which is really the only way ventures can scale, because of the working class had the kind of capital to support scaling ventures up, then we wouldn't call them "working class".
You see this transition to capitalist-owned-capital in the trend discussed with AirBnB increasingly listing big and multiple property owners, not extra rooms in some working-class person's home, in Uber moving to offer vehicle leases to drivers, to move beyond driver-owned vehicles, etc.
Well, the end game could also be apartment/house/hotel market, rolled into one.
IE, the unification of the short and long term housing markets. With each person having an opportunity to monetize ancillary tasks - cleaners, arranger, cooks and so-forth all could be available on the market.
If hotels have some amount of inefficiencies/fraction in their markets, apartment rent and home buying has much, much more. All for somewhat logical reasons but sharing-economy is pretty much a stampede to price everything at market value, externalities be damned.
If might be a bit inconvenient to have to decide on a weekly or daily basis whether you could afford your current digs but hypothetically you could take comfort in getting the best deal possible, I suppose unless you wind-up the sidewalk, a location of limited comfort.
Now, this isn't to say an investment is safe because it's accountable and transparent -- but the mechanics that govern the organization is now something that can be put on autopilot without human intervention.
The only thing that reduces risk is proper due diligence. Relying on the SEC would be a mistake and I expect this market to be filled by some kind of prediction market (see augur).
Troll somewhere else bro. You add nothing to the discussion. Write a fortune cookie or something.