How Airbnb has embraced sharing economy and soon became multi-billion company?
Founded in 2008, Airbnb has established itself as the premier online marketplace for leasing or renting short term accommodation. It is a premium example of collaborative consumption and sharing with the company’s revenue based on its receipt of a percentage of each booking’s service charge. With current listings spanning 191 countries worldwide, its staggering success is very evident indeed.
Success, however, did not always come so easily to this now very well-established brand. The early days of the company saw it struggle to gain credibility and in turn the trust of guests and hosts. Early users of the site were understandably unsure of its safety and of its reliability but the company went on to carefully address these concerns, gain the trust of millions and in turn to become the outstanding success and multi-billion dollar market leader it is today.
In order to build trust between hosts and guests, founder Joe Gebbia and his team introduced a comprehensive range of safety mechanisms to reassure users and help to cement the reputation of the Airbnb platform. In the first instance, Airbnb demanded that each member complete a profile complete with photos. Following the completion of each stay organised via the site, both the host and guest was given the option of publically posting references for each other as well as reviews of their stay. This enabled good hosts to be recommended and those lacking in some way to take criticism on board and work at improving their performance. It also allowed potential users access to honest and unbiased reviews of particular properties and their owners.
Insurance was another area that the company sought to address. Airbnb recommends that hosts obtain insurance to cover potential damage caused by guests. The company also offers US$1,000,000 of secondary insurance. This it terms its "host guarantee" which covers property damage due to theft or vandalism providing yet another layer or reassurance for hosts and guests alike.
Furthermore, the company provides a 24-hour customer service hotline as well as a special task force which investigates any suspicious activity. It also offers a special private messaging system where site users have the option of contacting each other privately prior to booking and accepting reservations. Hosts are also given the option of declining reservations if they have any suspicions about the potential guest.
Payment is another area which the company have sought to address. Through its secure payment system, Airbnb facilitates each and every payment from guest to host 24 hours after check-in. At the request of the host, Airbnb can also facilitate the collection of security deposits and non-refundable cleaning fees.
The company has also implement measures to establish user’s identity. Any Airbnb host has the option of requesting that prospective guests obtain "Verified IDs", meaning that they would be required to submit a copy of a government-issued ID prior to booking. Any Airbnb account can also be linked to social networking accounts such as Facebook in order to provide further reassurance.
Each of these measures has been implemented in order to help solidify trust in the Airbnb platform and they have together contributed in no small way to its global success. The efforts of Airbnb to address user’s concerns to such a degree have in turn encouraged numerous new online users to use such sharing economy platforms.
You can do Airbnb with your products!
Here at Tryilo, we see much of merit in what this online sharing marketplace has managed to achieve in terms of creating a safe and secure space for its hosts and guests alike. Building similar levels of trust in our platform is our aim and for that reason we are committed to addressing security and other issues with a similar level of attention to detail.
Tryilo is proud to be your local online platform for sharing and renting your seldom-used items and earning some extra cash in the process. In fact, having already embraced the concept of the sharing economy through Airbnb, many of its hosts are already taking advantage of Tryilo and using it to list items such as Kayaking equipment, DSLR cameras, Gopros, X-boxes & Ps4s and to make even more money quickly and easily.
We believe that the sharing economy is the future as evidenced in the stunning growth of Airbnb in just a few short years. Tryilo simply takes it to the next level, providing a safe and secure platform where you can rent out your things while generating some extra euros. Now is the time for you to get on board!