Airbnb, the popular home sharing business, has become a popular choice of accommodation for travelers over the last 9 years. But as the peer-to-peer business shows increasing presence in the hospitality industry, how are traditional hotels and resorts affected?
Gravy analyzed its location-based data from Q4 2016 and Q1 2017 to identify trends in foot traffic at seven leading hotel brands in the U.S. The results? Foot traffic for Courtyard by Marriott, Omni Hotels and Resorts, Aloft Hotels and Kimpton Hotels decreased significantly in Q1 2017. In contrast, traffic at Hilton and Marriott hotel brands was up slightly at 2% and 7%.
Airbnb started as a casusal accommodation business, and has grown to become one of the hospitality industry’s largest competitors. Yet, Airbnb’s continued success isn’t guaranteed, with recent legislation in New Orleans limiting short-term rentals in tourist-heavy neighborhoods like the French Quarter, and pending legislation in LA that would limit the number of rooms available to rent and restrict rentals to a maximum 180 days. At the same time, longtime Airbnb hosts report an increase in troublesome guests and property damage, with limited recourse available through Airbnb.
Will Airbnb continue to gain market share, or will traditional hotels and resorts recover as Airbnb fatigue sets in and summer travel season kicks off? Stay tuned to see what trends our Q2 foot traffic analysis brings.
Gravy Analytics is a leading provider of location intelligence for brands, and monitors foot traffic trends for over 2000 retail, hospitality and restaurant chains in the U.S. Want to learn more about Gravy and location intelligence? Contact us today.