- Airbnb reported $2.5 billion in Q4 2024 revenue, driven by product improvements and targeted marketing.
- The platform captured market share from traditional hotels and rival Vrbo.
- Airbnb introduced third-party integrations and plans to revamp its Experiences category in 2025.
- Vrbo showed resilience in suburban markets, adding 1 million properties.
- CEO Brian Chesky shared plans to expand Airbnb’s travel services beyond lodging.
The Shift Away From Hotels
Traditional hotels faced mounting pressure in 2024 as Airbnb continued to gain market share. Airbnb’s CFO, Ellie Mertz, shared during the company’s fourth-quarter earnings call that they successfully attracted hotel customers with smarter marketing and refined offerings.
“These strategies have pulled a substantial share of traditional hotel customers towards Airbnb,” Mertz stated. She praised the company’s ability to adapt to customer needs and remain competitive.
At the same time, Airbnb tightened its grip on rival Vrbo. Mertz expressed confidence in the platform’s positioning against Expedia’s Vrbo, stating, “We believe we’re performing quite well in this space.”
Vrbo, on its end, reported solid growth with 1 million new listings, particularly in city markets. Despite challenges, its suburban and rural offerings in the U.S. gained traction, benefiting from renewed demand in less urbanized areas.
Airbnb’s Game Plan
Under CEO Brian Chesky, Airbnb began embracing external collaborations, a departure from its original internal development strategy. Chesky hinted at partnerships with local services, such as cleaning agencies and grocery providers, to improve the user experience.
“We’ve traditionally built everything in-house,” Chesky remarked, “but we see opportunities in aligning with third-party providers to enhance our platform.”
Additionally, Chesky announced plans to relaunch Airbnb Experiences in May 2025, promising upgrades to integrate travel activities with lodging services. These updates aim to redefine the scope of Airbnb from just a stay provider to a broader travel partner.
When discussing the company’s performance, Chesky noted, “Revenue surged 12% year-over-year in Q4, reaching $2.5 billion. It’s a clear indicator that we’re outpacing the broader travel industry.”
Numbers Don’t Lie
Airbnb wrapped up 2024 with its strongest financial performance yet. Key takeaways from the Q4 results:
- Revenue reached $2.5 billion, marking a 12% yearly increase.
- Net income stood at $461 million, a sharp recovery from a $349 million loss in the same period of 2023.
- Bookings for both stays and Experiences climbed substantially, rivalling industry averages.
Competitor Expedia also grew, with a 14% increase in hotel nights booked across its platforms. However, Airbnb’s ability to outperform traditional hotels and adapt to changing travel trends highlighted its innovative approach.
While hotels are not disappearing anytime soon, their struggle against platforms like Airbnb has undoubtedly intensified. Airbnb’s willingness to innovate, collaborate, and expand its ecosystem positions it as a growing threat in the accommodation sector.
With plans to enhance its services and a strong financial standing, Airbnb appears ready to broaden its influence across the travel industry. For hotels and other competitors, it’s clear that staying relevant will take more than just business as usual.
Τα ξενοδοχεία “χάνουν έδαφος” από την Airbnb – 2,5 εκατ. δολ. έσοδα το δ’ τρίμηνο 2024
