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Airbnb’s growth is slowing amid increasing competition from Booking and Expedia

Date:2018-11-17 13:19Source: ReadingNumber: Times

Airbnb has reached peak Airbnb, at least in its most mature markets in the U.S. and Europe. Those are the findings of a

Airbnb has reached peak Airbnb, at least in its most mature markets in the U.S. and Europe. Those are the findings of a new report from Morgan Stanley Research.

A follow-up to last year’s annual AlphaWise survey of 4,000 consumers in the U.S., UK, France, and Germany, the report found a continuation of slower growth for the homesharing giant in those markets, as well as increasing competition from online travel agencies Booking and Expedia.

For this year’s survey, the percentage of travelers who used Airbnb during the 12 months leading up to October 2018 increased to 27 percent, or about 2 percentage points. In 2017, the percentage of travelers who used Airbnb during the same period increased to 25 percent, up 3 percentage points. By contrast, in 2016, that increase was up 8 percentage points.

Not only that, but user frequency has started to fall by 10 percent, or three times per year, after being flat for the past three years.

 

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