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Is Airbnb a product innovation?

The San Francisco based company began its business as an unassuming start-up with three air mattresses. This innovative lodging concept was developed by two roommates, Brian Chesky and Joe Gebbia (Airbnb, 2016).



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The Stranger-Danger Bias Airbnb prides itself on embracing a user-centred approach to design and innovation. As the co-founders put it, the company “bleeds design”. According to them, the number one secret for its success has been their ability to tackle the stranger = danger bias.

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Airbnb is a lightly regulated home-sharing site that lets almost anyone list accommodations for rent. A B&B is a regulated small inn subject to state or local lodging laws.

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Airbnb's strategy focuses on disrupting the hospitality industry by offering unique, personalized, and affordable travel experiences to customers. By adopting Airbnb's approach, organizations can create similar value for their customers and differentiate themselves from competitors.

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Running an Airbnb can make you a small-business owner in the eyes of the IRS, so you'll need to report your Airbnb income and expenses on your federal tax return.

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Running an Airbnb can make you a small-business owner in the eyes of the IRS, so you'll need to report your Airbnb income and expenses on your federal tax return. Airbnb will send you (and the IRS and state) a Form 1099-K if you earned more than $600 during the calendar year.

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Vrbo offers stand-alone vacation homes only. It doesn't generally offer “shared” spaces like private rooms or more unusual options like campsites. Airbnb offers stand-alone vacation homes as well as shared spaces and even hotel rooms.

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Since its a marketplace, Airbnb's marketing mix has to target both travellers (demand) and hosts (supply) together to ensure a consistent booking rate. Airbnb is a location-based listing platform.

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