During COVID-19 Fellow Hosts are an embarrassment!!

[Ginny30]

I am embarrassed by the entitlement some of my fellow hosts are having during COVID-19 epidemic.  The world does not revolve around your rental property or mine!  Airbnb has my full support in issuing 100% refunds during this time. 
This entitlement to thinking Airbnb should pay you according to your cancellation policy is absurd.  All of us are “self employed” with Airbnb, we pay them a small percentage to advertise, showcase and handle our bookings.

There is nothing more important to me then my health, the health of others in my community and the health of my guests!  Welcoming guests to my property right now could potentially expose them, myself and my community to this daily growing virus.  We don’t know if they have been exposed to the virus and they don’t know if I have!  
I have a feeling you would still be complaining even if they would go with your cancellation policy.  This is a global problem and their are people out there financially suffering much more than you are!  Airbnb or any other rental company should never be considered your main source of income period!  There...rant over

[Roderick8]

And you flunked economics 101. I was an economist at AT&T for many years before becoming entrepreneur. There is a basic distinction in public finance between who  is charged a tax and who bears the tax. And AirBnB's  service fees are equivalent to a tax.

In the case of Booking.com the host pays 15% directly to Booking. So if the guest pays 100€, the host keeps 85€.

In case of AirBnB the host pay 3% and the guest 12%. So if the guest pays 100€, how much does the host get? 85€.

[Sarah977]

@Roderick8  ???? If the guest pays $100 (sorry, I don't have the Euro symbol) for the nightly room rental, and Airbnb charges them 15%, the guest's total payment is $115. You, the host, gets $97. 

If all the service fees add up to 18% on B.C, you should be charging $115/night on that platform to end up with the same as you'd end up with on Airbnb. The guest pays the same on either platform that way, the only difference is that on one they see the 15% service fee added on when they go to book, on the other, they see that they will pay $115 but have no extra service fees.

If you don't charge more on a platform where all the service fees are taken from the host, than you do on a platform where the guest's fees are paid by them, you're just screwing yourself.

[Roderick8]

No, if X is the total amount paid by the guest, I get 85% regardless whether AirBnb or Booking.com is the intermediary.

[Patricia2604]

Everyone keeps spooking airbnb 3% to hosts. Have none of you heard that Airbnb have changed this, they now want host to swap to the new fixed fee where hosts pay all fees and guests pay no fees. 

[Patricia2604]

Airbnb - Zero Guest Fee: Choose how to include the Airbnb service fee in Host price

Airbnb are now launching out a new fee structure. This will be optional for hosts, but Airbnb hope a high number of host will understand the benefits of this change and will hence decide to switch. As outlined below all the details of this new structure including an early adopter incentive offer.

• Airbnb ran a pilot in May 2019 and hosts who opted into the Airbnb Fixed Fee pilot in May saw bookings increase by an average 17%
  • The new standard Fixed Fee format sets a fixed 14% host fee on nightly rates.
  • This fee replaces the guest facing Service Fee and the Host fee
  • Important notes:
    • This fee also includes payment processing costs, which can typically represent 2 to 3% additional on other OTA.
    • This fee does not include any additional fees related to Super Strict cancellation policies (2% which is added separately).

Official launch will be by Airbnb on 19 November 2019.  

How will it show on the front end?

When a guest tries to book a listing with the Fixed Fee format, they will see the following breakdown.  

go to

https://help.resonline.com/support/solutions/articles/8000072828-airbnb-zero-guest-fee-choose-how-to...

[Roderick8]

It does not matter. I get the same net revenue. It is just a question of the fees are levied on.

[Wendy1071]

@Roderick8 @Dk2   Regardless of what hosts feel is fair or equitable, the terms of the contract  they signed onto are clear regarding EC policy.  Unfortunately, the law isn't based on what people think is fair now that an EC has occurred.  Hosts agreed to the policy by singing up on the platform. Airbnb has the right to abide by their policies everyone agreed to.  Continuing the conversation, suggesting there's an alternative is futile.  

[Roderick8]

Wendy,

I don't give a **bleep**. This is not a competitive market. We are limited to two providers that control 85% of the online market, both coincidentally charge total service fees of 15%, and have remarkably similar polices.

Legal is not the issue. The issue is whether these are contracts are fair and represent the outcome in a competitive market. They are not and they would not exist if the market was competitive.

[Ginny30]

I hope everyone comes out better and stronger at the end of all of this.  Most of us have that Superhost cape on, so now is the time to use it and fight through this!!

I plan on using this break to get to all the little details I have wanted to take care of in my rental space. Things like repainting some trim and baseboards, clean every window inside and out along with some caulking where have drafts coming from.  I also plan on taking some new pictures of my space and use them to help bring some life back to my listing once we get back up and running.

[Jessica-and-Henry0]

@Ginny30 

Me too~! 

Henry and I have just started... and are planning to take "spring cleaning" to a different level. Re-organizing EVERYTHING, re-thinking some of our storage methods and options, intense cleaning and small touch ups here and there. Not just guest spaces or shared spaces, but our private rooms too. Lol~

And since we are home-share hosts, it's nice to have our home all to ourselves for such a long stretch of time - although sometimes we do miss having a guest to chat with over coffee or share some of our dinner (Henry always cooks too much). 

[Doug149]

Entitled?  You have no idea what you are talking about.  

Airbnb has made available to hosts one of three cancellation policies to choose from...strict, moderate, or flexible.  Now think about that.  I, as a host, select one of these cancellation policies.  Airbnb's created these cancellation policies.  Not the host.  This is a legal contract...an agreement between the parties involved, guest, host, and Airbnb.  The guest knows exactly what the cancellation policy is related to their stay.  Therefore, the guest knows that if they cancel their reservation the applicable cancellation policy will be enforced (or should I say, should be enforced).  The host doesn't expect any MORE or LESS than that.  It is what was agreed upon. 

More to the point, and reiterating what is stated above, Airbnb set up these cancellation policies.  And, there's where the problem lies.  Airbnb suddenly changed the rules of engagement.  They took care of the guest, but they forgot their other customer...the host. 

So, what should happen?  Airbnb decided that 100% will be refunded to the guest (related to the Coronavirus cancellation policy) .  This was wrong to do, obviously.  Should the guest be asked to give up to 50% back to the host?  Absolutely NOT.   Airbnb handled this whole thing poorly.  Therefore, they should pay the hosts the amount due (based on the level of the cancellation policy the host has in place).  Think about that:  Airbnb would be an all-around hero.  The guest gets their 100% refund and the host keeps their business going by getting what they should receive based on the level of cancellation.

Now back to you comment regarding entitlement. Where does the entitlement lie? It's with Airbnb. And yet, Airbnb doesn't even have to come up with the money.  No, the host does that, or should I say the host is forced to do that.  How convenient!  Airbnb saves the day!  

Some reports say the COVID-19 pandemic could go on for another year or two.  Let's say Airbnb extends the 100% refund into May, June, July and beyond.  Are you prepared to have no income for that amount of time?  Doubtful.  

So don't attack other hosts who feel Airbnb cancellation policies should be honored and not canceled whenever the company decides to do so.  

Competitors like VRBO and Homeaway are honoring their cancellation policies, as they should.   

We have laws, rules, policies for a purpose.  They protect all of us.  Not just some of us. 

Entitlements are always one sided and unfair.  In the end they hurt us all.  Imagine if this continues what will happen.  Host will start to leave Airbnb.  Their inventory will be reduced as a result.  Hosts will find other websites to list their vacation properties (which is already happening).  

Business only works when its win/win.  

[Wendy1071]

@Doug149 Not sure who you are directing this at but sorry, your reasoning is flawed.  Airbnb's policy with the hosts overrides your cancellation policy with the guest.  (I'm a host too, affected by the policy).  The rules didn't change, they were always there and all hosts agreed to them when signing on to the platform. 

[Roderick8]

It does not matter because the contracts are unfair and we do not any have reasonable alternative. Your point would be compelling if the online travel agency market was divided into 10 companies with equal market share. It is not. Two companies control 85% of the market and there is really no competition on service fees or policies. Not a coincidence. We don't deal with AirBnB or Booking.com because they are good partners. They are despised evil necessities.

[Wendy1071]

@Roderick8 good luck with that

[Patricia2604]

@Doug149 

Hi Doug

My sentiments exactly,

But they are now going one further. 

Guests who are booking out side of the Corona virus  extenuating circumstance policy are being advised if a host does not approve a 100% refund they are able to apply for the full refund under their standard extenuating Circumstance policy. I had this happen to me today and the airbnb rep actually messaged me to tell me he had told the guest what she could do. This is even after the guest had said on their message platform that she was willing to pay a part cancellation fee just not all of it. Plus she hasn't even made her final payment.