Making Hosts Bear the Entire Loss from this Crisis is not being "In this Together" Brian Chesky

Anthony1092
Level 10
San Diego, CA

Making Hosts Bear the Entire Loss from this Crisis is not being "In this Together" Brian Chesky

 

I want to know what AirBnB is doing to COMPENSATE hosts for the losses suffered during this crisis. And when I say compensate, I mean with money that can be used to pay bills and mortgages-actual compensation.

 

The email received by the CEO was incredibly insulting to all hosts. Saying that "Airbnb won't benefit from any reservations canceled under this policy. We're in this together." is profoundly arrogant. It glosses over the most important fact at play. This isn't a matter of "not profiting." It's a matter of ALLOCATING THE LOSSES from this crisis. And right now, AirBnB's approach has been to allocate them squarely on the shoulders of the hosts- the backbone of their entire business model.

 

I recently read an article titled AirBnB Gives Full Refund for Cancellation. My first thought was... AirBnB isn't giving anything to anyone. AirBnB is forcing the hosts to give refunds contrary to their agreed upon refund policies.

 

I'm from San Diego. Not even two years ago, AirBnB was on the verge of having draconian restrictions placed on it by City Council. They even passed a resolution. The only reason why AirBnB was able to continue to thrive in that area was because the HOSTS went out and petitioned and forced a referendum. The entire market would have been severely restricted otherwise. Now, when the hosts need AirBnb as a corporation to share some of the burden of loss, we get empty words about how "We're in this together." No we aren't. You've left us high and dry.

 

I've always enjoyed being an AirBnB host. But these losses are going to stack up very quickly if they don't step in to do something about it by sharing the losses with us. This will quickly become a "Marriage of Convenience" if they don't show us that they are committed to ACTUALLY supporting me and other hosts... BY SHARING IN THE FINANCIAL STRAIN OF THE CRISIS.

 

But mostly, if you are as good and caring of a company as you say you are, take care of your people. Because you certainly aren't doing it now.

 

My general idea is that they do something like split the losses from cancelled reservations 50/50 with hosts with the understanding that if the days re-book, those earnings will also be distributed evenly. I know there are ins and outs that would need to be thought through more, but I'm just giving an example of something that could be considered. Because as it stands right now, you have the losses allocated at 97% hosts, 3% AirBnB.

 

AirBnB isn't supporting hosts. If that doesn't change, there will come a day when you will need the hosts to support them and they may find that well has run dry.

9 Replies 9
Busi19
Level 2
Bulawayo, ZW

Wow Anthony  thanks for actually explaining what the Co-Vid19 extenuating circumstances really mean.  Guess I did not understand fully the memo from CEO

 

Am hosting from Zimbabwe and i was expecting guests from the UK next month. They booked within the stipulated period on or before 14Mar , for check in April 09. 

 

Since the UK has been classified as high risk and South Africa where European flights dock in has cancelled most visas from the high risk areas..i thought it fair to cancel my reservation and give a full refund to my guests. I didn't mind as the memo said .."hosts will be covered, we are in this together"! 

 

Now I got a ding on my reviews, 50% cancellation rate, -$50 negative balanced earning...what's this? 

 

I've since blocked off all my availability dates till May to protect my hosting reputation..incase I decline a booking and more negative reviews piling up

 

I feel betrayed by Airbnb!

Linda25
Level 1
Hadley, MA

I have had 41 nights of bookings cancel in the past 4 days. As of right now, I only have two nights booked in April so I am completely unable to cover the rent I have to pay for these two apartments. I am a Super Host and have over 550 reviews. This is going to put me under. Help????

Thomas977
Level 10
Tønsberg, Norway

Gerhard4
Level 6
Davenport, FL

the corona virus is a burden for everyone, but the decision from Airbnb to invoke the extenuating circumstances policy is a not fair policy. The AirBnB Founders like to write a nice piece that we are all in this together!
and that AirBnB is not receiving any funds with the cancelation is off course not in the same degree!

 

Most Hosts are using the platform , not because of a hobby, but as a business.

We all have set up our specific terms and conditions to protect our business, AirBnB is handling as if they are the ones doing the actual work, but as they told a judge when being sued, they are only a platform..

 

when people make travel arrangements, they are making a financial commitment, and that is why people who travel (unless they have enough money to burn) get a travel insurance, in case something happens they will not loose all their money . the insurance will payout when they are not able to travel for a legitimate reason.

when they book, they are confronted with our strict 30 days cancelation policy, so it is not a surprise!

Now what airbnb is doing, making the travelers problem, the problem for the hosts who rely on the income from the hosting platform. 

the travelers (again) are protected already!!

 

hosts can not insure themselves if guests are not able to arrive.

 

Airbnb should leave it up to the host incase the host do want to refund more than is required. now AirBnB is just being the boss over all of us...

In my opinion AirBnB is overstepping their authority, although we all signed up for their vague and ever changing terms and conditions, even if they were not in line with your own.  

I have a cancelation which was paid out in full, on Sunday , but with the new conditions of Monday (received an e-mail about this in the afternoon) , this reservation would not be covered under the full refund!!
(should I claim this under the host guarantee instead??)

  

this is not the first time AirBnB is acting selfishly, during hurricanes in Florida , they like to advertise that they are the ones ( even in the news) to provide free stays for evacuees!!

but in reality the hosts are the ones who will cary this burden..(airbnb is just not charging a fee..!)

 

I have opened the last few hurricanes some of our homes open specifically for evacuees who are traveling with pets since they have the hardest time to find a place. AirBnB still likes to take credit for that!! NOT GOOD!!

 

I still have issues with a previous decision AirBnB made in my disadvantage, and they promised some one from legal would get back to me, never happened...

 

The corona virus is effecting all of us, but with the " so called help" from airbnb the scales are unfairly tipping over!!!

leaving the hosts becoming victims !!!..

Rio3720
Level 2
Boston, MA

I believe we could all pitch in to create a better app that is way better than the Airbnb platform. Then Airbnb will lose all Airbnb hosts worldwide because we put Hosts first because we are the back bone and guests needs us so they can enjoy our areas. We can create a family platform that will protect all hosts and guests 50/50. What the CEO did to us , hit us hard and here is something you should know.

 

Along time ago, when I use to work as a bouncer at a nightclub. I would come in 40 minutes early and go around the city to find free meter parking after 8pm. When I saw someone jump in there van, I pulled up next to them and asked if they were leaving. I was not looking at my rear mirror to see who was behind me and all of my attention was on them so when the driver nodded his head Yes. A drunk Taxi cab driver was going 65-70 miles per hour, his vehicle hit my back bumper so hard. I felt I was flying forward like the Matrix in slow time and could not grip the driver's wheel or press the brakes in that moment.

 

It happened for a reason and I was hit hard so my path could change and my path did change and I started a new journey of meditation consciousness, worldwide healing and much more.  This is a wake up call for all of us and we can do this together.

Rio3720
Level 2
Boston, MA

ok

Mary419
Level 10
Savannah, GA

I have had over 170,000 of refunds issued for a one month period in my city, and I have 90 listings just as a data point. I have 4 full time employees and at least a dozen independent contractors who are accustomed to me being a major customer every week. 

Thomas977
Level 10
Tønsberg, Norway
Omar-and-Janet0
Level 2
Vancouver, Canada

I just posted this independently but saw this post was similar, will re-post here:

 

Hi all - trying to weather the COVID-19 storm like everyone else.

 

We're single-rental-unit hosts trying to stay afloat amid mass cancellations, and put in an ever-tight position with AirBNB allowing for 100% refunds now until the end of May (and who knows how much longer?) We understand the "why", but what we're most dismayed with is that with every cancellation that's refunded to the guest, hosts now pick up 100% of the financial burden (zero chance we'll get a re-booking), or 75% if you qualify for AirBNB's 25% kick-back. Guests can opt-in for travel/cancellation insurance either separately or often on their credit cards so they can be reimbursed fully for the pandemic's effects, but hosts aren't afforded the same luxury. Under our normal 'strict' cancellation policy, guests stand to lose 50% which is hundreds or even thousands of dollars, but by continuing the extenuating circumstances indefinitely, hosts stand to lose defaulting on the mortgage and losing their livelihood.

 

What I'm proposing is that perhaps guests can share some of the financial burden with us as it's negatively impacting all three parties: hosts, guests & AirBNB. I do truly appreciate that AirBNB is providing financial support, let me make that clear. But I fear for many hosts, only getting 0-25% of the typical income won't be sustainable. Why not resume normal cancellation policies which we based out business model on, in our case choosing 'strict' as we rely on the income. 

 

We're very fortunate to be able to be able to share our home with others and hope to for many more years. Thanks for reading.