Cancellation compensation.

Simon2580
Level 1
Amsterdam, Netherlands

Cancellation compensation.

IT's a CON. If you operate a flexible cancellation policy you don't get compensated. Only if you offer a punitive cancellation policy do you get compensated.  In my book, if you offer a flexible cancellation policy you are a better host than one that doesn't and I believed I was reflecting the supposed ethos of AirBnb by offering a flexible policy. BTW appointing me a super host just don't cut it. Transparent and cynical.

9 Replies 9
Helen350
Level 10
Whitehaven, United Kingdom

@Simon2580 We know. And many of us have known since Chesky first announced the "25% compensation" that only hosts with 'strict' cancellation policies would benefit. From Day 1 Chesky said - clearly in the video - "25% of your normal cancellation policy."  Which for those of us with flexible/moderate was always 25% of nothing = nothing. Even the 'strict' guys only get 25% of 50% = 12.5%. And fees are taken from that, it seems.

 

Personally, I don't think I should be paid for a service I haven't provided, so am OK with getting nothing. It's a pandemic. Nobody's fault that accommodation providers the world over can't earn.

 

A lot of the disquiet  in this forum has do do with the way the offer was marketed to seem more encompassing than it is. And the press won't have helped; - possibly - perpetuating the myth that hosts would all get 25%.

Lauren422
Level 2
Michigan, United States

@Helen350 

 

You might be okay with "receiving nothing" but several of us RELY on AirBNB to be a stable, business - and one that in modern day times that has a "trust officer" is apparently trying to add an invaluable amount of "goodwill" that will line their balance sheets and make them go GANGBUSTERS when they announce their IPO. WHICH, I will add, will only add to the BILLIONS they have in the bank. 

 

Also, somehow the CEO continually pointing out that his low paid customer service reps were the ones to show compassion which then, miraculously spurred him and his other billionaire friends to "chip in" to compensate hosts who had inflexible cancellation policies - oh, and, maybe I should mention that AirBNB Luxury homes were not covered under the extenuating circumstances policy - read that again, the RICH kept all their money. 

 

I lost 27k and was compensated $262.31 - and I still have a guest who would like a refund of 132.00 that AirBNB refuses to grant. So AIRBNB, can very impolitely shove it up their massive greedy holes. 

 

This is capitalism at it's grossest. And sorry, but these weekly video chats are just disgusting - please, explain to me the plebes how travelling is going to come back, since your words are the least soothing in any time of crisis ever. Actions show volumes. And their actions are a void of nothingness. Let me again, remind you, it was the LOWEST Paid employees that started a fund before this rich jerk "dumped some of his money in" give me a break. 

Helen350
Level 10
Whitehaven, United Kingdom

@Lauren422 You haven't lost 27K... if guests did not stay/will not stay, then you never earned that money in the first place....

 

I personally lost money, (letting rooms is my only source of income) - not because of cancellations, but because the UK government banned travel, & so Airbnb blocked all UK calendars. So no one has stayed with me since 21 March. I'd only had ONE  1 night booking cancelled, got nothing, cos of moderate policy, but who cares, 25% would have only been about £7! No, my losses are all the people who would have booked last minute..... my market is same day bookings or people booking a few days in advance.... So I've lost, but nothing on paper, so nothing to shout about!

 

Yes, you were expecting 27K of bookings, that have been lost through a pandemic. Why would you  want to STEAL that money, if you did not host? If you bought something on Amazon or Ebay & it never arrived, you'd expect your money back in full... Airlines have refunded customers in full for plane tickets they can't use.

 

I'm not unsympathetic that loss of business causes hardship... But it's the same for everybody, every single Airbnb host across the world, & every single person who runs a hotel/motel/guest house/ B&B/campsite/caravan site/trailer park/holiday lodge/hostel - whether Airbnb/other platform/independent. That's life!

 

All of us, when we chose this way to make a living, were taking a gamble that the market would be there..... And it will be again. Yes, you've had cancellations, but others might book those cancelled slots?!

America is lifting the lockdown! Your expected 27K loss might turn out to be much smaller...

And you're still alive! You haven't died of Covid19!

 

I agree with you about the video chats! Smoke & mirrors! A lot of old nonsense!

 

- There are MANY many posts on this subject, posted over the last month, where you will find company in your point of view, try the search box top right. 🙂

Simon2580
Level 1
Amsterdam, Netherlands

I say reappraise and compensate those with a flexible cancellation policy as well. You have a major 'marketing goodwill opportunity' Don't screw up!

Fred13
Level 10
Placencia, Belize

I see nothing wrong with including all types, and maybe doing different % if that what it would take. Everyone could use some help.

Simon2580
Level 1
Amsterdam, Netherlands

I agree. It beggars belief that if you have a 50% cancellation policy you get more than some one with a 25% cancellation policy and more than a person with a flexible cancellation policy. What sort of message is AirBnB putting out? That they REWARD GREED?

 

Kath9
Level 10
Albany, Australia

@Simon2580, I disagree. I have a flexible cancellation policy and I am getting exactly what I signed up for.  I am okay with that. Nobody forced you to pick a flexible cancellation policy. Having a flexible policy potentially brings benefits such as increased bookings (as many people only book places with flexible cancellation policies). There is no 'con' as you suggest, and Airbnb didnt actually have to pay anything at all. The coronavirus was grounds for cancellation even under the pre-existing extenuating circumstances policy. Don't blame Airbnb for your own choices.

Juan63
Level 10
San Antonio, TX

@Simon2580 I disagree. You choose that cancellation policy, and even more importantly, guests would have canceled on you anyways. They would have received a full refund.

@Juan63  Guests wouldn't have cancelled on hosts with flexible or moderate policies if it weren't for COVID. That's the issue. Just as hosts with Strict policies saw all their bookings cancelled, so did hosts with other policies. We are all hurting just the same, yet those with Strict policies are the only ones who got a band-aid on their hurt.

Of course I don't expect to get paid anything with my moderate policy when a guest cancels under normal circumstances. There seems to be some false perception among hosts with Strict policies that guests are always cancelling right and left on hosts with those policies, therefore we are used to getting paid nothing for cancellations. But this is quite false-  In over 3 years of hosting, and pre-COVID, I have only had 1 guest cancel after the 5 day limit for a full refund, in which case I got paid 50%, and 2 that cancelled at least a month before check-in, so I was easily able to rebook the dates. 3 cancellations in over 3 years, none of which left me out-of-pocket. 

If having a moderate policy since I started hosting had left me with lots of cancelled 100% refund bookings, I would have switched to Strict a long time ago. But that was never the case until coronavirus hit.