Being switched over to Host Only Fee in the USA

Kent38
Level 2
Breckenridge, CO

Being switched over to Host Only Fee in the USA

A month ago, two of my four listings in Breckenridge, CO were switched from Split Fee (3% host/ rest to guest) to Simplified Pricing Host Only Fee (15% to host/ 0% to guest) without any advanced noticed. I received an email the same day that said " Airbnb now requires properties like yours to use a service fee structure called simplified pricing. This provides you with more control over the price guests are shown, and makes it easier for you to offer competitive pricing across bookings sites. We previously offered split-fee pricing, where the service fee was shared between hosts and guests. You’ll set a nightly price, and no additional guest fee will be added to that amount. Airbnb will take a 15% service fee from your payout." I instantly called Airbnb and no one could figure out why it was changed or how to change it back. Airbnb searched every article they could find and said this should only happen to non USA Airbnbs in Europe, Asia and Australia that are on channel managers. All four of my units are on channel managers, but the agent said I needed to take two of the four off. I did so, we tried many different ways to update the account with no luck. The Airbnb agent on their side tried as well with no luck. Fast forward 1 month, I am still on the same fee structure. I have called Airbnb every day and no one has been able to help. I have asked to talk to a manager/ supervisor every day, but none have called me back. Finally I have been told there is a "Technical Glitch" on my account and the tech team has been aware of it for a month, but does not have a solution to fix it. I asked if the extra 12% fee I am paying (that I was auto changed to and no one can change back) could be refunded and no one at Airbnb is sure. 

 

1. Why has it taken over a month to get a technical glitch resolved?

2. Why can't a manager or supervisor call me back? 

3. How could two of four listings get triggered to this? This isn't scheduled to happen in the USA from every article I and the Airbnb Agent can find.

4. If a technical glitch made this happen at no fault of my own and both Airbnb and myself can't changed it, should I be paying the extra 12%? Should they reimburse me? We are now talking over $6,000 of fees. 

11 Replies 11
Colleen253
Level 10
Alberta, Canada

@Kent38 That's pretty outrageous. You need to raise your rates to cover the extra fee loaded onto your plate, until you get this sorted. Far from ideal obviously, but as it's hard to even get Airbnb to acknowledge properly and get this fixed for you, I can imagine you'll have a devil of a time getting those fees reimbursed, especially as that number grows. CS has never been stellar, but I think Airbnb is operating with a skeleton crew these days. Good luck.

Helen3
Level 10
Bristol, United Kingdom

Airbnb notified hosts in countries they were trialling this in last Autumn that they were making this change through their host newsletter. @Kent38 

 

If you use a channel manager OR have multiple properties you are likely to be included in their rollout.

 

It doesn't matter just adjust your pricing to take into account you are now paying the guest fee. @Kent38 

 

1. it may not be a technical glitch you may just be part of the rollout

 

2. you'd need to ask airbnb 

 

3. see 1 

 

4. as suggested above just increase your fee to cover the additional guest fee

 

have a look at a previous discussion on this from last September https://community.withairbnb.com/t5/Hosting/Guest-Fee-waived-but-HOSTS-now-automatically-charged-15/...

Inna22
Level 10
Chicago, IL

@Kent38 I am in pretty much the same boat except I didn’t even get a notification email. Two out of four properties have been switched, I’m not on channel manager anymore. Haven’t been for months. Have been told by some one at Airbnb that it a tech glitch but overall nobody knows anything about it.

Kent38
Level 2
Breckenridge, CO

UPDATE:

 

The accounts are back to split fee! 

 

This is very strange. I spent hours on the phone today with Airbnb, here is what we did, but none of us have any clue which part of this fixed it. The tech team still can't figure out the technical glitch. 

 

1. We activated an old previous listing I sold in the same building to see if it would have the fee. The thought was as an absolute worst case, we could use that account and change the photos as the units were exactly the same. Not the best idea, but we were desperate after a month of this. On the old listing the fee was correct so that gave us the next idea: 

 

2. We created a completely new listing and the fee was back to normal. 

 

3. We went and looked at the 2 listing on the wrong fee and then they were suddenly back to normal. 

 

4. I went into the channel manager and completely deleted the listings. They were previously disconnected and I added them back into the channel manager. After reconnecting the channel 

managers everything still was correct on the split fee. 

 

For what makes absolutely no sense what so ever, adding a new listing, making it go live and then deleting it fixed the problem. I seriously spent a month doing every possible series of fixes Airbnb could think of to try and fix this. They had me do over 10 different things, none of which did anything. After we did this me and the agent I've been working with were completely floored. 

 

Now the really upsetting part. The agent said after we got this fixed. Even though it was no fault of my own, no one could fix it, no one could explain it and over a month the tech team did not respond or give any guidance, they are not responsible for any of the extra 12% I lost, which was $1,000s.  So @Colleen253 you were probably correct. 

 

On a side note: @Helen39  yes there is a roll out of this, but not in the US yet. I am all for the split fee, if it is applied equally. I am in a small mountain ski town, many of my friends have many units and use channel managers and there are many management companies that have 100+ units. I went through every listing in town and I was the only one affected. In Europe, Asia and Australia it is obvious that the Host Only fee is a benefit to the customer. Here that isn't the case. If you do a search result, that benefit doesn't show up in the initial search, it's not until booking that you see.  I previously tried raising my prices and bookings stopped and everyone started messaging if I would lower my prices to the same as everyone in my building. I then had to explain to them the prices were the same when you factored in no fee. Unfortunately potential guests could not figure that out for themselves. When it is fully rolled out and Airbnb actually highlights US properties that are on this fee rather than makes them look more expensive, then I am fully supportive. Also, I did look at that topic thread, the Airbnb agent and me both read it a few weeks ago. It mentions that the US and a few other countries are excluded. The Airbnb agent couldn't find any information showing it should happen in the US. 

 

@Inna22 Inna22 I am SO sorry, it was a horrendous experience with Airbnb. After 7 years, multiple properties, being a co- host for others and super host the entire time... I am likely going to diversify to 

Airbnb, Booking, a few other sites and direct bookings as channel managers make it easier. I am so disappointed with Airbnb. I suggest trying #4 in my update, a full delete of the listing from your channel manager, create a new listing let it go live then see if you are still on the fee, I can't explain it, but it worked. Best of luck! 

@Kent38 thank you for the details. I have tried to delete properties from channel manager but can not, probably because I am no longer a subscriber. I emailed their support. They were not very helpful even when I was a paying customer though (main reason I left).

 

It amazes me that Airbnb can not streamline support for known issues. If this happened to you an me, there must be hundreds of other effected hosts.

 

Please keep going after them for the additional fees you paid. Perhaps try social media. 

Emilia42
Level 10
Orono, ME

@Kent38 I agree with you on your side note .... Airbnb should not roll this out gradually. I will not opt into the host-only fee until every other host in my area does it or it becomes mandatory for all. There is definitely a psychological aspect to prices/fees on bookings. 

Helen3
Level 10
Bristol, United Kingdom

I think it's different here in the uk as you see the total price when you book including fees so there would  be no competitive advantage for hosts paying lower fee @Kent38 @Emilia42 

Hi Kent38, I’m having a different issue, where my booking cannot accept short term stays.   It’s been a month and the responses from Airbnb have been EXACTLY the same.  I was calling almost daily.  They kept promising someone will call but no one does.   I’m going to try setting up another listing to see if it works!   

@Kent38  I made a post this morning about what appears to be another glitch with the roll out of the host only fee.  I only noticed the switch had happened with our listings after a booking with the new structure was received so just wore the reduced income on that stay and then adjusted the rates accordingly.  Yesterday and today though we received 2 enquiries that not only had a 16.5% service fee taken out of our payout but also a 15.5% guest fee added to the amount they would pay.  So a combined 32% fee in total.  I contacted AirBnB support but the person just left the conversation after I explained the issue and has made no further contact.  To make things even more confusing we received an instant book for the same apartment this morning with only the host fee listed.  So I don't know what is going on.

Well after lots of to and fro, they are now agreeing that it seems to be a technical issue.  They did insist many times over that as they could not replicate the problem that it didn't exist, even after sending them 3 screen shots showing the breakdown of payments and fees on both the host and guest side.  I did ask the latest guest who sent an enqury to please confirm the amount they would be paying and happy to say that the guest fee was not included (despite being shown as added to their payment amount on our side) so in  the end the amount they would pay was correct.  Just yet another glitch for them to work out it seems.

Airbnb is now giving hosts the option to go to split fee or simplified pricing in US via payouts --> service fee.  I would like to know more in terms of whether this actually increases booking or not?