New Strict cancellation policy

[Greg229]

The imposition of a unilateral change in the strict cancellation policy is a fundamental abuse of hosts by Airbnb.  Another option should have been implemented rather than a forced change.  I host a condo in Ocean City, MD.  A high-demand community where the year-round population of 8,000 increases to 325,000 between Memorial Day and Labor Day and where over 8,000,000 visitors are seeking accommodations during the summer.  This is an outrage.    

[Liz-And-Robert0]

RE: Changes to Strict cancellation policy- 48 hours to cancel up to 14 days in advance.

I am EXTREMELY unhappy about this change being forced upon me as a host. I would be agreeable to a 24 hr period 60 days or more prior to arrival, but I do not want guests blocking my space without penalty so close to arrival. Add to this the recent change in "infants are not guests policy", I feel Airbnb is increasingly trying to standardize the hosting experience for the benefit of the traveler, but to the detriment of the host.

Why not offer an opt in or opt out feature?

Next I imagine Airbnb will be dictating rates as well.

[Phoenix5]

I am unhappy about it as well. This will just encourage people to abuse the system, allowing them to book with several different places and then cancel at the last minute, leaving hosts with no money and no booking. Airbnb is already under heat because cities are making it illegal to have short term rentals. You'd think they'd appreciate the hosts they do have.

[Rebecca181]

I was thinking that this change would upset property managers listing on Airbnb - Until I remembered they are given special cancellation policies (Super Strict 30 / Super Strict 60); so it is just us hard-working peons (traditional hosts) who will seemingly be affected. And it seems most who know about it are not happy about it at all. I myself was never notified about it and had to find out about it here. In my opinion the cancellation policies were already far too lenient and guest-centric in comparison to any other reputable booking site in operation today. What gives, Airbnb?

[Louise0]

Hmmm, someone at Airbnb wasn't thinking when they dreamed this one up...

Firstly, I personally have no problem at all with this policy; I even volutarily signed up for it when it was offered.  Around 40% of my bookings are in the last 14 days anyway, so I'm not terribly concerned about being left with a free slot to fill 14 days out. 

Neither am I concerned about someone having access to my full name, address and phone number, in fact, that's great.  I imagine a plethora of bargain-seekers will now spot the opportunity, i.e. book, get my contact info, cancel without penalty and then contact me directly to book outside the platform.  I wouldn't be concerned about the insurance issues because the cost of insuring off platform through IAG's sharecover is about the same as the 3% fee I'd give up to Airbnb.  So Airbnb, did you think of this angle?  Methinks not.

Best of all, I no longer need to feel the slightest twinge of guilt about keeping my cut when a guest cancels.  My conscious will be salved because, hey, they had a full 48 hours to make a final decision, so not.my.problem. this time around.   So Airbnb, just watch the uptick in pissed off guests who now find that hosts are a hell of a lot meaner than before and CX finds that their cri de coeur to hosts to summon up some of that 'Airbnb spirit' and refund when we don't have to, simply bounces off our stoney hearts.

This stupid thing is that this could all be avoided if Airbnb simply did what every hotel and every airline does; offer different rates depending on the level of financial risk a guest is prepared to assume.  For example, assume my standard nightly rate under a Strict policy is $400.   A guest could book and assume the risk of the Strict policy and pay $400 a night.  The rate would increase as the level of risk decreased.  Say, 10% more per night for Moderate and 20% more per night for Flexible.  The guest explictly receives compensation for accepting a different level of financial risk.  This, plus the fact that they had a choice about the level of risk they were prepared to accept, would make them less likely to feel aggrieved and/or blame anyone other than themselves if they had to cancel and lost money.   Airlines know this, hotels know this, why doesn't Airbnb?

[Seattle-Oasis0]

The question is simple.  A market place works when two parties trust each other.  Why should guests be given more flexibility than hosts?

Airbnb is by far too guest-centric.  Especially with the new "work" requirement forcing more flexibility.  I doubt anyone on the Island of Kauai for example will sign up for the moderate policy...so they just wont have any work inventory there?  

You can't cookie cutter policies like that across the country for a unique asset class.  We are not hotels.  

[Amy38]

@Rebecca181@Louise0. Great thought Louise.

I regularly pretend book my nearby Marriot Hotel.  I keep my peak rates way less...they triple their price on those dates... and my regular rate about 25% less.  Recently, when I did this, they have a new feature..about a 20% discount if you booked under a no cancellation, no refund rate....

and they have begun charging $35/night for both valet and self parking, completely recouping the initial discount.  This tells me that the corporate Abnbs are cutting into their pocket and their response is to become like the old Airbnb.

ROFL

[Rebecca181]

@Amy38 I also live one block over from the only resort in my beach vacation area. Their rooms are 'hammered' (as described by those who have stayed there, and per my own experiences visiting a friend there) and 1/4 of the size of my Cottage (I am also on the West side, 300 feet from the beach). I charge 30% of what this resort charges in the high season (I am currently experimenting with raising my prices, with good results thus far). So, whenever I doubt my pricing strategies, I just look up the prices at this resort and remind myself that Airbnb guests are getting one hell of a deal (they not only get a 3 story Cottage but half of the 1/3rd acre it is on, and a sunroom, patio, hot tub, etc). 

The fact that I even need to do such a reality check goes to show you just how effective these constant 'price tips' are...Like the constant dripping of water on stone (considered to be an effective form of mental torture, by some). 

[Tracy-and-Tom0]

This new cancellation policy allows for a guest to "retain" my property until 14 days out while they shop for a cheaper rate somewhere else? So Airbnb will have no problem with me canceling on guest in favor of longer stays offered on other booking sites right? Reconsidering Airbnb altogether now.

[Amy38]

@Rebecca181@Louise0

Have yall looked at the complete terms of cancellation on Abnb.com?

Theway I read it is that the 48 hr grace period is one option of strict cancellation.  

However, the super and super super strict get half their money if the guest cancels fewer  than 30 or 60 days out. The corporate rentals get financial privileges we don't?

This is seriously discriminatory....we all offer the same service and I doubt if these guys use the abnb support teams any differently or less, with that many properties.

[Louise0]

@Amy38It makes sense that the more valuable clients, i.e. the professional managers, get better terms than hosts with one or two properties.  I would expect that the professional managers are much lighter users of Airbnb's support services per dollar of revenue than we amateur hosts and that the pro's are a much greater contributor to Airbnb's bottom line.  I don't have  a problem with Airbnb choosing to favour one type of client over another, that's just good business sense.   

However, I DO have a problem with Airbnb cynically using the carefully managed image of a 'community of ordinary homeowners' to give them legislative cut through.  I find it particularly distasteful when Airbnb co-opts these enthusiastic amateurs and uses them as foot soldiers to roll out the astroturf during one of their 'us against city hall' campaigns.

[Louise0]

@Tracy-and-Tom0 No, this new policy does NOT allow "for a guest to "retain" my property until 14 days out".  It allows a guest to "retain" it for 48 hours only, and only in instances where this 48 hour period starts more than 14 days before their day of arrival.

[Lizzie]

Hello everyone,

I just wanted to highlight to you that we have just posted an update about the New strict cancellation policy update in the Airbnb Updates board, here in the Community Center. I thought you might want to read this.

Thank you,

Lizzie

[Amy38]

Flipkey’s cancellation policy...just a thought.

Cancellation policy

If you pay the full balance on time, you will receive a partial refund.
50% refund of the total cost if you cancel at least eight weeks before check-in.
25% refund of the total cost if you cancel at least four weeks before check-in./n
Note: You can cancel free of charge up to 24 hours after your booking is confirmed, provided your stay is at least 60 days away.

@Lizzie@Louise0@Greg229@Rebecca181