Connecting Local Businesses to AirBnB Hosts

[Nick2000]

Hi,

I've been working on a business idea that connects local businesses to AirBnBs. Basically, it takes the informal relationship that exists between hosts and the community and makes it formal. What does that mean? It means that AirBnB hosts are now purposefully advertising locations that I have created a business relationship with. We put some advertising in the AirBnB for local stores/restauarants. Hosts get compensated. Further, these locations are able to run special deals. If the guests use the promo codes, the hosts get a kickback. 

I wanted to get feedback from other hosts on this idea because I'm experiencing some challenges. One challenge I've been running into is getting in contact with hosts. I can't use AirBnB to message them. I have thought of some ideas, like dropping flyers off at the AirBnBs etc. Would this get your attention as a host?

I started working on this idea for two reasons:

1. AirBnB hosts were already recommending their favorite places. Why not improve the process and pay them for it?

2. I wanted a better way to bring business to the local stores in my city. I am not a huge fan of corporations like Starbucks. In my opinion, there are several higher quality coffee shops in town. However, how would a guest find them without proper advertising? Also, I think local stores/restaurants demonstrate the real culture of a place. 

Any creative ideas on how I can take this further? Would you want to try this in your city?

[Helen3]

How many hosts have signed up ? How much money have they made. @Freddy189 

like many hosts I prefer to only promote businesses that I have used and like .

I certainly wouldn't want ads all over my property ?

how many advertises responded to your pitch I would imagine most wouldn't see the individual airbnb footfall as being worth their while. 

[Freddy189]

Hi Helen,

I'm currently at 150 Airbnbs that have signed up so far. You're right - individual Airbnbs aren't worth it for businesses this is why I partnered up with high-end property management in my area that have 50+ luxury Airbnbs. We have 2 different ads that we offer at the moment. Digital and Physical/Printed. The digital is simply a link/QR code that is sent to guest on the Airbnb platform before check-in. Surprisingly, businesses are willing to pay a lot of money to be featured.

Here's our sell pitch to Airbnbs owners:

Why Partner with Us?

Delight Your Guests: Offer your guests exclusive deals and recommendations for the best local restaurants, cafes, attractions, and services. By providing these curated suggestions, you can enhance their stay and receive glowing reviews.

Earn Extra Income: Partnering with local businesses allows you to earn commissions on any sales generated through your recommendations. It's a simple and effective way to increase your revenue without any extra work.

Stand Out from the Crowd: Differentiate your Airbnb listing by offering personalized local experiences. This added value can help you attract more bookings and achieve higher occupancy rates.

Pricing Models for Digital Ads

1. Subscription-Based Pricing:
   • Basic Plan: $50-$100 per month
     • Inclusion in digital welcome guides.
     • Standard placement in listings.
     • Basic analytics on engagement.
   • Premium Plan: $150-$300 per month
     • Priority placement in digital guides.
     • Featured business status.
     • Detailed analytics and reporting.
     • Ability to offer exclusive deals to guests.
     • Additional promotional opportunities
   • Enterprise Plan: Custom pricing (starting from $500 per month)
     • Tailored advertising campaigns.
     • Full analytics suite.
     • Dedicated account manager.
     • Cross-promotion opportunities.
     • Exclusive event invitations and sponsorship opportunities.

Pricing Structure for Physical Ads

1. Flat Fee for Ad Placement:
   • Standard Placement: $50-$100 per month
     • Ads placed in common areas like the kitchen counter or living room.
     • Includes small flyers, brochures, or branded items.
   • Premium Placement: $150-$300 per month
     • Ads placed in high-traffic areas like the fridge, main entryway, or bathroom mirror.
     • Includes larger or more prominent ads such as posters, magnetic signs, or digital photo frames with rotating ads.
   • Exclusive Placement: Custom pricing (starting from $500 per month)
     • Exclusive ad space in the Airbnb with no competing ads.
     • Includes comprehensive ad packages with multiple placements and branded materials like welcome booklets or gift baskets.

Again, it's important to mention the the Airbnbs owners can accept/decline any ads that they receive from businesses so it's up to them to make the final decision

[Jd64]

Hello Freddy, Its a pleasure meeting you. I live in Miami and I would love to connect with you regarding this idea and see how can we present this idea to the local marketing here in MIA. Let me know how can we connect? David T

[Pamela1425]

I love your idea and would be happy to be part of your experimental group. I'd say the best way to reach hosts is to send them a message through the app, as if you were inquiring about staying in their home, and invite them to use your app. There are also many facebook groups hosted by Youtubers and other Airbnb super host influencers in the space. You can also approach Air bnb with this business concept and maybe you can add this as a feature to hosts.

[Mary1523]

Hi @Nick2000 

I'll give you my experiences so far on local businesses.

a. For 8 years, I provide my Guests a hamper of local food produce samplers. My local business give me a wholesale discount to buy these which they are very happy to do. This is work on my part but I do as I have procurement skills, and it differentiates me from my competition. Hopefully the samplers prompt the Guests to buy more. I can't measure that unfortunately and not everyone wants to be digitally connected that would facilitate that. Some guests don't want to use their smartphone when on holidays, believe it or not.

b. I'm happy to have local businesses brochures in my house in my Visitor Guide.

c. I utilise the Airbnb guidebook app, but I don't know how to measure its usage. I've set up lots of local business information on there. Quick and easy to do.

d. I provide a curated list of favourites (and there's definitely no kickback) and it ranges from local businesses and further afield. I've personally tried them all and I don't tell the business I'm reviewing either. I only put on there what I think is good. It gets sent to the guests a few weeks before by me.

What have I learnt?

1. I don't think Local businesses would pay to place their business with airbnb. Happy to give out their brochures, if they have one! The ones I deal with aren't even interested in providing an 'offer' to incent my guests. I've tried, and it doesn't have to monetary, but a promo item or an extra whatever.  Probably because it's not measurable, but I know it will work as I have guests asking is there an offer...

2. The visitor guide i indicated above GETS the most usage out of all. I know cause its a mess everytime i go in to cleanup. So the old fashioned visitor guide still works (as long as its current).

3. The favourites list is definitely used for the upfront planning as the guests ask and comment on it to me. 

4. Host independence, no kickbacks and having a unique differentiator from other hosts is important to me. So I'm not really interested in subscribing too or having access to a bunch of local businesses that I can't guarantee the quality on when I haven't been involved in a review. My value add is recommending. The more you standardise something the less unique it becomes.

So hope these insights help you.

I'm in the product development business myself, and I know how important it is to get insights to try and solve real customer problems. Not sure your thoughts are solving a real problem for who yet... Apply some Human Centred Design principles might help you get there.

Best,

MK