Airbnb can benefit your Hotel Programme

The business travel benefits of the sharing economy without us


31 October 2016
Airbnb recently launched Business Travel Ready listings designed to give you assurances, much as you might get with a serviced apartment. However, the terms, conditions and availability may not give you the flexibility you need as a business traveller. This could be because a single apartment gives you less flexibility than a multi-bedroom hotel, cancellation policies may not work if you need to make changes within a week of arrival, and some travellers may be uncomfortable picking up a key.
 
If this is the case for you, don’t put Airbnb out of your mind just yet.
 
As we reported a couple of weeks ago, the nightly cost of hotels looks likely to remain at a similar level for 2017. Part of the reason for this will be the impact of increased availability from alternative channels such as those newly available through Airbnb and the sharing economy.
 
That’s great news for you if you are looking to secure savings in your accommodation expenditure, because irrespective of who uses Airbnb and why, their growth means less business placed into hotels which puts you in a stronger negotiating position for 2017. Yes, some of the business placed into the sharing economy may not land on the busier corporate days of the week, but this still impacts on a hotel’s overall income and profitability. As a consequence it is far more likely that they will want to protect other areas of their business, and ultimately with your hotel programme you are contracting rates on the basis that you will be using the hotels.
 
So, if you are currently in the midst of discussing hotel rates for 2017, remember that you are in a stronger position to negotiate than you have been for some time. Be brave!
 
If you would like any help or advice on negotiating your hotel programme for 2017 do not hesitate to get in touch with the team at PHR.
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