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"hotel cartel here." I really don't think hotels are the ones truly at fault here. The way Airbnb competes on price is mostly due to not having to pay for thin
by JonFish85 10y ago
"hotel cartel here."
I really don't think hotels are the ones truly at fault here. The way Airbnb competes on price is mostly due to not having to pay for things that hotels have to. The cities & states themselves are the ones who decide what sort of insurance hotels have to have, what sort of zoning rules apply, taxes to levy, rules that they have to follow.
Taxes are very high on hotel stays, generally. And this is usually because it's easier for someone to raise "other people's" taxes rather than their own (e.g. tax the out-of-towners).
People seem to claim things like how "hotels legislate a moat" all the time, but ultimately I really don't think it's the hotels, it's the town/city/state and the citizens thereof that have decided what they want to legislate. And that's inconvenient for a startup looking to "disrupt" things, but I find it quite scummy.
- yellow_postit 10y agoMaybe at some % of occupancy an AirBnB stops being spare space and becomes more hotel-like and needs to start collecting the same types of taxes, providing insurance, etc.
- JonFish85 10y agoI'd be curious to see what % of Airbnb rentals are 100% occupied by the guests. I suspect that it's a majority of them, but I don't have any data to back that up with.
- DMac87 10y agoIsn't this effectively what, e.g., San Francisco is doing - once you rent out for X days, you face more burdensome requirements?