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Travel didn't suddenly increase because AirBnB, it just made it more affordable by taking from the existing pie.
by jonwachob91 10y ago
Travel didn't suddenly increase because AirBnB, it just made it more affordable by taking from the existing pie.
- xapata 10y agoAre you saying travel is inelastic?
- jonwachob91 10y ago... Travel is one of the most elastic industries. Entire theme parks here in Orlando close down during the summer because travel always dips. What I'm saying is that AirBnB is not a large enough factor to impact the overall market size. For a quick snap shot, I looked up number of American's that AAA predicts will travel on the 4th of July ever year. In 2011 the number was 39M[1], in 2016 it was 43M[2]. Not really that big of a difference. AirBnB does make travel more attainable for the non-traditional worker[3] (such as students), but students won't rapidly expand an industry. [1]http://newsroom.aaa.com/tag/independence-day-travel-forecast/ http://newsroom.aaa.com/tag/independence-day-travel-forecast... [2]http://newsroom.aaa.com/2016/06/aaa-americans-will-take-trips-ever-independence-day-weekend/ http://newsroom.aaa.com/2016/06/aaa-americans-will-take-trip... [3]http://blog.airbnb.com/economic-impact-airbnb/?_ga=1.115674822.1940512795.1462906962#new-york http://blog.airbnb.com/economic-impact-airbnb/?_ga=1.1156748...
- xapata 10y agoDepends on what you mean by rapid growth. For an activity that is already stable at a large volume, any noticeable growth can feel rapid. Further, AirBnB's tiny slice of the market could consist of some cohort that would not otherwise participate. CouchSurfers, for example. I used to do CouchSurfing, but I found I preferred paying for AirBnB in some cases. Obviously, now AirBnB is much bigger than its first adopters.