The growing popularity of Airbnb has ensured that the market share more than doubled to 9% in 2016. Bookings in the boroughs of Westminster, Tower Hamlets, Camden, Kensington, Chelsea & Hackney accounted for nearly 50% of all Airbnb overnight stays, a trend also seen in 2015.
Dirk Bakker, Head of EMEA Hotels: "We have already seen an explosive growth in the number of overnight stays in Amsterdam of 125%. It seems that the platform is also growing rapidly in London. There is a large concentration of overnight stays around the city center. In contrast to what Airbnb states, travelers don’t spread throughout the city. "
The Average Daily Rate (ADR) per accommodation fell by 8% in 2016 to £100. Rates for private rooms fell by 15% to an ADR of £57. This type of room became even more popular than in the previous year. Nearly 45% of travelers booked a private room.
By the end of 2016, the number of hosts listed on Airbnb had grown by 57% - from 88,162 in 2015 to more than 138,000 properties. Further, in the first four months of 2017, the number of active hosts listed increased by 80% year on year. Of the 2016 listings, almost 54% of the properties were offered by hosts with more than one listing, up from 48%. This reinforces concerns amongst communities and authorities about the scale of professional letting via the site.
“Airbnb is no longer just an accommodation site for individuals letting out their own homes. People are now buying residential properties specifically for Airbnb, which has the potential to dilute neighborhoods and become a social issue for residential areas, creating transient zones,“ explains Dirk Bakker.
Jeroen Oskam, Director of Research at Hotelschool The Hague added: “The lack of regulation is a concern, not just for traditional accommodation providers, but especially for cities and residents. In addition, consumers’ rights and safety should be protected by regulation but if Airbnb guests encounter a problem, they have to rely on improvised measures by the platform.”
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