CEO Brian Chesky says a service solving one of the more annoying parts of Airbnb stays is a 'sleeper hit'
· Business Insider
David Paul Morris/Bloomberg/Getty Images
- CEO Brian Chesky said one of Airbnb's new services has been a surprise hit with guests.
- Chesky said luggage storage and rental cars have both been driving revenue.
- Airbnb posted an earnings beat on Thursday, with the stock jumping after-hours.
Airbnb helped solve one of the more annoying aspects of staying in a rental home, and it looks like it could be paying off.
Visit freshyourfeel.org for more information.
CEO Brian Chesky said on the company's third-quarter earnings call Thursday that one of the most popular new features offered as part of the app's push into experiences and services was one that he did not expect: luggage storage.
"What a sleeper hit," Chesky said when an analyst asked which of the newer services were most popular.
Chesky said he was giving a keynote speech where he was talking up a bunch of AI features, and that the mention of luggage storage got the biggest cheer. He also said it got a huge reaction when he posted about the new offering on Instagram, adding, "I finally felt cool on the internet."
Airbnb announced in May that it was partnering with Bounce, a global luggage storage platform, to help guests find places to store their bags before check-in or after checkout. After booking a trip, Airbnb guests can see luggage drop-off locations near their stay and receive a discounted rate in some cities.
The added service addresses an advantage that hotels, which commonly store guests' luggage before or after their stay, often have over rental homes.
"That's not the sexiest service," Chesky said of luggage storage, adding, "but I will say that what we've learned is that every service in and of itself has value."
The most popular new service "by far" has been car rentals, Chesky said, adding that the average car rental on the platform lasts longer than the average Airbnb stay.
He said both rental cars and luggage storage have been revenue drivers compared to some other services.
"But what all these services have in common is they make you more likely to want to book a home on Airbnb or a hotel on Airbnb," he said. "And so we have a pipeline of dozens of more services."
Airbnb posted an earnings beat on Thursday, with the stock jumping around 10% in after-hours trading.
Airbnb did not respond to a request for comment from Business Insider.
Read the original article on Business Insider