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Am I understanding this correctly? If guest cancels during the stay…then they can receive 50% of their money back. AND Airbnb WILL KEEP the service fee. They are not going to refund it back to the guest?? So instead of Air giving the service fee to the host who just lost 50% of their income…Air is going to keep the service fee for themselves…lololol!
I just read an article the other day that mentioned that Air’s head of vacation rental dept. is trying to attract more whole home rentals. lolol!!
The new strict is so bad, that they will be losing a lot of the existing vacation rentals, unless they allow them to move to the strict 60.
The vacation rental market is completely different from the short term hotel market. They will not accept these new rules, too much risk.
I will not risk taking any booking more than 30 days away with these new conditions, and even then they are a big risk.
I often have guests going home a day early, because of the weather. Now it is their choice, in the future I will loose money if they predict rain for the next day.
If the guest cancel during the stay, the guest service fees are not going to be refunded to the guest. But depending on the cancellation policy, further restrictions on the refunded amount will be applied (see below).
Nothing is said about the host service fees, but I’d assume they would still charge the corresponding % on the amount paid out to the host.
You’re right @EllenN, when you look at this from a macro perspective (i.e. Airbnb overall business). And that’s exactly what @cabinhost was also saying:
Less concerns over the possibility to have to cancel in the future → More guests booking on Airbnb (compensating the loss in revenues coming from more cancellations)
However, when you look at it from a micro perspective (i.e. single host) the situation is quite different.
Depending on when a guest cancels a reservation, the chances to get a new booking are different (and likely small if close to the check-in date).
Furthermore, the guest might end up booking again on Airbnb, thus still bringing revenues to the company… but you as a host, will not see a dime of that… you can only hope someone else books the same dates.
Thanks for posting the cancellation “during stay.”
I am not following the whole “Before 12 p.m. local time” versus “12 p.m. on any day after check-in” (for Strict policy)
For example: Guest is booking a week…checking in at 4 p.m. Saturday, and then checking out next Saturday at 11 a.m.
On Sunday guest decides (before 12 p.m.) at 11:45 a.m. they want to leave because the weather forecast says it will rain all week. Guests goes online to cancel, and walks out the door right before noon.
Is the policy that guest receives 50% back of remaining night, including Sunday (since he walked out before noon)???
I dont’ understand why some of the policies use the phrase “after 12 p.m. local time” and others say “12 p.m. on any day after check-in” - is it assumed that Air meant to include the word “after.”?
Been at the island a few days doing a string of little things and improvements, before the next wave of guests start again (October 1st) and it will be non-stop till June 2017. Came in to the mainland for supplies and just had to stop at the forums and see what is up with you all.
Just for future reference: The words ‘Strict’ and ‘Super Strict’ have been used interchangeably by everyone, including Airbnb; it appears that the consistent meaning of the two policies will soon settle down to is ‘Strict’ means 30 days IF the above is implemented worldwide, ‘Super Strict’ means 60 days. Many ‘Super Strict’ (60 day variety) existing hosts are already paying 5%, and do so gladly, for their situation needs such a warning on cancellations in order to realistically be able to re-book. Personally, I am pushing for ‘Super Duper Strict’ (90 day warning) or whatever they want to call it.
@EllenN re-iterated exactly the points what some of us made in the other thread on the same subject: Airbnb’s focus is on the guests and is facilitating their cancelling and thus encourage bookings in the first place; the guest knowing they have ‘nothing to loose’ till 30-days before having to show up (in the case of Strict), it may encourage more bookings, after all getting them to do book and commit (somewhat) is 90% of the ‘sale’.
How this plays out to each individual host (if implemented worldwide) is the million-dollar question.
The one consistency in life is change, but also is what keeps it interesting.
I would go further than that, and say that Airbnb’s focus is on $$$$$$$$. Of course giving consumers the ability to cancel whenever will encourage more guests to take the chance of booking. On the other hand - Air is very aware that if their policies don’t suit hosts, they will need to change them if they wish to retain those hosts. I’m sure a lot of their decisions are based on host supply versus guest demand.
At he moment they do not have to retain hosts.
They still have a huge momentum, and are adding new hosts every day.
People are still drawn by the huge amounts of money that supposedly can be made. Totally oblivious of the expenses involved and work involved.
I still wonder about the look on the faces of new hosts when they receive their first electrical or waterbill.
The $$ is implied, I doubt they are doing this just for kicks. If enough hosts don’t like it and leave, or gives an opportunity to a new competitor, they will shift again. Like the old adage says: “The squeakier and loudest wheel gets greased first”. Economics is really a constant wrestling match of counter-veiling, self-interest forces, based on - $$.
they want to offer a better experience to guests, and these updates are definitely are better for them.
hosts will complain, but will get over the increment in fees. the main issue is the lack of certainty over the upcoming bookings and payouts, that could be cancelled for any reason.
Um, yes; companies are in business to make money. Why do so many posters here think Airbnb is evil for maximizing profit? After all, we’re hosting to make money.
These updates do not improve the experience for the guest at any level.
The only thing they do is lower the threshold for booking. “Hey give us your money now, you can always get it back without penalty at a later moment if you change your mind.”
Aaaahhhh… this would be ideal for guests that need to get rid of some money at years end for tax purposes. Book 20th december, and hand over 10k to AirBnB. Get it back in January…
Well I can’t speak for anyone else but I do not think Air is evil for maximizing profit. Do I like their changes?? Of course not. But I am well aware that it’s my decision to list my property with them.
I have stated many times on this forum to not become dependent on Air because at any time they can change the policies and increase fees. They are just like all the other listing sites that are A/B testing to see the most they can squeeze out of each transaction. I have also credited the founders for doing a damn good job of convincing hosts to be scared to take bookings outside of their system.
[quote=“EllenN, post:25, topic:8322, full:true”]
Why do so many posters here think Airbnb is evil for maximizing profit? [/quote]
Because AirBnB claims they are not in it for the money. They are about “sharing”, not making money, they want to help people make ends meet. They want want people to meet, interact etc etc bla bla bla.
Nobody has a problem with them making money, but most host have a problem with their lies, and how they treat hosts.
I think these changes will have the biggest impact on locations that are very weather-contingent. I can see lots of cancellations from guests who are driving for a weekend getaway and then see a rain or snow forecast. I don’t think there will be a huge cancellation/re-booking game since availability is the greatest the further you are from the arrival date. Most of my guests say that it was such a hassle to work their way through so many listings that they are relieved to have the process done. OCD types might still keep checking dates to see if something they like better pops up but I would think that the system will at least force a guest to cancel a booking before being allowed to book another place for the same dates.
I had the same guest book 2 of my rooms for the same dates. One for him and his girlfriend, ad the other for his parents. I was surprised the system allowed it.
That is my biggest fear.
Get a booking half a year in advance for Christmas or New Year, and then a cancellation 2 days before arrival because somewhere on tv, someone said, the snow conditions are bad.
