Robert wrote:Geezee wrote:Robert wrote:
Air BnB is not that much in competition with Hilton, Mariott and the likes but rather with small hotels and B&B's. The latter's compliance with laws/regulations/health safety may be questioned as much as Air BnB's. We may scream blue murder over this but it hasn't been a problem untill AirBnB arrived at the scene. The only thing they did was develop a tool through which it is much easier to find a place to sleep and in the process encouraged lots of people to start their own B&B.
Of course they are in competition with Hilton, Marriott, Starwood etc! - in fact Marriott's unheard of acquisition of Starwood can be seen almost entirely through the lens of dealing with the competition from Airbnb. And that may not shed any tears, but I really don't understand this unwillingness to put Airbnb in the same bucket as Uber. You are either overestimating Uber's "evil", or underestimating Airbnb's.
And of course Uber's main competitor is not the cab firms - it is car ownership.
If Air BnB is in competition with Hilton, it doesn't have a material impact on Hilton. Far from that actually. These are the pre tax income figures of Hilton International:
In 2015, Air BnB shifted more rooms than Hilton International. Contrary to Hilton however, in that year Air BnB posted a loss of $3 B.
It may be true that private owership of transport may be Uber's competiton, in a sort of way, but that goes for all taxi firms and public transport. People without access to their own means of transport ( because they simply don't have it, or are abroad or have other reasons not to use it ) are simply 'the market' for taxi firms and public transport. Competition is not people that have their own means of transport but other transport companies trying to win over the same 'market'.
Yes, but Uber's ultimate goal is to remove the need for car ownership through self-driving cars - that has never been the case of taxi firms.
So a drop of "only" 16% in 2016 for Hilton - yeah no, the statistics really reinforce your story! But either way, I'm sure you'll find similar results in GM, Ford, etc - these are enormous, diversified companies and it will take a long time before the competition eats into their revenues - it doesn't change the fact that the competition is biting, and they recognise it as such. And even if Airbnb is not "destroying" the hotel industry - what does it matter? Are they less evil because they are less successful? They have precisely the same moral weaknesses as Uber, as far as I can tell, with reports of assaults on their customers (with the accompanying lack of accountability), and avoidance of basic taxes.