What started as an idea for two friends to rent out an air mattress in their apartment to make some extra cash is the very root of where Air Bed and Breakfast, now known as Airbnb was founded.
The public startup was born in 2007 and since then has grown to over 5 million hosts who have welcomed over 1.5 billion guest arrivals globally.
Airbnb’s latest venture marks a unique spin on the company’s initial value proposition of: spending less on hotels to stay in comfortable homes.
Today, vacation-seekers can have what CEO Brian Chesky defines as an “out of this world experience” where people can find homes and experiences inspired by famous films, people and places.
These experiences include drifting up in the Disney “Up” House, staying in the “X-Man” Lab, and much more.
Over the years, Airbnb has gone from humble local hosts making a few extra bucks renting their homes to a monopoly-land of hosts taking a commercialized approach to the business model.
This variety in host-type has led to critiques on the business model, which for some time made the option of an Airbnb more expensive than the average hotel stay. However, the company has since got those cost numbers down, at least for large groups.
As the company has scaled, it learned its core demographic and adapted to it. Over 80% of trips booked on Airbnb are by groups. This understanding has allowed Airbnb to create features like shared wishlists and the ability to add multiple guests into communications about a reservation.
When it comes to feedback from praise to rough critiques, Airbnb seems to be constantly evolving to meet the needs and expectations of its users. This adaptability highlights a key lesson for Gen Z founders: growing with your audience is crucial. As your startup develops, understanding who your customers are and what they value will guide your business decisions and help you stay relevant.
For Airbnb, this meant recognizing the shift from individual travelers to group bookings and adapting their platform accordingly. For other startups, it might mean tweaking a product based on user feedback or expanding services to cater to a new market segment. Engaging with your audience, soliciting their feedback, and being willing to pivot when necessary can make the difference between a fledgling startup and a thriving enterprise.
Keeping it gee, the success of Airbnb underscores the importance of staying connected with your audience. As Gen Z founders consider how to scale, focusing on your customers’ needs and growing with them not only builds loyalty but also fosters innovation, ensuring your startup remains competitive and sustainable in the long run.
Miranda Perez (she/her/hers) is a Jersey City, NJ-based journalist who covers the tech industry. Follow her on X and Instagram: @mimithegee.
Edited by NaTyshca Pickett