Is Airbnb affecting hotels in Sydney?
Airbnb’s presence in Sydney is growing, but it does not appear to be having a significant impact on the city’s hotel performance, a new report has revealed.
STR this week revealed the results of its analysis of the Sydney accommodation sector, comparing its own hotel performance figures with data obtained from Inside Airbnb, a third party company that pulls information from Airbnb’s website.
And as with a recent analysis of Airbnb’s impact on the New York hotel sector, STR found that the mainstream accommodation sector has not been greatly affected by Airbnb’s presence in the market. It did state however, that Airbnb appears to be benefitting from a lack of available hotels outside the city centre.
“Our international experience says that in general, Airbnb units are more prominent as a percentage in suburban locations,” said Matthew Burke, STR’s business development manager for the Pacific region.
“The location of hotel and Airbnb listings may also talk to the traditional nature of travel, be it for work or leisure. As consumers become more intrigued by ‘living like a local’ in the suburbs with sufficient amenities, Airbnb rentals may become a more desired source of location for both leisure and business travellers.”
As of 3 January 2016, Inside Airbnb listed 16,149 units in Sydney. Sixty-one percent of these were entire homes or apartment units, while 38% were private rooms and 1% shared rooms.