Airbnb and Marriott Each Want What the Other Has
Is a little bit of point counterpoint in the hospitality industry to report on today. First of all Airbnb says it's thinking about getting into more formal hoteling it's going to take commercial properties and rent them out at the same time. The Wall Street Journal reports that Marriott is going to start its own Airbnb like thing for renting out vacation homes, cozy atmosphere neighborhood vibe without the sometimes dodgy wildfire clogged sink when confined in an Airbnb. Marketplace's Megan McCurdy Krino has more on what am I take for Marianne to compete in the home sharing market that is so disrupting its business Marianne it's been pointing out in a recent commercial that there are a lot of ways to spend the night with them. Homeboy for Tony. There's Ritz-Carlton for hip. There's w for family friendly, they're Springfield sweets, and for a plain old hotel room there Sheraton thirty hotel brands, endless experiences. Adding home rentals tha that ecosystem makes a lot of sense says Howard Adler, a professor of hotel management at Purdue University really benefits them because they're expanding their their network already. Adler says home rentals could allow travelers to stay under Marriott roof for every trip. They take for business or pleasure and get loyalty points. But there's a catch much of Maryanto. Tell business is independently owned MorningStar analyst, Dan wa- select says home sharing may cannibalize some of that business. There is some, you know, risk vats alienating the traditional hotel franchisees that are joining the Maryanne brand renting out private houses. Even high end ones. Also, poses risks homes and hotels are built with different safety standards. Aroon soon Dhiraj on a professor of business at NYU says that's one example of why it's going to be difficult for Marriott in another hotel chains to compete head on with Airbnb. I think Airbnb has made depot. Inroads into the hotel business than any of the hotel chains will into the home shedding business. Andy says Mary interest in the market makes the home sharing business. Look more attractive as Airbnb prepares for its IPO later this year.