On Thursday, shares of Airbnb Inc (ABNB.O) dropped as much as 6% after an online independent site published a report looking into unfavorable experiences guests had while staying through the short-term rental platform.
The Bear Cave research claims that horror stories of visitors to independently run Airbnbs abound online. These stories include unexpected cleaning requests, last-minute cancellations, and multiple instances of visitors discovering concealed cameras in bedrooms and bathrooms.
An inquiry for comment from Airbnb was not answered.
The last time the company’s shares were traded, they were down 5%.
2022 was Airbnb’s most prosperous year yet, with revenue increasing by 40% year over year. The San Francisco-based business reported that there were 16% more active listings in the fourth quarter of 2022 than there were in the same quarter in 2021. Nights and experiences reserved increased by 20% over a year ago, but analysts’ expectations were not met.
Despite worries about a slowing economy, travel companies claimed earlier this year that they had not yet noticed a decline in demand.
In Montreal, a structure utilized by both long-term residents and transient visitors who reserved accommodations through Airbnb caught fire last month. The apartments in the residential structure were not intended to be rented out for those reasons, according to city officials.
Some of the top professional hosts in the business have abandoned Airbnb in favor of creating their own booking platforms and lowering their prices.
According to the report, the rise in properties that are expertly maintained will put the company in direct competition with it and could endanger its revenue streams. However, some analysts are more positive about the future of Airbnb.