Airbnb growth raises familiar issues
CAPE TOWN. — As millennial travel takes off and domestic tourists hunt for holiday discounts, Airbnb is booming in Africa. Admittedly off a low base, the continent is amongst the fastest-growing regions for the home-sharing service, with over 100 000 listed properties hosting more than two million travellers over the last five years.
Those figures come from a recent released by Airbnb, which is keen to highlight the positive effects of the sharing economy on grassroots tourism. Chris Lehane, Airbnb’s global head of public policy and public affairs, talked about the study in Johannesburg last month and committed the company to investing $1 million in community-led tourism projects over the next three years.
The Pros and cons
And it’s hard to gripe at the success of Airbnb in Africa. On a continent where economic opportunities are often limited, the chance to monetise a spare room – a typical host earns $1 500 per year, says Airbnb – is not to be missed.
“Home sharing is healthy tourism by virtue of being not only inclusive, but also sustainable, helping people create new economic opportunities for themselves in the homes and communities where they live,” said Lehane, who also signed a collaboration agreement with the City of Cape Town to promote the city globally and encourage community-led tourism.
The sharing economy “is a global phenomenon and we must embrace it to help previously disadvantaged communities, to close the gap that exists in the tourism space,” added Barba Gaoganediwe, head of destination promotions and marketing for the provincial Gauteng Tourism Authority. “Established operators have the lion’s share of the tourism business. Services like Airbnb help to open up the market, to bring in new players.”
He’s not wrong, but it’s not all smiles and handshakes. That wholesome notion of home-sharing has often morphed into property investing and, as seen in major cities worldwide, Airbnb has been accused of pushing up property prices and driving down rental stock for locals in sought-after suburbs.
Formal hotels are equally unimpressed, with growing concerns over the gray area in which Airbnb operates.
“We welcome competition provided it is fair,” said Tshifhiwa Tshivhengwa, CEO of the Federated Hospitality Association of Southern Africa, a trade organisation representing hotels across the region. “What we have now is a segment that doesn’t want to play on the same field and by the same rules; they want their own set of regulations.” — Skift.com.