- Airbnb's strong brand makes it less reliant on Google than its competitors
- Almost a third of revenue every year comes from new users
Chris Elliott and James Knoedler, portfolio managers of WS Evenlode Global Equity (GB00BMFX2893) at Evenlode Investment, explain why they invested in Airbnb (US:ABNB):
“Airbnb is the global leader in the alternative lodging category and enjoys an attractive market share, brand position and network effect. The lodging sector (hotels, B&Bs, etc) tends to grow around 4 per cent nominally per annum. Within that sector, Airbnb created the ‘vacation rental’ model, which Sanford Bernstein estimates has grown to 9 per cent of the total lodging market by room nights. Airbnb has about a 44 per cent share of this.