The company can grow its business 10 times in size and still not saturate its opportunity.If there’s one thing your guests are looking for in 2022, it’s unique travel experiences. And with its gross booking of $63.2 billion in 2022, the company has just barely reached 2% market share. To put the opportunity into perspective, Airbnb estimated its total addressable market (TAM) at $3.4 trillion. To this end, the company is constantly experimenting with new services to help consumers find their perfect vacation, including experiences and longer-term stays. On top of that, the company seems well-positioned to grow in the longer term by surfing the tailwind of a growing global tourism industry. While it's not hard to foresee that the company will eventually face headwinds, so far, it is still doing fine. In fact, the company guided for revenue in the first quarter of 2023 to grow between 16% and 21%. The continuing war in Ukraine, growing inflation, layoffs in the tech sector, and the still ongoing pandemic are all worrisome.ĭespite that, Airbnb expects its strong performance to continue in 2023. The future looks promising for the companyĪirbnb might have delivered a solid performance in 2022, but investors are getting increasingly uneasy amid the growing challenges in the economy overall.
But today, investors no longer doubt the company's relevance in the travel industry. When Airbnb went public in 2020, it faced a once-in-a-century pandemic that threatened its survival. 2022 also marked Airbnb's first profitable year. Revenue surged 40% to $8.4 billion, and net income came in at $1.9 billion. The rebound was a testament to Airbnb's business model's resilience, underscoring the human need to travel and connect with others.Īnd if the bears had any doubt about the sustainability of Airbnb's performance, they would have been astonished by the company's 2022 performance. In 2021, Airbnb's revenue surged 77% to a high of $6 billion - outperforming its previous peak of $4.8 billion, reached in 2019.
Would people still travel as much and be willing to live in strangers' houses? These questions were crucial since Airbnb's business model faced an existential threat.įortunately, the dire situation did not last that long. Nobody knew what the world would look like after the height of the pandemic. At the worst point, the company reported a 72% booking decline. As countries enacted travel restrictions, demand for travel and accommodations plummeted, leading to a sharp decline in Airbnb's bookings and revenue. When the COVID-19 pandemic hit in 2020, it hit Airbnb right in the face.
0 kommentar(er)
