how did Airbnb respond to changes in demand during the pandemic, and what impact did this have on its supply strategy?
During the pandemic, Airbnb responded to changes in demand by shifting its focus to longer-term stays and stays in smaller, less crowded locations. This included implementing a new "Extended Stays" feature on its platform, which allowed users to book stays of 28 days or more. Additionally, Airbnb launched a program called "Frontline Stays," which provided accommodations for healthcare workers and other frontline workers during the pandemic.
These changes in demand had a significant impact on Airbnb's supply strategy. The shift towards longer-term stays and stays in less crowded locations meant that Airbnb needed to adjust its listings to cater to these preferences. Hosts were encouraged to offer discounts for longer stays and to provide enhanced cleaning protocols to reassure guests of their safety. Airbnb also offered financial support to hosts who had been impacted by cancellations due to the pandemic, in order to help them stay afloat during this challenging time.
Overall, Airbnb's response to changes in demand during the pandemic led to a more diversified supply strategy, with a focus on longer-term stays and accommodations in smaller, less crowded locations. This helped Airbnb weather the storm of the pandemic and continue to attract guests looking for safe and comfortable lodging options.