--- title: Why Hotels Aren’t Worried About Airbnb Stealing Their Business description: The new kid on the block may be growing but the old timer’s are far from done yet authors: - name: Denver Nicks url: https://money.com/author/denver-nicks/ at_money_since: 2015 articles: 60 covers: - Business - Banking - Career Advice - Credit Cards - Economy and Politics - Housing - Identity Theft - Insurance - Investing - Lifestyle - Loans - Personal Finance - Pets - Retirement - Shopping - Taxes social: - https://x.com/DenverNicks - https://plus.google.com/105122198911201917932 former_staff: true published: '2015-11-17T20:33:54.000Z' modified: '2024-04-16T07:36:50.000Z' section: Business tags: - Airbnb - hospitality - Hotels - Industry - pubdesk - Travel word_count: 288 canonical: https://money.com/hotels-airbnb-competition-report/ type: Article source: structured-blocks --- > **Disclosure:** We research all brands listed and may earn a fee from our partners. Research and financial considerations may influence how brands are displayed. Not all brands are included. [Learn more](https://money.com/page/disclaimer/). ![482178468](https://img.money.com/2015/11/482178468.jpg) Airbnb has already taken the hospitality industry by storm, with its current $25 billion valuation surpassing that of most major hotel chains. And with its new [Business Travel Ready](https://money.com/airbnb-business-travel-ready/) service catering specifically to business travelers, it's aiming for hotels' best customers. But if you think traditional hotels are on the way out, think again. That’s according to a new report from Morgan Stanley, helpfully summarized by [Quartz](http://qz.com/552287/barbies-newest-spokesperson-is-a-very-enthusiastic-little-boy/). For a host of reasons, the disruptive pioneer in the sharing economy, Airbnb—which lets people rent a regular home or guest house instead of a hotel—won’t be driving traditional hotels out of business. Morgan Stanley finds that hotel occupancy rates still have room to grow, projecting several years of growth ahead in the U.S. and Europe, but also notes that people aren’t abandoning hotels. One thing hotels have going for them is that while Airbnb might be a great option for tech savvy travelers interested in community, it's not as good of an option for business travelers. The report also notes that very few Airbnb travelers (7%) book just one night—whereas overnight travelers account for a quarter of hotel business. What's more, most travelers still use online travel agencies that interface hotel vacancies but not Airbnb. And though that may change, the report notes that Airbnb may one day become a hotel ally, allowing users to book traditional hotels on its platform (in truth the site already more or less works like that in some places). Finally, the report finds that Airbnb suffers from a serious awareness deficit. Only 12% of those surveyed said they’ve used the site and among those who haven’t 59% said they’d never even heard of it. **Read Next: [Airbnb for Business Travelers Just Got Way Better](https://money.com/airbnb-business-travel-ready/)** ```json { "@context": "https://schema.org", "@graph": [ { "@type": "BreadcrumbList", "@id": "https://money.com/hotels-airbnb-competition-report/#breadcrumb", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://money.com" }, { "@type": "ListItem", "position": 2, "name": "Business", "item": "https://money.com/business/" }, { "@type": "ListItem", "position": 3, "name": "Customer Service", "item": "https://money.com/customer-service/" }, { "@type": "ListItem", "position": 4, "name": "Why Hotels Aren’t Worried About Airbnb Stealing Their Business" } ] }, { "@type": "WebSite", "@id": "https://money.com/#website", "url": "https://money.com", "name": "Money", "publisher": { "@id": "https://money.com/#organization" } }, { "@type": "WebPage", "@id": "https://money.com/hotels-airbnb-competition-report/#webpage", "url": "https://money.com/hotels-airbnb-competition-report/", "name": "Why Hotels Aren’t Worried About Airbnb Stealing Their Business", "isPartOf": { "@id": "https://money.com/#website" }, "datePublished": "2015-11-17T20:33:54.000Z", "mainEntity": { "@id": "https://money.com/hotels-airbnb-competition-report/" }, "inLanguage": "en-US", "breadcrumb": { "@id": "https://money.com/hotels-airbnb-competition-report/#breadcrumb" }, "dateModified": "2024-04-16T07:36:50.000Z" }, { "@type": "Article", "headline": "Why Hotels Aren’t Worried About Airbnb Stealing Their Business", "articleSection": "Business", "image": [ { "@type": "ImageObject", "url": "https://img.money.com/2015/11/482178468.jpg", "width": 594, "height": 396, "caption": "482178468" } ], "author": [ { "@type": "Person", "name": "Denver Nicks", "url": "https://money.com/author/denver-nicks/", "@id": "https://money.com/author/denver-nicks/#author", "image": "https://img.money.com/2012/09/09_1165862081.jpg?quality=85&w=640&h=640&crop=1", "sameAs": [ "https://x.com/DenverNicks", "https://plus.google.com/105122198911201917932" ] } ], "publisher": "https://money.com/#organization", "datePublished": "2015-11-17T20:33:54.000Z", "description": "The new kid on the block may be growing but the old timer’s are far from done yet", "abstract": "The new kid on the block may be growing but the old timer’s are far from done yet", "@id": "https://money.com/hotels-airbnb-competition-report/", "inLanguage": "en-US", "dateModified": "2024-04-16T07:36:50.000Z", "wordCount": 288, "keywords": [ "Airbnb", "hospitality", "Hotels", "Industry", "pubdesk", "Travel" ], "about": [ { "@type": "Thing", "name": "Business", "sameAs": [ "https://en.wikipedia.org/wiki/Business" ] }, { "@type": "Thing", "name": "Customer service", "sameAs": [ "https://en.wikipedia.org/wiki/Customer_service" ] } ] } ] } ```