Airbnb is eliminating cleaning fees to improve price transparency.
Airbnb said in its earnings report today that roughly 300,000 properties had eliminated or reduced cleaning costs since early last year, when it began offering all-inclusive pricing. Close to 40% of current postings no longer charge cleaning costs.
Customers have long complained about cleaning prices. Airbnb holiday rentals might be cheap, but cleaning costs can add up to hundreds of dollars at checkout. Airbnb’s average rental price rose as cleaning rates rose, making it a less desirable vacation rental option.
Airbnb hosts may not be paying cleaners anymore due to the declining cleaning charge. Are they including property cleaning fees in their prices? When Airbnb unveiled its “Total Price Display,” it looked to seek a balance.
“Guests should not have to do unreasonable checkout tasks such as stripping the beds, doing the laundry, or vacuuming when leaving their Airbnb,” Airbnb added. However, we believe it is appropriate to require visitors to turn off the lights, toss food in the garbage, and lock the doors as they would at home.
It’s hard to think that telling visitors to turn off the lights will save money. Airbnb said that its average nightly pricing for a one-bedroom property was $114, down 2% from last year, while hotel costs jumped 7% to $149.
Airbnb’s quarterly revenue rose 17% to $2.2 billion. But a $1 billion one-time tax expense cost the corporation $349 million for the quarter.
