UPDATED 13:57 EDT / SEPTEMBER 05 2018

APPS

Airbnb expands its enterprise business with new offerings for companies

Since launching a business travel offering in 2014 to attract corporate customers, Airbnb Inc. has seen this part of its online rental marketplace grow to account for 15 percent of total bookings. Today, the hospitality juggernaut is moving to expand the operation even further.

Airbnb has added three new offerings to Airbnb for Work that seek to expand how organizations use the platform. They target several types of business travel that, according to the company, are experiencing significant growth in the enterprise.

The first opportunity Airbnb hopes to tap is the subset of trips dedicated to offsite meetings and other team retreats. According to the company, Airbnb for Work now lists properties with amenities that lend themselves to such events. Hosts can indicate if they provide Wi-Fi, self check-in and other conveniences that are sought after by business professionals traveling in a group.

The kind of offsite trips Airbnb is targeting involve various team-building activities. To address the opportunity, the company will now also give firms access to the “Experiences” section of its marketplace. The portal offers a selection of more than 5,000 workshops, classes, tours and other programs across some 800 cities worldwide.

The last of the three new features focuses on rental arrangements that last longer than the few days users typically spend in an Airbnb property. Specifically, the company is looking to simplify work-related relocations by enabling companies to provide employees with a place to stay while they settle in. Airbnb also sees the offering appealing to professionals who temporarily move to a new region for a project.

On top of attracting more corporate customers, the features should also give Airbnb additional upselling opportunities within its existing enterprise user base. The company divulged last month that about 700,000 firms have booked accommodation through its platform to date, including a sizable portion of the Fortune 500. Airbnb for Work is popular among smaller organizations too, with 40 percent of total bookings coming from businesses that have fewer than 250 employees.

Overall, Airbnb reportedly generated a $93 million profit on $2.6 billion in revenues during 2017. The company, which is valued at $31 billion, is expected to file for an initial public offering next year.

Photo: Airbnb

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