See how Airbnb is marketing its new Rooms offering

Airbnb is going back to its sharing roots with its new Rooms offering, in which guests book a private room on a property, at a time when consumers may be seeking out low-cost travel alternatives. To promote Rooms, the San Francisco-based home-sharing company will begin a new marketing campaign this week that is designed to both educate and inspire. “We are in an era where people want to travel, but they want to travel affordably and they are yearning for connection after years of isolation,” said Hiroki Asai, global head of marketing at Airbnb. “Airbnb Rooms are an affordable way to see the world and connect with interesting people who host a space in their home.” Of course, customers would have to be comfortable sharing space with strangers. In return, they would enjoy cheaper rates. According to Airbnb, more than 80% of its private rooms cost less than $100 per night, with an average of $67 per night. The company has also introduced a “host passport” that provides background information about each host, who is vetted and serves as a neighborhood guide for travelers. Three 30-second spots, created by Airbnb’s internal team, showcase a different destination, including Florence, Italy; Kyoto, Japan; and Edingburgh, Scotland. Airbnb sent guests to private rooms around the world and interviewed them afterward about their stay and experience. The resulting interviews are used as voiceovers in the ads, which also feature photos from the trips. The ads, which debut today, will appear on TV in the brand’s top eight countries: the U.S., U.K., Spain, France, Italy, Canada, Australia and Germany. Media buys also include streaming, online video, Instagram and TikTok. The commercials will also appear during the NBA Finals. EssenceMediacom handled media buying for the campaign. More travel news: Airline advertising gets a creativity upgrade Airbnb executives say the newly imagined Rooms will appeal to customers now more than ever, as travelers become more price-conscious as they deal with economic concerns. It’s the brand’s latest offering meant to respond to ever-changing travel needs. For example, last year Airbnb launched its categories offering, which separated properties by categories rather than just locations in a move to appeal to a growing consumer desire for flexibility. “A year ago, the primary mood was people have money more than today and they had a lot of flexibility, so we launched categories,” said CEO Brian Chesky at a recent event in New York. He added, “In the last year, inflation has skyrocketed—people are feeling it and travel costs have risen. We think affordability is more important than ever.” Chesky compared the new offering to Airbnb’s Great Recession roots in 2008, when it was created as a more affordable alternative to hotels. The company is already seeing some of the effects of economic anxiety and higher travel prices. Earlier this week, Airbnb said it just saw record revenue—$1.82 billion in the first quarter, a 20% rise over the year-earlier period. However, the company also forecast revenue below analysts’ expectations. Airbnb expects second-quarter revenue of $2.35 billion to $2.45 billion, an increase of 12% to 16% from the year-earlier period. The slowdown caused its stock to slide as investors reacted to the news. Check out the latest Ad Age events and award programs The brand has also added more than 50 new features and upgrades for customers. Such improvements include a new “total price display,” better customer service wait times, transparent checkout instructions and new functionality for searches involving monthly stays.

See how Airbnb is marketing its new Rooms offering

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