Airbnb Dives Deeper into the Ocean of Hotel Business by Buying HotelTonight

Airbnb Dives Deeper into the Ocean of Hotel Business by Buying HotelTonight

Business

On Thursday, Airbnb announced that it would HotelTonight, a hotel booking website, in order to soar its offerings. The two San Francisco-based companies did not reveal any other details of the deal. Previously, HotelTonight valued at $436 million in the private market. The company announced that it had confirmed the aim to buy HotelTonight. Although, HotelTonight is an application that allows travelers to manage accommodations eleventh hour. The deal arrives soon after the launch of Airbnb Plus. It is a subdivision of Airbnb’s service which consists of boutique hotels having traditional beds and breakfasts. Airbnb faced strong and increasing competition from other online travel agencies and hotels. Thus the company decided to expand its services and include luxury properties in it.

So the deal will assist Airbnb in various ways. Through HotelTonight it will start-up and stimulate its move to include traditional hotels in the list. Besides, the step will introduce more inventory to the website. Both platforms will continue to work apart. In the upcoming days, the listings of HotelTonight will become part of the larger platform. Co-founder and CEO of HotelTonight, Sam Shank, said the combination would result in more choices. The merger will offer the best partner to standalone hotels and the world’s best boutique, which will connect them with guests. Currently, it has partnerships with thousands of hotels in various regions like South America, Australia, and Europe.

Moreover, Airbnb entered in the business of boutique hotels in 2018; it launched those hotels to its platform. Now the company claims of having 6 million listings worldwide. Along with the new purchase, Airbnb intends to achieve some goals. The move will stimulate plans to develop an end-to-end travel platform and meet requirements from and for boutique hotels. According to Airbnb, it will attract more customers via HotelTonight. The company said it intends to rejuvenate the travel world by achieving those targets. The current year is like a money-grubbing streak for Airbnb. The company purchased one more platform in January.

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