Airbnb is an online marketplace for renting short-term lodging in residential properties. Focused on travellers, Airbnb allows home owners to list their homes which can be later rented by travellers. Airbnb acts an aggregator between guests and home owners, receiving percentage service fees from the both sides. It charges between 6% and 12% for guests depending on the booking price. Airbnb also charges the host 3% from each guest booking for credit card processing.
Founded in 2008 and headquartered in San Francisco, Airbnb was listed as one of the next generation multibillion-dollar start-ups by The New York Times. The company encompasses 2,000,000 listings in 34,000 cities and 191 countries. HomeAway, FlipKey, and Roomorama are among the largest players in Airbnb’s market.