Airbnb on Wednesday unveiled a new set of guest services, adding car rentals, airport pickup and grocery delivery to its online marketplace that connects travelers with local hosts.
Customers can now have groceries delivered to their Airbnb through a partnership with Instacart and have a driver meet them at the airport with Airbnb's Welcome Pickups. The app also offers luggage storage in partnership with Bounce and will add in-app car rentals later this summer.
At the same time, Airbnb is increasing its use of AI by adding AI-powered review summaries and accommodation comparisons, the company said.
The company has been expanding beyond accommodations since last year, when it introduced Airbnb Experiences and Services, giving guests the option to book private tours and chef-prepared meals through the app.
In an earnings call earlier this month, the company's CEO Brian Chesky said the company is at “the very beginning of how AI is going to change the way we all do our jobs.”
The changes come in time for the 2026 FIFA World Cup, which will take place in 16 cities in the United States, Mexico and Canada. The company said it offers exclusive World Cup experiences, such as viewing parties and stadium access.
“In terms of what we've seen in cumulative bookings leading up to the event, the World Cup is set to be the largest event in Airbnb's history,” the company's chief financial officer, Ellie Mertz, said on the earnings conference call.
Airbnb gained popularity for offering travelers unique, home-like stays at other people's properties, but added boutique hotel bookings to its platform late last year. The move left some customers wondering if the app was straying too far from its original purpose.
In its announcement this week, the company said it is partnering with more independent hotels in 20 top destinations, including New York, London and Singapore. On the earnings call, Chesky said Airbnb hotels could become a multibillion-dollar revenue business.
The San Francisco-based company was founded in 2007 and gave owners the opportunity to make money by renting out their space to travelers looking for something other than a hotel. Airbnb bookings can range from private rooms in a shared house to mansions and luxury yachts.
The company's revenue grew 18% year over year to $2.7 billion in the first quarter, while net income rose slightly to $160 million. Airbnb's new services and offerings could transform it from a home-sharing platform to a holistic travel marketplace, analysts said.
The company's shares have risen 14% over the past six months and fell less than 1% on Thursday.
