Airbnb: Taking Overflow and Taking Share While Putting Cash in the Pocket of Everyday Folks (is the idea)

An Airbnb hosted accomodation in Brazil
An Airbnb hosted accommodation in Brazil

Airbnb helped find accommodations for 85,000 people during the 2016 Rio Olympics. That is, according to Fortune Magazine, 17% of the approximate 500,000 local and foreign tourists who visited Rio during the 2016 Rio Olympics.

Handling spikes in tourist traffic during big-tent events like the Olympics, World Cup, or industry conventions is a challenge, even more so in cities like Tokyo that are already at high occupancy rates during normal weeks. Services like Airbnb have business model which connect travelers with individuals who commonly offer up their own apartments or houses and sometimes more personalized service, for fees often lower than the hotel chains.

The Japanese government has been, contrary to trends in other countries and cities, rather welcoming to Airbnb, as this kind of service potentially opens up the less populated countryside of Japan to repeat travelers who want to see the “real” Japan. Through Airbnb hosts, travelers can stay in rice-field-side houses run by elderly folks whose children have long skipped town and are in need of additional spending cash.

As the “Official Alternative Accommodation Services Supplier” of the 2016 Rio Olympics, Airbnb can argue that it put cash directly in the hands of Brazilian citizens, and helped the government and organizing committee deal with room over-capacity during the Olympics. According to this Fortune article, 421,000 arrivals stayed at Airbnb rooms in Brazil in 2015. In 2016, the year of the 2016 Olympics, the number of arrivals doubled to more than 1 million.