Mapping the effects of COVID-19 on Airbnb: Evidence from European cities

Abstract

ABSTRACT This article focuses on the evaluation of the temporal and spatial effects of COVID-19 on Airbnb’s supply and demand in 40 cities from 17 European countries in four regions. In terms of supply, hosts followed a wait-and-see strategy by the availability was set to 0 in the first pandemic wave, and with the second wave, the sharing activities were completely terminated by closing profiles. Hosts with entire homes and multiple listings were more willing to use calendars actively and more reluctant to close profiles than hosts with private rooms and single listings. Moreover, especially in the second half of 2020, listings in Northern, Western, and Eastern Europe suffered significant losses, while hosts in Southern Europe more actively used calendars. Airbnb demand was even more adversely affected, and the demand preferences were directed towards entire homes, where social distance might have been easier and better maintained between peers, and multiple listings, that might have been more professionally managed due to commercial concerns. Considering the dependence of entire homes and multiple listings hosts on income from sharing activities, it is thought that they may have been more affected by potential income losses than hosts with private rooms and single listings.