Accommodation booking platform Airbnb Inc. (ABNB) reported revenue growth in the first quarter of 2021, exceeding pre-pandemic levels. Airbnb is likely on the verge of recovering from a challenging year, and the travel industry is probably “reviving.”
Despite the ongoing COVID-19 outbreak, people worldwide are more inclined to travel, including outside their own countries. Consequently, the demand for short-term accommodations is increasing. For the quarter ended March 31, 2021, Airbnb revenues increased by 6 % compared to the same period in the previous year. Despite the pandemic, the company’s figures were higher than in the first quarter of 2019, before the epidemic outbreak.
Despite the uncertain economic situation, Airbnb Inc. (ABNB) officials reported that tourists are on the rise and that tourist trips have returned to previous levels. Airbnb anticipates that demand is likely to outpace supply as soon as restrictions are relaxed, as do many travel and entertainment companies. Thus, Airbnb now aims to increase the amount of advertising on its platform.
In February, Airbnb launched its first large-scale advertising campaign, intending to influence more people to list their apartments on Airbnb. Revenue from new products and services will drive the company’s growth for the rest of this year and beyond. Airbnb has already noticed an increase in interest in collaborating among homeowners following this campaign. If tourists flock in large numbers this summer, Airbnb will do its best to meet demand as much as possible.
Shares of Airbnb Inc. (ABNB) gained by 1.90% during the trading session on Tuesday, reaching a low of $131.49 while ending the day at $138.40. During the trading session, a total of 18.56 million shares were traded which represents a -194.07% decline from the average session volume which is 6.31 million shares. ABNB had ended its last session trading at $135.02.