Expedia’s short-term rental platform Vrbo is launching a new ad campaign aimed at attracting hosts by emphasizing the benefits of hosting on their platform. The ads, centered around the slogan “Relax, you host on Vrbo,” take veiled shots at industry giant Airbnb, highlighting key differences between the two platforms such as Vrbo’s focus on longer-term guests and its OneKey rewards program. The OneKey program allows users to earn cash by booking through Expedia, Hotels.com, and Vrbo, which can be used for future bookings across all three platforms. Expedia sees this program as a potential driver of Vrbo’s growth, with CEO Ariane Gorin citing it as a factor in the platform’s improved growth in the second quarter.
In contrast to Vrbo’s OneKey rewards program, Airbnb has yet to launch a loyalty program of its own. CEO Brian Chesky has expressed interest in potentially starting a rewards program in the future, but has ruled out using a traditional points- or subsidy-based system. Instead, Airbnb is focused on building a more personalized platform to build loyalty. Vrbo’s new ads also highlight its appeal to hosts looking for steadier, lower-maintenance guests, positioning itself as a platform for longer-term stays. By emphasizing whole-home listings with higher-end amenities, Vrbo aims to differentiate itself from platforms like Airbnb that cater to a broader range of guests seeking quick, budget-friendly lodgings.
While Airbnb remains the dominant player in the short-term rental market with significantly more listings than Vrbo, the latter has been working to carve out a niche for itself as a vacation rental platform focused on family stays and longer-term bookings. Vrbo’s recent ad campaigns have taken aim at Airbnb, with former Expedia CEO Peter Kern praising the efforts to directly target their main competitor. By emphasizing host-free stays, Vrbo is aiming to differentiate itself from Airbnb, which does not always guarantee host-free accommodations. These ads are part of Vrbo’s broader strategy to compete with Airbnb by highlighting its unique offerings and advantages for both hosts and guests.
The focus on longer-term stays and whole-home listings has helped Vrbo attract a specific demographic of travelers looking for extended vacations or group stays. By positioning itself as a platform for families and larger groups seeking a more relaxed vacation experience, Vrbo aims to build a brand that can effectively compete with Airbnb’s global reach and brand recognition. While Airbnb may have a larger market share, Vrbo’s targeted approach to marketing and branding has allowed it to make inroads in the competitive short-term rental market. As the company continues to expand its advertising efforts and target Airbnb directly, it remains to be seen how successful Vrbo will be in building a strong competitor to the industry giant.