According to TechCrunch, Airbnb is piloting a kitchen stocking service with Instacart that lets guests order groceries directly through the Airbnb app before and during their stays. The pilot begins in January 2024 and will be available to select hosts in Phoenix, Orlando, and Los Angeles. Hosts who receive and put away guests’ pre-orders before check-in will receive $25 per order, plus a $100 bonus for their first completed order. Guests can place orders up to three weeks before their stay. This marks the latest addition to Airbnb’s “Services” platform launched in May, which CEO Brian Chesky says could add $1 billion or more in annual revenue.
The bigger picture for Airbnb Services
Here’s the thing – this isn’t just about groceries. Airbnb Services launched back in May with experiences like massages, haircuts, and chef-prepared meals. Now they’re adding grocery delivery through one of the biggest names in that space. Basically, Airbnb wants to become your entire travel platform, not just your accommodation provider.
The host incentive question
So hosts get $25 to receive and put away groceries. That sounds decent until you think about the logistics. What if the order arrives at 10 AM and check-in isn’t until 4 PM? What about perishables? And $25 might not cover the time and hassle for hosts who don’t live near their properties. It’s an interesting experiment, but I wonder how many hosts will actually opt into this beyond that initial $100 bonus.
Where this fits in the travel wars
Look, everyone’s trying to own more of the traveler’s wallet. Hotels have been offering grocery delivery services for years through various partners. But Airbnb’s advantage is that whole “home away from home” experience. Being able to stock your vacation kitchen before you even arrive? That’s a genuine value-add that hotels can’t easily replicate. The question is whether the execution will be smooth enough to make it worthwhile.
That billion-dollar revenue claim
Brian Chesky says Services could add $1 billion or more in annual revenue. That’s ambitious. Grocery delivery margins are notoriously thin, and Airbnb will be taking a cut while Instacart takes theirs while hosts get their $25. But if they can scale this across their millions of listings globally? Suddenly that number starts to look more plausible. It’s all about becoming the platform for everything travel-related, and every additional service makes it harder for guests to consider alternatives.
