Travel on Airbnb generated $85B in economic activity in the US

Key Takeaways

• Hosts on Airbnb helped support approximately one million US jobs.
• Airbnb guests generated more than $80B in visitor spending.
• Guest spending generated more than $24B in taxes for governments.

In 2023, Airbnb guests traveled to more than 100,000 cities and towns around the world making it the most dispersed year of travel ever on the platform. In the US, nearly 600 cities and towns welcomed their first guest, demonstrating that travel on Airbnb continues to be a popular way for people to experience new places. Airbnb helps support travel that is good for Hosts, guests and communities that want to benefit from tourism: 

• Hosts keep the vast majority of what they charge for their listing and help keep that money in their local communities.
• Listings are located in a wide range of neighborhoods including those that historically have not reaped the economic benefits from tourism. 
• Guests can use Airbnb to find affordable accommodation options, often with more amenities than hotels offer, and stay in neighborhoods where their spending helps support local restaurants and small businesses

Home sharing is a net benefit to communities and we are proud to share the results of a newly released economic analysis which estimates that travel on Airbnb generated more than $85 billion in economic impact across the US in 2023.¹ In addition, for every $100 spent on an Airbnb stay, guests spent about $264 on other goods and services such as local businesses, restaurants, attractions, shops, and more. This economic activity helps to create an additional income stream for Hosts, fuel visitor spending in communities, support jobs across multiple industries, and contribute substantial tax revenue for local governments. 

The report uses insights from IMPLAN Cloud, a software that combines data and analytics, to better understand how home sharing supports economic activity in communities across the US. The analysis looked at direct spending from Airbnb guests, as well as the indirect and induced effects from visitor spending in 2023. Below is a summary of the key findings. 

Travel on Airbnb supported one million jobs

In 2023, 87 percent of Hosts in the US reported they ​​recommend restaurants, shops and other local attractions located in the neighborhood of their listing to guests.² By welcoming guests who then patronize local businesses, Hosts on Airbnb helped support approximately one million US jobs last year across multiple sectors, including restaurants, arts and entertainment, retail, and more. These jobs generated an estimated $50 billion in income for workers in key industries,³ and with many Airbnb listings located in areas without hotels, this income benefits people in communities outside traditional tourism hubs. 

Guests on Airbnb generated $80B in local spending

In 2023, guests on Airbnb reported they spent an estimated $210 per day during their trip⁴ and approximately 40 percent of their spending was in the neighborhood of their listing.⁵ In total, guests who traveled on Airbnb generated more than $80 billion in visitor spending last year by supporting local small businesses, restaurants, transportation and other establishments. 

Guest spending also generated more than $24 billion in taxes, including more than $2.2 billion in tourism related taxes collected and remitted by Airbnb on behalf of Hosts.⁶ Since 2014, Airbnb has worked with cities and towns around the world to help Hosts pay their fair share of tourism taxes and support a vital source of funding for local governments. 

Hosts earned more than $24B in supplemental income

Across the U.S. Hosts rely on the income from home sharing to help make ends meet, save for retirement, or pay for improvements to their home. Last year, Hosts in the US earned more than $24 billion and the typical Host earned an estimated $14,000 by welcoming visitors to their community.⁷ According to internal Airbnb survey data, this supplemental income is a lifeline for many Hosts:⁸

• 65% of US hosts say they plan to use earnings to cover the heightened cost of living
• 43% of US hosts say the income earned has helped them stay in their homes
• 11% of US Hosts say hosting on Airbnb helped them avoid eviction or foreclosure 

A state-by-state breakdown of economic impact

The economic analysis also yielded interesting insights about guest spending habits in various states, including: 

• Guests who traveled to Florida spent the most money on restaurants (nearly $5 billion in 2023) 
• Guests who traveled to Nevada spent the most per person on entertainment (nearly $200)⁹ 
• Guests who traveled to Hawaii spent the most per person on transportation (more than $200)¹⁰ 

Methodology

The analysis was generated using the IMPLAN calculation process to estimate the economic impact of Airbnb in the US, both in the aggregate and for each state. For this project, the model integrates Airbnb Host earnings and guest spending, which is based on a survey of guests who booked a listing through Airbnb and stayed in the US in 2023. The model includes direct, indirect and induced economic contribution as defined below: 

• Direct Economic Effects: refers to the immediate effects of an economic activity. In the context of tourism, direct economic impact refers to spending by tourists on goods and services such as accommodation, meals, transportation, attractions, and souvenirs. 
• Indirect Economic Effects: refers to the secondary effects generated by the initial spending in related industries that supply goods and services to the primary industry. These industries provide inputs or support services necessary for the functioning of the primary industry.
• Induced Economic Effects: refers to the tertiary effects resulting from the increased household spending by employees in the directly and indirectly affected industries. This includes the spending of wages earned by employees in restaurants and other establishments as a result of guests’ and hosts’ economic activity.
• Total Economic Contribution to GDP: Number of full-time, part-time and seasonal jobs supported by the output generated by Airbnb activity. This metric includes direct, indirect, and induced effects.
• Total Jobs Supported: Number of full-time, part-time and seasonal jobs supported by the output generated by Airbnb activity. This metric includes direct, indirect, and induced effects.
• Total Tax Revenue: This includes the total value of taxes associated with (i) hosts’ income and spending and the economic activity stemming from guests visiting local businesses, and (ii) tourism taxes directly associated with hosting remitted by Airbnb.

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¹Estimated economic impact based on an internal analysis using the IMPLAN economic impact model which assesses direct, indirect and induced economic activity.
²According to an internal survey of Hosts in the US from January 1, 2023 to December 31, 2023.
³Excludes income earned through hosting.
⁴Internal survey of guests in the US from January 1, 2023 to December 31, 2023.
⁵Internal survey of guests in the US from January 1, 2023 to December 31, 2023.
⁶Estimated taxes associated with economic activity generated by Airbnb stays. More information provided in the Methodology section.
⁷According to internal Airbnb data. Typical refers to median.
⁸Internal survey of guests in the US from January 1, 2023 to December 31, 2023.
⁹Average spent by person per trip.
¹⁰Internal survey of guests in the US from January 1, 2023 to December 31, 2023.

About Airbnb 

Airbnb was born in 2007 when two Hosts welcomed three guests to their San Francisco home, and has since grown to over 5 million Hosts who have welcomed over 1.5 billion guest arrivals in almost every country across the globe. Every day, Hosts offer unique stays and experiences that make it possible for guests to connect with communities in a more authentic way.

 

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