They work in almost the same way. People can find a room in most places around the globe. Airbnb and VRBO are two such companies.
Airbnb vs Vrbo
The difference between Airbnb and Vrbo is that Airbnb has more listed spaces in comparison with VRBO. These companies are working in almost the same pattern. Due to which, it seems there is no difference between them. However, they have many differences, such as foundation, rental types, rates, and fees.
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This platform can be accessed through the online website or mobile app for Airbnb. The company does not own any of the listed properties.
Vrbo is a company based in America that is also an online platform for lodging, stay, vacation, tourism, and rental spaces. HomeAway later acquired the company.
Comparison Table
| Parameters of Comparison | Airbnb | Vrbo |
|---|---|---|
| Founded | Airbnb is comparatively younger, as it was founded in 2008. Its full name is Air Bed & Breakfast. | VRBO is comparatively a very old company founded in 1995. Its full name was Vacation Rental by Owner. |
| Rental Types | On Airbnb, users are allowed to put shared spaces on rent. | Their focus is exclusively restricted to private homeowners. This is why users are not allowed to put shared spaces on rent. |
| Host Network | It currently has more than 5.6 million rentals in 100,000 cities across 220 countries and regions. | It currently has more than 2 million rentals worldwide. |
| Host Commission rates | The host commission rate for owners is 3% on Airbnb. | The host commission rate for owners is 5%, along with a 3% credit card processing fee on VRBO. |
| Service Fees | Typically the service fee charges are below 14.2%. In many cases, it can also be 16%. | Typically the service fee charges are between 6% to 15%. |
What is Airbnb?
Airbnb, short for AirBedandBreakfast, refers to an online platform that acts as a marketplace for rental spaces for the purpose of lodging, staycation, and vacation. The rental spaces are diverse that include rooms, hotels, and resorts.
The one factor which differentiates it from the other sites is that it allows owners to list shared spaces. For example: If A and B share an apartment of 3 bedrooms and want to give the third room for rental purposes, they can.
What is Vrbo?
Vrbo ( originally Vacation Rentals by Owner) refers to a company based in America that is an online platform for vacation rental spaces. It was primarily a place for homeowners to list their places on a short-term basis.
Even here, the company does not own any rental space. The company makes a profit on the basis of the bookings. And the owner of the rental space lists the space for rent on the platform and earns a commission from the booking.
Main Differences Between Airbnb and Vrbo
- The host commission rate for owners is 3% on Airbnb. The host commission rate for owners is 5%, along with a 3% credit card processing fee on VRBO.
- Typically the service fee charges are below 14.2% on Airbnb. In many cases, it can also be 16%. Typically the service fee charges are between 6% to 15% on Vrbo.
- https://www.tandfonline.com/doi/abs/10.1080/13683500.2019.1711027
- https://link.springer.com/chapter/10.1007/978-981-16-2952-5_1
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Chara Yadav holds MBA in Finance. Her goal is to simplify finance-related topics. She has worked in finance for about 25 years. She has held multiple finance and banking classes for business schools and communities. Read more at her bio page.
