Airbnb is a Unicorn with no patents

Airbnb is a website that users are able to list, find, and rent properties. It has greatly expanded since its founding in 2008, and currently has 1,500,000 listings in 34,000 cities and 190 countries. Airbnb is headquartered in San Francisco, and was able to use the hot real estate market in the Bay Area to jumpstart their business. Airbnb built their brand loyalty and community on trust. The site has a spot for profiles and reviews as well as an integrated smart messaging system that enables hosts and guest to talk with confidence as well as collect and transfer payments securely.

Airbnb is a unicorn and has no patents registered to the USPTO, but is in the process of patenting 5 of their leading technologies that make their service unique and better than competitors. VRBO and Homeaway are the two single biggest competitors of Airbnb. Homeaway is a publicly traded company on the NASDAQ and operates with a different business model than Airbnb. They have 40 websites in 22 languages to reach their broad customer base. Homeaway has two different products, the basic ad with runs for $349 and the premium edition, which starts at $1,000. The big difference between Homeaway and Airbnb is the payment structure. Airbnb collects a commission when the vacation rental is booked, as opposed to these other sites that charge the fee up front for advertising. This is where I believe Airbnb has the advantage, and will be very successful in blocking competitors by patenting their unique way of processing vacation rental transactions. I also think that they have a lot of potential in building up a patent portfolio for their mobile app, which is extremely convenient to make reservations when on the go.

Airbnb has been active in the mergers and acquisitions space, trying to acquire vacation rental services in foreign markets. I look forward to seeing how Airbnb goes from a unicorn to one of the biggest providers of travel accommodations. Its truly amazing how a company who owns no real estate could become a leader in its industry and one of the most valuable companies in the space.