Whilst those tensions were initially contained between the arguments of what is fair or what is not regulated, they were always going to arrive on some politician’s or town council’s in-tray.

In the past I have been asked to comment in the media on what Consumers should look out for if contracting with an Airbnb homeowner.

This has always been a limited discussion on Consumer rights; who are you contracting with - what can you do if things go wrong - what are the routes to a resolution in the event of a dispute and so on

But, the real question on what a Consumer buys must always come down to a question of quality & safety. A trawl through various Airbnb properties reveals plenty about location and facilities, but it is difficult for example to detect direct information about liability insurance, fire or carbon monoxide safety, electrical certification, in fact anything that could affect your personal safety does not appear to feature heavily in the descriptive material; so no difference then between this and the ‘Traditional’ Travel Industry!

Tensions are now manifest through the actions of cities around the world, placing restrictions on individuals renting their properties through this ‘peoples’ portal. Lost opportunities in the domestic rental market, tax, planning permission and regulation seem to be uppermost within the minds of regulators and prosecutors.

In this operational nightmare, Airbnb has cited an interference in its ability to trade under US Law and any restrictions on them should be viewed as unconstitutional; liberty it seems is not confined to the individual. 

This is a titanic struggle between a regulatory environment more suited toward a traditional travel industry model, against a portal which has innovated and energised a market that believes that it is already ‘dynamic’.

What is interesting however is how Airbnb intends to tackle this onslaught to its principal business model and importantly, those that support its concept. Consumer activism is the key; Airbnb are developing a cause célèbre through the the creation of home-sharing clubs with its home-owners. Whilst the UK is lagging behind, mainland Europe and the United States have active club networks which are perceived to be a ‘voice against the powerful’. Clubs are clearly provided with ‘support’ & ‘infrastructure’ from Airbnb who see these groups as presenting a strong ‘advocacy’ role against a potentially rampant anti-libertarian agenda.

It is an audacious plan; a large multi-national company, operating across invisible digital borders enlisting their own brand of storm-trooper. In fairness to Airbnb they envisage these clubs as primarily being a support network for home-owners which presumably could bring advantages not just in mutual property management savings but in providing an understanding of marketing, consumer data and business management. But the audacity is found in a Corporation, with a clear commercial ideology, joining forces with individuals who are simply trying to earn some money; it is the corollary found in the very roots of Consumer Activism.

There is in my view however one caveat. Through the power of the digital market, ordinary Consumers clearly equate with another ‘ordinary’ Consumer, who are simply letting their room out to supplement their income, but, what will happen to that Consumer ‘unity’, when something goes wrong? What if an Airbnb ‘property’ suffers a fire or carbon monoxide incident resulting in injury or worse, a death; will that bond between like-minded Consumers prevail? Will it be sufficient for the supporting Corporation to maintain their ‘facilitator’ role where failure in health & safety is evident particularly where that Corporation now operates a supportive role for its home-owners?

In many respects, the Regulatory Authorities are right to expect that those operating a product, in return for payment, comply with safety or other regulatory mechanisms. But whilst the old Travel Industry may quietly rejoice in Airbnb’s discomfort, it too is missing the point; whilst Consumers will always be attracted to a novel concept or that low price, there will always be some serious index point when all such considerations will vanish in the cold eye of scrutiny. Whether you are a traditional or digital travel company, failure to recognise this simple truth will not shield you from the fury of Consumer condemnation - no cause célèbre will protect any Corporation or those that support it from such a close analysis of its activities; all should reflect on what happened to Thomas Cook in the face of the Corfu Carbon Monoxide inquest!

Whilst Airbnb and their home-owners enjoy their collective euphoria, it needs to re-examine the rationale behind its Corporate/Citizen activism. I would suggest that rather than fixate on the current anti-Airbnb sentiment, they need to take this ‘activism’ concept a stage further and embrace Regulation, Safety and a Requirement of Information for the benefit of its ultimate Consumers. This brave new world of libertarian partnership could potentially work opposite to what Consumers really want; a safe holiday in a safe property - this is an opportunity to truly revolutionise the holiday market and leave the old world of travel behind!

Frank Brehany – All Rights Reserved © 2016 (First Published on 27/11/16)