French hoteliers are protesting against the new partnership between the International Olympic Committee (IOC) and Airbnb, which they describe as unfair.
IOC President Thomas Bach (left) and Airbnb co-founder Joe Gebbia announce that Airbnb is a premier partner … [+]
IOC and Airbnb partnership offers ‘guaranteed’ accommodation at Olympic events
At upcoming Olympic events – Tokyo 2020, Beijing 2022, Paris 2024, Milan 2026, Los Angeles 2028 – Airbnb will offer “guaranteed” accommodation as part of an agreement would be worth $500 million by the FinancialTimesalthough the actual value was not disclosed.
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Forbes reported that this move is in line with Airbnb’s current strategy to become a key partner in large-scale events, where building hotels to accommodate millions of people for a few weeks is impractical. It’s a timely move for Airbnb – worth $31 billion – which in September announced plans to launch an IPO.
Airbnb headquarters in Paris
French hoteliers reacted angrily
France is hosting the 2024 Olympics in Paris and its hoteliers aren’t happy that Airbnb got such status. UMIH (Union des Métiers et des Industries de l’Hôtellerie), the main organization representing Parisian hotels and restaurants, issued a public statement castigating the decision.
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Quoted in a French economic journal The echoes, UMIH president Roland Héguy, who was at his annual conference in Biarritz, called the partnership “disrespectful to hospitality professionals” on Twitter and said his organization “was surprised”.
French hoteliers said they would no longer be involved in Olympic planning
In a joint statement, the president of the National Group of Hotel Chains (CNG), Jean-Virgile Crance, and the president of the UMIH Hotels division, Laurent Duc, the two organizations described the partnership as “inappropriate” and called it outrageous. making Airbnb an IOC partner as he advocated deregulation around the world.
Laurent Duc said UMIH members have already reserved 40,000 rooms for athletes and spectators, making the Airbnb partnership unnecessary. In response to the announcement, the UMIH will suspend its participation in the preparation meetings for the Paris Olympics.
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Roland Heguy (C), president of the UMIH, Jacques Barre (L), responsible for the organization of French hotel chains … [+]
The partnership puts additional pressure on the relationship between Airbnb and the Paris City Hall
A key tenet of the 9-year partnership between Airbnb and the IOC is that it provides Airbnb with key advertising opportunities in cities where Olympic events take place.
This would aggravate the already strained relationship between Airbnb and the Paris City Hall, who fights the sharing platform for its role in raising rents, the lack of affordable housing and allowing people to flout municipal taxes.
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Airbnb and UMIH have both been contacted for comment.
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