Just in time for summer, a rivalry between vacation-rental companies is brewing.
Last month, Vrbo crowned itself the “hotter, cooler, friendlier” platform with a billboard teasing rival Airbnb. Vrbo put the billboard right outside Airbnb’s San Francisco headquarters.
Now Savvy, a brand-new vacation rental company, is taking a shot at both of its much-bigger rivals.
Savvy placed a billboard close to Vrbo’s Austin headquarters to drive home its “no-fee” model, mimicking Vrbo’s own playbook for poking fun at Airbnb.
Savvy — an Austin-based startup with 13 employees that launched in February — promises no fees for hosts to list their properties for rent or for guests to book with them.
“As the new kid on the block, we thought it would be fun,” Savvy founder Eric Goldreyer told Business Insider.
Goldreyer thought focusing on fees was a way to seize upon common customer gripes about Airbnb and Vrbo.
“What customers really care about is saving money on their stay,” he said.
Airbnb called Vrbo’s original sign “desperate,” though Airbnb CEO Brian Chesky did post a laughing emoji on Instagram in response to it. Airbnb and Vrbo both declined to comment on Savvy’s billboard.
Savvy has 150,000 properties across US, Canada, Mexico, Goldreyer said.
It has a long way to go before catching up with its competitors. In 2024, Airbnb said it had 7.7 million listings around the world, while Vrbo said it had more than 2 million.
Savvy is trying to draw attention to its no-fee model
Fees on Airbnb have been a sticking point for guests and hosts over the years, with some saying rising costs made them quit booking via the platform altogether. Airbnb has gone to extra lengths to make sure guests can easily see the total price of a stay including cleaning fees and taxes.
Airbnb primarily uses a split-fee model, where the most common arrangement is a 3% service fee for hosts and a fee around 14% for guests. Vrbo charges hosts a 5% fee and guests up to 20%.
Hosts list their properties for free on Savvy, and guests don’t incur booking fees, Goldreyer said.
However, hosts can choose to pay for a subscription that boosts how prominently their home is featured on Savvy. Current subscription packages range from $5 to $20 a month, Goldreyer said.
Savvy is primarily targeting larger-scale rental operators to grow its listing base.
The platform only registers professional short-term-rental hosts who have at least five properties and use formal booking software, among other requirements.
Goldreyer said Savvy wants a consistent experience for guests.
“We don’t want people that host as their side hustle,” he explained. “We want to know if our guest gets there at 11 p.m. and the Bluetooth lock goes out, there’s a professional they can call.”
The post A little-known vacation-rental company poked fun at Airbnb with a pointed billboard appeared first on Business Insider.
