The popularity of on-demand apps has increased significantly due to the convenience they offer and the value they add to customers lives.
One such vacation rental platform that takes a huge chunk of the market share is Airbnb. It has become a million-dollar venture with 7.7 million property listings displayed by 4 million hosts.
Guests can find the best places to stay, and property owners can earn extra income from renting out their space. Isn’t that profitable?
This accommodation app has become an inspiration for many travel and rental businesses, so if you want to know how to create an Airbnb-like app, then this guide is for you.
Airbnb is an online platform that allows landowners to rent out their accommodations to lodging seekers for short-term rental purposes (a few days duration).
To put it simply, it’s an international web-based platform that connects home seekers (guests) with property owners (hosts) who want to rent out their space.
Since 2008, this rental platform has transformed the way people used to search earlier for short term stays.
It provides hosts a platform to list their properties (a small room or a full apartment), add prices, and select the duration for which the property is available for listing.
For guests, they can choose the relevant property based on location and pricing. Booking a rental through Airbnb is cheaper than booking a traditional hotel.
If you want to ease users in searching, booking, and managing their stays, then developing a similar app like Airbnb can be a game changer for your business.
Warren Buffet once said – cost is the thing you pay for, and value is the thing you get in return. Airbnb works on these 2 things – cost and value.
The business model of Airbnb works in such a way that hosts can rent out their unused or vacant space to someone looking for a short-term stay in return for money. While guests are looking for a perfect home-like stay experience.
Let’s see a quick snapshot of how Airbnb works for booking from travelers perspective-
Let’s see the working of Airbnb from the landlord’s side-
Airbnb employs a commission-based revenue model. It has a good marketing strategy for earning revenue.
It charges 6-12% of the total booking fee from the guest and 3% of the total booking fee from the host. Thus, it’s a win-win for Airbnb as it earns a good amount of revenue from both parties.
To develop an app like Airbnb, you should perform your market research and think from the perspective of target users – property owners and travelers.
To design an Airbnb-like app for guests, here are a few features you should add during your development process
Features | Description |
1. User registration | Allow users to log in to the app using an email address and password. |
2. Login | Provide users with options to log onto the app using Facebook and Google account. |
3. Search | Users can apply search filters based on location, price, availability, check-in/check-out dates, no of guests, etc. |
4. Favourites | Guests can add their favorite accommodations to this list. This helps them find places with ease. |
5. Live chat (in-app communication) | Hosts and guests can do an in-app communication about the property. They can ask for photos/videos of the property. Upon guest check-in, some hosts prefer sending short messages to them. |
6. Profile | Guests can edit their profile and update their personal details such as name, age, sex, etc. |
7. Payments | Guests can complete their transactions hassle-free. As there are multiple payment methods, guests can choose their preferred payment mode. The payment process should be secure and simple for guests. |
8. Request | Once users select the accommodation, they can send a booking request to the host if the accommodation is available for that date. |
9. GPS | The app supports real-time location features to find accommodation that’s situated nearby such as apartments, cafes, or sights. |
Let’s discuss some of the essential features (hosts) you should include while designing a similar app like Airbnb –
Features | Description |
1. Manage their listings | Hosts can manage listings, post photos, and add prices. They can even add or remove listings and update the availability. They can even run ads for the accommodation by mentioning a few details such as type of apartment, price for each night, number of guests, location, etc. |
2. Manage requests | The landlord can approve or decline requests of travelers. They can view the total number of requests travelers made. |
3.Notifications | Regular reminders and announcements are sent to the property owner once the guest makes a reservation request or makes any changes in booking. |
To build a successful Airbnb-like app, you need to follow a few steps as given below-
When building an application like Airbnb, do some thorough market research to validate your business idea.
In the case of Airbnb, they identified its target customers clearly. Ask yourself as to whether you want to cater to people looking for budget-friendly stays or luxury accommodations.
Hop on interviews and focus group sessions with your target customers to find out pain points, challenges, and preferences. This way, you can collect unique insights about them.
Analyze the existing competitor apps and study their strengths, and weaknesses, evaluate their marketing strategies and what services they offer. Taking inspiration from successful players is always a GOOD MOVE.
To build an Airbnb-like app, think about what features and functionalities you would add to make your app stand out.
Start with an MVP version and add minimal yet necessary features (managing bookings, user profiles) in developing a similar app.
Once your app gains traction and you collect user feedback, you can update the final version accordingly. Then, you can expand your app with more advanced features such as integration of AI and ML features.
The designers convert the design idea into prototypes, mockups, and wireframes.
The interface of the app /website design should be intuitive and seamless so that users won’t abandon the app.
A UI/UX that’s visually appealing and easy to use increases user engagement. As a UI/UX design and development agency, we create a design system by choosing colors, defining the typography, and selecting icons. The Figma plugins accelerate the designing process.
The development process of the Airbnb-like app involved deciding the front-end and back-end elements of the app. Front-end developers are responsible for creating engaging user interfaces.
While backend developers will write the code based on design specifications. If you plan to develop an Airbnb-like marketplace, you need a technology stack and infrastructure for front-end development, backend frameworks, programming languages, and databases.
React.js, Vue.js, and Angular.js are considered a good choice for front-end development.
While server-side logic can be implemented using frameworks including Node.js, Python, and Ruby.
But, if you don’t have technical knowledge, you can outsource software developers or hire an in-house developer.
Investing in in-house developers is quite an expensive option for pre-funding startups or the ones who don’t have a Fortune 500 budget. Outsourcing software development is cost effective option for you plus you can control your development process.
After developing the Airbnb-like app, the testing team performs manual and automated testing to detect bugs and see whether the application performance is affected.
Once the app is optimized for performance, developers can make the app live on the App Store or Play Store.
The last stage involved in building an application like Airbnb requires continuous support and maintenance.
As the app gains huge prominence in the market, the number of users also increases, and if you don’t update your app to the latest version or add new features, it will not function effectively.
With the help of analytics tools and data, you can analyze the user’s feedback and tweak the app’s performance accordingly.
Here are the few technologies that are used in developing a similar type of app like Airbnb and you should be aware of such tech stack-
Tech stack | Type of tech stack |
Front end development | Angular, Vue and React js are used for creating engaging and responsive user interfaces. Mobile apps are built using React native and web apps are built using React.js. |
Backend development | Node.js or Ruby on Rails can be used for handling backend side of things. |
Database | Data and listings can be stored in databases such as PostgreSQL, MySQL or MongoDB. |
The cost of building a basic Airbnb-like application costs around $35,000 and $55,000. If you want to develop an application that requires scalable infrastructure and rich features, the development cost might increase to as high as $250,000.
Chris Dukich, founder of Display now says that – The cost of developing an Airbnb like app requires a massive investment.
Even though the minimum development cost can lie somewhere between $50,000 -$250,000 but be ready to bear additional cost as it depends on several factors such as features, infrastructure requirement, or long-time servicing support.
This is just an estimated figure, as the cost of developing a mobile app depends on various factors, which are given below:
The cost of creating an app like Airbnb varies with the type of features you add. If you want to add basic features such as sign-up, user registration, property listings, basic search and filter options, and inbox messaging support, then development costs would be lower.
However, if you plan to integrate advanced features like ratings and reviews, dynamic pricing, personalized recommendations, AR/VR integration, or promotional notifications, the development cost would be higher.
The cost depends on whether you want to develop a native app or a cross-platform app. Creating a native iOS or Android application is the most expensive task as it requires more development time and effort. Though creating a native mobile app isn’t affordable, it’s a feasible choice when it comes to delivering app performance.
Developing a cross-platform app is more affordable as it uses a single codebase to create an app that works across multiple platforms. You can opt for cross-platform if you can compromise on application performance.
Development prices vary depending on the geographic location of developers. Developers in regions such as North America and Western Europe charge more compared to those in Eastern Europe or Asian countries.
Software developers in Asian countries can provide good quality work, comparable to North American developers, but at a fraction of the price due to lower costs of living.
Your app development cost will increase if you opt for ongoing support and maintenance. Mobile app development companies that provide post-launch app support charge more for adding new updates or fixing the bugs if any.
Integration of third-party services (payment gateways, APIs, social media integration, location services, language assistance) enhances user experience but adds to the overall app development cost.
For instance, integration with Google Maps is beneficial when you want to display property locations to guests. Adding such functionality raises the price of your application.
When building an Airbnb-like app, ensure that it complies with security and compliance standards such as PCI compliance for payments.
Adding extra layers of security such as encryption, identity verification, and data protection protocols increases your app development cost.
Your overall app development cost is influenced by your team’s experience.
Hiring a dedicated development team consisting of multiple members such as backend developers, frontend developers, project managers, and UI/UX designers increases costs, especially when they’re highly skilled and reside in high-cost locations.
This million-dollar guide has given you insights on how you can develop a similar Airbnb-like application. Developing an Airbnb app takes days and even months and scaling it to millions of users requires a strategic plan.
An app becomes successful when it’s easy to navigate, accessible by users, can handle increased traffic, and can fulfill the needs of the target audience, which in this case can be managing listings (property owners) and requesting accommodation (guests).
But if you don’t know where to start?
Then collaborating with a travel app development company can be a game changer for you. We know how to create a successful vacation rental platform like Airbnb with all the advanced functionalities you need to succeed in a competitive landscape.
The business model of Airbnb follows a value chain approach where hosts provide value to guests in return for a fee. Guests pay the hosts for the experience they enjoy.
Here’s how it works for hosts:
Here’s how it works for travelers:
You can develop an Airbnb-like app by following these steps:
Building a similar app to Airbnb takes approximately 6 months to a year. The timeline may vary depending on:
The cost of developing a basic version of an Airbnb-like app ranges between $35,000 and $55,000. If you need an advanced app with AI/ML integration or additional functionalities or features, the price will increase.
To know the exact price of creating a similar app, schedule a free 30-minute discovery call with our experts. We’d love to help you out.