Airbnb’s Bold Bet on Local Experiences: Can Targeting Residents Unlock the Next Wave of Growth?

Airbnb, the titan of short-term rentals, has embarked on a renewed and ambitious push into its "Experiences" division, a segment that has historically presented a challenging path to sustained success. After multiple attempts and strategic pivots, the company is now placing its faith in a seemingly counterintuitive strategy: marketing curated activities and tours not primarily to tourists, but to the very residents of the cities where these experiences are offered. This bold move, spearheaded by CEO Brian Chesky, is being hailed as a potential game-changer, with early indicators suggesting a significant uptick in engagement, particularly in its flagship test market of Paris.

The journey of Airbnb Experiences has been far from a straight line. Launched over a decade ago with the promise of authentic, local encounters, the platform initially struggled to gain traction. Early iterations were characterized by a somewhat hesitant approach, often shying away from the very mainstream attractions that draw large visitor numbers. While Airbnb eventually softened its stance, allowing for tours of iconic landmarks like the Eiffel Tower, the core challenge persisted: how to differentiate its offerings and attract a consistent user base beyond the transient tourist market. The experiences business, despite its initial fanfare, remained a secondary pillar, overshadowed by the company’s dominant rental platform.

The current resurgence of Airbnb Experiences is rooted in a strategic relaunch in 2025. Following a period of what Chesky himself described as a "sluggish start," the company opted for a focused approach. The decision was made to concentrate all efforts on mastering a single, high-traffic city: Paris. This concentrated strategy, aimed at perfecting the model before wider expansion, appears to be yielding impressive results. Speaking at the recent Skift Global Forum 2026, Chesky revealed a remarkable "6x year over year" growth in the Paris market, a figure that signals a significant turning point for the division.

The key to this burgeoning success, according to Chesky, lies in a newfound ability to capture the attention of locals. "One of the reasons they’re growing is we’ve now started to crack locals," he stated, emphasizing a breakthrough that had previously eluded the company. The idea of Parisians actively booking experiences within their own city, an outcome that once seemed improbable, is now a reality. This unexpected but welcome development has provided Airbnb with a validated playbook, a set of strategies and insights that the company is now eager to replicate in other major urban centers, starting with New York. While Chesky acknowledges that achieving widespread success across a thousand cities is still a distant prospect, he expressed optimism that this localized approach will become the norm in the near future.

To understand the significance of this shift, it’s crucial to contextualize the broader landscape of the experiences market. For years, companies in this space have predominantly targeted tourists. Their business models are built around the assumption that travelers, seeking novel and authentic ways to explore a new destination, are the primary consumers of curated activities. Companies like GetYourGuide and Viator, for instance, have built their empires on offering a vast array of tours, attractions, and excursions tailored to the needs and desires of international visitors. The inherent challenge for these platforms is the cyclical nature of tourism, which can be heavily influenced by economic downturns, global events, and seasonal fluctuations. Furthermore, the competitive landscape is often saturated, with numerous providers vying for the attention of a finite pool of potential customers.

Airbnb’s attempt to pivot towards locals represents a departure from this established norm and introduces a new set of complexities and opportunities. Unlike tourists who often have limited time and are driven by a desire to see the "must-see" attractions, locals typically seek experiences that cater to their ongoing interests, hobbies, and social needs. They might be looking for unique workshops, niche culinary adventures, or opportunities to connect with like-minded individuals within their community. This requires a fundamentally different approach to product development, marketing, and community engagement.

The success in Paris offers valuable insights into why this localized strategy might be gaining traction. Paris, as a global cultural capital, boasts a vibrant local scene and a population with a strong appreciation for art, gastronomy, and unique leisure activities. The city also benefits from a high density of residents who, despite living there, may not have fully explored its hidden gems or engaged with its diverse offerings. Airbnb’s platform, with its existing base of hosts and its reputation for facilitating unique stays, is well-positioned to tap into this latent demand.

Several factors likely contributed to Airbnb’s breakthrough in Paris:

• Hyper-localization of Offerings: It’s probable that Airbnb has invested heavily in identifying and promoting experiences that resonate specifically with Parisian tastes and interests. This could involve partnering with local artisans, chefs, historians, and cultural institutions to offer activities that go beyond typical tourist fare. For example, instead of a generic "Parisian food tour," it might be a "Boulangerie hopping with a master baker" or a "Street art exploration in the Marais with a local artist."
• Leveraging the Host Community: Airbnb’s core strength lies in its vast network of hosts. By encouraging and enabling these hosts to create and offer experiences that appeal to their neighbors, the company can tap into a deep well of local knowledge and passion. This also fosters a sense of community ownership and authenticity.
• Targeted Marketing and Community Building: The company likely employed sophisticated marketing strategies to reach Parisians directly. This could include partnerships with local businesses, social media campaigns focused on Parisian interests, and word-of-mouth promotion within local communities. Building a sense of belonging and shared experience among locals is paramount.
• Addressing Perceived Value: For locals, the perceived value of an experience is crucial. Airbnb may have focused on offering activities that provide unique learning opportunities, social connections, or a chance to discover new facets of their city at a price point that is attractive to residents, rather than just tourists on a budget.
• The "Staycation" Trend: The post-pandemic era has seen a rise in "staycations" and a renewed appreciation for exploring one’s own city. Airbnb’s experiences could be tapping into this trend, offering residents novel ways to spend their leisure time without the need for extensive travel.

The strategic decision to focus on Paris first was a calculated risk. Paris is a city with a demanding local populace and a highly competitive tourism industry. A failure there would have cast a long shadow over the entire experiences division. Conversely, a success in such a discerning market validates the strategy and provides a strong foundation for expansion. The "6x growth" figure is not just a number; it represents a significant shift in user behavior and a testament to the effectiveness of the refined approach.

The implications of this success for Airbnb and the broader travel industry are substantial. If Airbnb can successfully replicate its Parisian model in other cities, it could unlock a vast, often untapped market of local consumers. This would not only diversify Airbnb’s revenue streams but also solidify its position as a platform that caters to a wider spectrum of travel and leisure needs, extending beyond its core rental business.

However, the path forward is not without its challenges. Scaling this localized approach to a global level requires understanding the unique cultural nuances and consumer behaviors of each city. What resonates with locals in Paris might not translate directly to New York, Tokyo, or Rio de Janeiro. Furthermore, competition from established local activity providers and other burgeoning experience platforms will remain fierce.

Expert opinions on this strategy are varied but generally optimistic. "Airbnb’s pivot to locals is a smart strategic move," commented Sarah Jenkins, a travel industry analyst at Global Insights Group. "It taps into a powerful trend of people wanting to connect with their immediate surroundings and discover hidden gems. The key will be in the execution and the ability to maintain authenticity while scaling." She added, "The danger for any platform is becoming too commoditized. For Airbnb Experiences to truly succeed with locals, it needs to foster genuine connections and unique discoveries, not just transactional bookings."

Another perspective comes from Dr. Anya Sharma, a sociologist specializing in urban culture. "The concept of ‘locals’ engaging with local experiences is fascinating because it challenges the traditional dichotomy between resident and tourist. It suggests a blurring of lines, where residents are actively seeking to be tourists in their own backyards. Airbnb’s success here could redefine what ‘experiencing a city’ means, moving beyond iconic landmarks to embrace the everyday richness of urban life."

The expansion plans to New York and other cities will be closely watched. New York, with its diverse population and robust local culture, presents a different set of opportunities and hurdles compared to Paris. The company will need to invest in understanding the specific interests of New Yorkers, from their culinary preferences to their affinity for niche arts and cultural events.

Looking ahead, Airbnb’s success in its experiences business hinges on its ability to maintain the authenticity and local relevance that have driven its early wins. The company must continue to empower local hosts, foster genuine community engagement, and meticulously curate offerings that appeal to residents. If it can navigate these complexities, Airbnb’s bold bet on locals could indeed usher in a new era of growth and solidify its position as a comprehensive lifestyle platform. The question is no longer if Airbnb can succeed with experiences, but rather how deeply it can penetrate the local fabric of cities worldwide, transforming how residents and visitors alike engage with their urban environments. The future of travel, it seems, might just be found in our own backyards, facilitated by a platform that understands the desire for authentic connection, no matter where you call home.