Airbnb Stock (ABNB) Travels Higher after Launching New Private Car Pick-Up Perk

Shares in hosting platform Airbnb ABNB +1.03% ▲ were looking more comfortable today after it introduced a new car pick-up service for its guests around the world.

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Private Pick-Ups

The company said it was expanding its Airbnb Services offering with a new category for private car pick-ups with provider Welcome Pickups.

It said, starting today guests in 125 cities around the world will be able to pre-book a private car service between their listing and their point of departure in the Airbnb app.

This follows, the company said, a successful pilot earlier this year, where thousands of guests across Europe and Asia booked the service.

Once a reservation is confirmed, guests can view their booking details and make changes right within the Airbnb app. For arrivals, guests can choose a meet-and-greet option—with a personal welcome from a driver at their arrival location. For departures, guests will get picked up directly at their listing and be taken to their airport or transport hub.

Services Expansion

The company said that it plans to expand this service to more cities and locations throughout the year. Airbnb launched its services category last year alongside an expansion into experiences. At that time, it offered 10 categories of services allowing users to book chefs, catering, prepared meals, photography, massages, spa treatment, personal training, hair, nails, and makeup across eight countries.

In addition, the company back in February said it was launching its “Reserve Now, Pay Later” feature, which lets users secure bookings without having to pay straight away – globally. It also allows users the chance to cancel their bookings if they have a change in their travel plans without losing money upfront.

This is a tricky period for Airbnb and other travel operators because of rising energy and transport costs as a result of the Iran war. It will be hoping that focusing on services and experiences will encourage people to keep travelling despite the headwinds.

It would be a welcome boost to its share price, which has dropped 8% in the year-to-date – see above.

Is ABNB a Good Stock to Buy Now?

On TipRanks, ABNB has a Moderate Buy consensus based on 15 Buy, 12 Hold and 1 Sell ratings. Its highest price target is $180. ABNB stock’s consensus price target is $147.13, implying a 17.87% upside.

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