On Tuesday, Airbnb (NASDAQ:ABNB) announced a substantial donation of $10 million to over 120 nonprofits spanning 44 countries on six continents. This latest contribution is part of Airbnb’s distinctive approach to distributing $100 million through its Airbnb Community Fund.
The recipients of these grants encompass a diverse range of organizations, such as Digify Africa, aiding youth participation in Africa’s digital economy, the Japanese Service Dog Resource Center, and the Atlanta Habitat for Humanity. Notably, the selection of these groups was not carried out by Airbnb or its staff but by the hosts who list their properties on the platform.
In a departure from the conventional philanthropic decision-making process, where corporate executives or employees typically have a say, Airbnb has empowered its hosts to influence the distribution of funds. While some corporations involve employees in philanthropy decisions by matching their donations, Airbnb has taken a unique step by relinquishing control of funds to external groups.
Janaye Ingram, Airbnb’s Director of Community Partner Programs and Engagement, highlighted the company’s modern perspective, stating, “Airbnb has a 21st-century company view. We want to do things that benefit all of our stakeholders — our employees, our hosts, our guests, the communities in which we operate, and our shareholders. Partnering with our host community is a really important way for us to share our success with them.”
The donation comes at a time when Airbnb reported earnings of $4.37 billion in the third quarter of 2023, including a substantial one-time tax benefit. By supporting nonprofits valued by their hosts, Airbnb aims to channel more funding to organizations that contribute to the strength of local communities.
This initiative not only fosters a stronger bond between the company and its hosts but also addresses the occasionally contentious relationship Airbnb has with municipalities where it operates. By involving hosts in the decision-making process, Airbnb seeks to strengthen its ties with the communities it serves.
Brian Chesky, Airbnb CEO, has expressed his willingness to engage with government officials, even in challenging meetings, emphasizing the importance of listening and seeking to understand perspectives. As of now, approximately 90% of the top 200 markets where Airbnb operates have regulations governing short-term rentals.
Nadia Giordani, an Atlanta-based Airbnb host and member of the Airbnb Host Advisory Board, sees this as an “amazing opportunity” to contribute to the community. The Advisory Board, established in 2020, plays a role in shaping policies and programs. Recommendations for nonprofits were solicited from Airbnb Host Club leaders worldwide.
The increased community outreach by Airbnb follows the racial reckoning in the aftermath of George Floyd’s murder in 2020. The company sought input from hosts about their experiences on the platform and their businesses. Airbnb host Nadia Giordani, already active in local charities, appreciates the opportunity to influence where the company donates in her community.
Giordani emphasizes the importance of being stewards of the community, recognizing the significant impact individuals can have when united. According to nonprofit Chief Executives for Corporate Purpose, coordinating the interests of various stakeholders, as Airbnb is doing, can magnify donor impact. While Airbnb already has its own foundation, Airbnb.org, focusing on shelter provision for those displaced by disasters or war, the Airbnb Community Fund operates independently, ensuring communities’ specific needs are met.
Featured Image: Megapixl
