BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

In 2007, I hosted three people at my apartment in San Francisco for a design conference, and that unique experience made me realize we were onto something with the idea for Airbnb.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

After struggling for a year to get the Airbnb marketplace going, we decided to apply to Y Combinator in the fall of 2008 as a last-ditch effort.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

During Y Combinator, we committed to a consistent schedule, waking up at 8 a.m., working hard, and meeting every Sunday to recap our progress, which helped us stay organized and focused.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

Paul Graham advised us to be 'Ramen profitable,' meaning we needed to make enough money to cover our basic living expenses, which we tracked by putting a revenue graph on our bathroom mirror.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

We built a network of photographers to improve the quality of listings, recognizing that high-quality photos could significantly enhance the attractiveness of properties on Airbnb.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

We were the first site to allow users to book accommodations and pay online through the app, which was a significant innovation at the time.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

The vacation rental industry is a $40 billion market, which we didn't fully understand until we received insights from investors who studied the market.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

Initially, we positioned Airbnb as a cheaper alternative to hotels, targeting those who couldn't afford traditional accommodations, rather than as a direct hotel replacement.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

We realized that describing a specific person, like a PhD student, made the idea of hosting less intimidating, which helped us build a system of trust between hosts and guests.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

As young founders, our naivety allowed us to explore ideas without preconceived notions, leading us to discover the unique experience that Airbnb could offer. When we started Airbnb, we were in a very different position compared to Uber; the founders of Uber were already wealthy, while we were just trying to survive.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

I didn't have a passion for traveling; my passion was for hosting people and creating connections, which is the core of Airbnb's ideology.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

Airbnb is not just a travel company; we focus on community and connection, rather than traditional tourism.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

A pivotal moment for Airbnb was realizing that hosts didn't need to be present for guests to rent an entire apartment, which expanded our business model significantly.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

The transition from air beds to allowing entire homes to be rented was crucial for Airbnb's growth, transforming it from a niche idea to a billion-dollar company.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

During the pandemic, we lost 80% of our business in just eight weeks, which was a shocking and challenging experience for Airbnb.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

I believe that a crisis is a defining moment for a leader; it’s an opportunity to show resilience and creativity in the face of adversity.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

In a crisis, the hardest thing to manage is your own psychology; it's essential to maintain confidence and optimism to inspire your team.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

I emphasized open communication during the crisis, holding weekly all-hands meetings to keep everyone informed and engaged.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

In a crisis, you must make principle-based decisions rather than data-driven ones, as the situation often lacks clear data.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

We had to make tough decisions during the pandemic, including layoffs, but I aimed to do it with compassion and transparency.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

In a crisis, you have the chance to be bold and exceed expectations; it's a moment to rally your team around shared principles and vision.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

I encouraged employees to embrace the challenge of the crisis as a chance to redefine their ownership and commitment to Airbnb's mission.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

When you're small, the strategies that help you move fast can slow you down later. For example, subdividing a company into many divisions can create a culture where everyone does everything, but it can lead to chaos and lack of direction.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

People often want constraints and to row in the same direction. After studying Apple, I realized that a functional structure, rather than a divisional one, can create a cohesive team that works together towards a common goal.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

I believe in reviewing everything before it ships. I conduct regular reviews to ensure that nothing goes out without my approval, which helps maintain a unified vision and direction for the company.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

I ran Airbnb like a hardware startup, focusing on efficiency and discipline. This approach has proven beneficial for software development, as it encourages thoughtful decision-making and accountability.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

I never aimed for profitability; I aimed for efficiency. We kept our headcount flat and focused on creating a fun work environment, which allowed us to move quickly and effectively.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

During the pandemic, we faced significant challenges, but we emerged stronger. We learned to focus on efficiency and maintain a startup mentality, which helped us navigate the crisis successfully.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

Leadership is about presence, not absence. Many leaders mistakenly think that empowering employees means stepping back, but true empowerment comes from being actively involved and leading by example.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

In a crisis, things may slow down initially, but if you take a moment to breathe and trust your intuition, clarity will come. The key is to keep moving forward and not give up.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

I find more energy and enjoyment in my role as a public company CEO than I did as a startup founder. The team I work with now allows us to create and innovate together, free from corporate bureaucracy.

BC

Brian Chesky

06/02/24

@ The Social Radars Podcast

The best way to maintain balance in a challenging environment is to keep moving. Entrepreneurs often freeze in fear, but progress comes from action and trusting your instincts.

The Social Radars S2 Ep.1: Brian Chesky, Co-Founder & CEO, Airbnb w YC Co-Founder Jessica Livingston

Takeaways