Airbnb accurately captured this demand. Seoul grew to become the only Asian city among the world’s top 10 cities by Airbnb stays last year.
Efforts Toward Regulatory Reform
In September 2025, Airbnb made an important decision in the Korean market. Starting October 16, they would mandate business registration for all listings and remove unregistered listings from the platform starting January 2026. Kayeon Seo, Airbnb Korea Country Manager, stated, “Although not legally required for platforms, we voluntarily implemented this to strengthen trust in Korean society.”
This self-regulation meant short-term reduction in listings, but was a strategic choice for Airbnb to establish legitimate roots in Korea. Simultaneously, Airbnb sent a message to the government requesting “modernization of unrealistic domestic sharing accommodation regulations to match global standards.”
Currently, Korea’s sharing accommodation regulations are rigid with resident occupation requirements and building type restrictions. However, foreign tourists visiting Korea continue to increase with the popularity of K-pop and K-dramas. What they want isn’t standardized hotels, but hanoks, Hongdae apartments, and Jeju stone houses where they can experience Korean daily life.
Airbnb is now positioning itself in Korea beyond “an alternative to hotels” as “a new way to experience Korea.” For both Korea’s tourism industry and Airbnb to grow, reasonable regulatory frameworks suited to the times are needed.
Lessons for Global Service Brands
Airbnb’s success offers clear lessons for global service companies.
Turn Customers into Marketers: Airbnb got millions of customers to voluntarily spread brand stories without spending on advertising. UGC has higher credibility than any advertisement.
Sell Stories, Not Products: Airbnb sells “belonging,” not “accommodation.” Just as Bugaboo sells “parenting philosophy” not “parenting tools,” find the emotional value your service provides.
Systems Create Trust: Two-way reviews, identity verification, Superhost program. Design the platform structure itself to create trust, not marketing messages.
Position with ‘Different’ Value: Don’t compete with hotels—offer completely different value. Just as Market Kurly differentiated with “quality” not “speed” against Coupang, find your unique value.
Airbnb’s success came from marketing philosophy, not marketing budget. Genuine connection is the most powerful brand asset. Just as the warm connection my Airbnb experience gave me in New Zealand became the reason I choose Airbnb for my next destination.
HY Marketing designs strategies that turn user experiences into brand assets for service brands in Korea, Japan, and beyond.
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Soeun Kim, Korean Marketing Coordinator
