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by josephs 5427 days ago
No, it's just renting out the rooms. I know the "CPM" analogy doesn't really fit perfectly but the point is that the Airbnb service is so effective at driving traffic it makes me more than a dollar per pageview on avg. Of course it's their site but you can think of it sort of like an e-commerce platform where I can open a store and sell my extra space. It works super well.
4 comments

The title is so obnoxious that I flagged your post. Also, I'm pretty tolerant of linkbait. This just takes it to the extreme.
It's not the traffic that's earning the revenue, it's your property which allows you to charge for the rent. A more sane metric would be to compute your "profit", which is your income, the rent, minus your expenses in renting out the property:

  - amortized property deterioration
  - administrative time dealing with the tenants
  - opportunity costs (the interest/ROI that you could expect the principal to bring
    if it was not tied up in your house)
and then you can compare this profit and the fees AirBNB is charging for it against other channels (such as making your own page and driving traffic to it via Adwords).

Just because I'm selling $10'000 diamonds at 50% discount on a website which brings me 1 sale every 100 page-views doesn't mean that each pageview is worth $50.

Ok. Now it makes sense. I had the same question others had. I think you're saying if the money you earned from renting were divided by the visits to your listing, you'd end up with the number you posted.

Question, are you breaking even (rent - sublet earnings)?

The CPM term is misleading.