Booking.com recorded one of the strongest quarters in its history in the short-term rental segment in the third quarter of 2025. Notably, this performance was also evident in the U.S. market.
Booking has been building its alternative accommodations ecosystem for more than a decade. While competitors expanded outward from a single-core model (Airbnb from private homes, Vrbo from vacation rentals), Booking leveraged the robust infrastructure it had already developed for hotels: integrations, content systems, standardized workflows, millions of partners, and hybrid payment models. This “heavy” infrastructure proved ideally suited to rapidly absorbing new alternative accommodation listings.
Strong growth in alternative accommodations
When announcing its Q3 results, Booking.com’s leadership expressed clear confidence that the company has now entered a phase of high growth in alternative accommodations, with its strategy in the segment proving highly successful.
The numbers support that confidence: three consecutive quarters of double-digit growth in short-term rental nights, with total listings reaching 8.6 million in the third quarter of 2025.
In detail:
In Q1 2025, bookings for alternative accommodations increased by 12% year-on-year. Nights stayed in alternative accommodations accounted for 37% of total platform nights, while total listings reached 8.1 million.
In Q2 2025, nights grew by 10% year-on-year. Alternative accommodations represented 35% of total room nights during the quarter, despite strong growth in Booking’s hotel segment.
In Q3 2025, alternative accommodation listings reached 8.6 million, marking approximately 10% year-on-year growth. Nights once again outpaced the overall growth rate of hotel room nights on the platform.
At the same time, Airbnb and Vrbo are entering a more mature phase. Airbnb is seeing more stable—if not flat—momentum in major metropolitan markets, while Vrbo remains heavily dependent on the long-stay family vacation model, where even small shifts in travel patterns can have an immediate impact on demand. Booking, with a smaller market share in the U.S. and a more balanced international footprint, still has room to grow.
Booking.com’s brand awareness in the U.S.
Perhaps the most interesting finding is the rise in Booking’s brand awareness in the United States. Aggressive investments in Super Bowl campaigns, celebrity endorsements, and presence at major sporting events appear to be paying off. At the same time, changes in American travel behavior—shorter stays, increased price sensitivity, and growing frustration with Airbnb fees—are creating space for new players. In regulated cities, Booking has an additional advantage: it can redirect demand toward hotels and hybrid models when short-term rentals face restrictions.
The hidden advantage
Where Booking truly differentiates itself from Airbnb and Vrbo is the complexity and maturity of its travel ecosystem. Flights, accommodations, car rentals, ground transportation, attractions, and a unified payment system allow the company to capture travelers from multiple entry points and keep them within its ecosystem.
Airbnb is moving in this direction, but through small, experimental steps. Vrbo, although part of the Expedia Group, does not offer a unified experience under a single brand.
Loyalty bonuses and payments: from weaknesses to strengths
The Genius loyalty program—with Levels 2 and 3 now accounting for 50% of total nights—acts as a powerful magnet for repeat travelers. Airbnb has no loyalty program, while Vrbo’s One Key is more diffuse and less compelling. As a result, Booking is building a more stable and predictable demand base, a critical asset in volatile markets.
At the same time, another long-standing pain point—payments—has effectively been resolved. With the merchant model now covering roughly two-thirds of bookings, payments are faster, more stable, and more professional-friendly for property managers.
2026 begins with clear momentum
Overall, Booking enters 2026 with the clearest outlook it has had in years: strong growth in alternative accommodations, increased penetration in the U.S., operational complexity turned into a commercial advantage, and greater resilience to regulatory uncertainty.
Airbnb and Vrbo remain essential channels. But for industry professionals, the message is clear: Booking.com is no longer “the third channel.” The balance in the OTA landscape is shifting, and Booking is gaining ground faster than most would have expected three years ago.
