When the bean-counters at Oxford Economics sharpen their pencils, the results tend to make headlines. Their latest revelation? Airbnb is no longer just where you book a quirky cottage in Byron Bay — it has morphed into a serious economic powerhouse. According to the new report, spending linked to Airbnb in 2024 contributed $20.3 billion to the Australian economy, equal to around seven per cent of our tourism GDP. That’s not just spare change rattling in the nation’s pockets; it’s an economic symphony with Airbnb conducting the orchestra.
A Job-Maker, Not Just a Bed-Maker
The figures don’t stop at tourist wallets. Airbnb-related activity supported an estimated 107,000 jobs and tipped nearly $7 billion into wages. To put it bluntly: one in every fifteen tourism jobs now owes a nod — or perhaps a guest review — to Airbnb.
Michael Brennan, Director of Economic Consulting at Oxford Economics Australia, summed it up neatly:
“Airbnb has played a central role in the transformation of Australia’s travel landscape, facilitating the distribution of tourism benefits beyond major urban centres to include less-frequented rural regions.”
And that’s the rub. While traditional hotels tend to cluster around the bright lights of Sydney, Melbourne, and Brisbane, Airbnb is ferrying travellers — and their cash — into smaller towns, seaside hamlets, and bush retreats that rarely make the glossy brochures.
Domestic Travellers Lead the Charge
The report also reveals what many Australians already know: when international borders slammed shut during COVID, Aussies rediscovered their backyard. In 2024, domestic guests comprised 84 per cent of Airbnb stays — almost 10 percentage points higher than before the pandemic.
This isn’t just parochialism. It’s a testament to a permanent shift in traveller behaviour. Even as international visitors return, Australians are still choosing to book getaways closer to home, propping up local economies that previously leaned heavily on overseas tourists.
The International Picture
Of course, the global inflow matters. About half of all international Airbnb visitors came from the Asia-Pacific region. Singapore, New Zealand, and Mainland China led the charge, while the UK (14 percent of all inbound Airbnb guests) and the United States (12 percent) rounded out the leaderboard.
You wouldn’t be far off if you think this sounds like a rugby line-up. The message is clear: Australia’s appeal is broad, and Airbnb is the platform bringing in the spectators.
Beyond Beds: The Ripple Effect
Now here’s where it gets exciting. Airbnb guests spent $16 billion in Australia in 2024, not just on accommodation. Each visitor averaged three nights per stay and forked out around $320 daily on essentials like food, shopping, entertainment, groceries, and transport.
For every $100 spent:
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$34 went to restaurants
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$20 for shopping
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$19 for groceries
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$15 to arts and entertainment
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$12 for local transport
This breakdown paints a vivid picture of the so-called multiplier effect. It’s not just about whether the host buys fresh sheets; it’s about the café on the corner, the Uber driver, the souvenir shop, and the community theatre.
The Host Factor
Hosts themselves are increasingly becoming unsung heroes of regional economies. Take Amanda from Port Macquarie, who explained:
“I started hosting my studio on Airbnb as the additional income helps improve my financial situation. Since I work during the day, I hire a cleaner to manage the turnover of the space. The earnings from hosting have provided a steady income for her, and she has seen her business thrive.”
Then there’s Cathryn from Illawarra, a retired firefighter:
“Hosting is not an easy job, but it helps us rely less on the government for a pension. I just love welcoming people to our place! Guests often follow our recommendations for restaurants, cafes and sights, and so many of these local businesses have been positively impacted by this.”
These aren’t corporate boardroom voices. They’re Australians whose livelihoods are intertwined with Airbnb’s ecosystem, demonstrating how the ripple reaches ordinary households.
State-by-State Breakdown
The Oxford Economics report sliced the data by state, and the numbers are formidable:
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New South Wales: $6.6b GSP; 32,200 jobs; $2.2b wages
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Victoria: $5.4b GSP; 30,900 jobs; $1.8b wages
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Queensland: $4.8b GSP; 25,600 jobs; $1.6b wages
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Western Australia: $1.8b GSP; 8,600 jobs; $600m wages
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South Australia: $900m GSP; 4,700 jobs; $300m wages
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Tasmania: $500m GSP; 3,300 jobs; $200m wages
What’s striking is not just the sheer scale but the distribution. Regional Australia is finally seeing a slice of the tourism pie once reserved almost exclusively for metropolitan centres.
A Word from the Insiders
Susan Wheeldon, Airbnb’s Country Manager for Australia and New Zealand, didn’t hide her delight:
“Aussies are embracing Airbnb not just for city escapes, but to discover hidden gems and unique stays in our beautiful regions. With more stays happening outside our major cities, Airbnb is helping spread the economic benefits to smaller communities.”
Margy Osmond, CEO of the Tourism and Transport Forum, was even more direct:
“Airbnb plays a vital role in supporting tourism across Australia, opening doors to regional communities and offering travellers authentic local experiences.”
Both statements cut to the same point: Airbnb is becoming the great leveller of tourism, redistributing wealth in ways the hotel industry has struggled to replicate.
Historical Perspective
Traditionally, Australian tourism has relied on predictable anchors: the Harbour Bridge, the Great Barrier Reef, and Uluru. A granny flat in Dubbo or a farmstay in Margaret River may never grace an international billboard, but thanks to Airbnb, they are now serious players in the travel economy.
In some ways, this shift is also a return to the roots of Australian hospitality. Before multinational hotel chains, travellers stayed with families, friends, or local inns. Airbnb has taken that humble tradition, digitised it, and unleashed it globally.
The Road Ahead
Will the trend continue? All signs point to yes. As Australians grow weary of big-city price tags and travellers hunt for “authentic experiences,” Airbnb’s blend of affordability and locality gives it a long runway. More importantly, policymakers will be hard-pressed to ignore that seven per cent of the tourism GDP now flows through a single platform.
Governments will have to balance regulation without strangling innovation. Local communities, however, have the opportunity to embrace this new wave of travellers without losing the authenticity that drew them in the first place.
By Anne Keam
