Hospitality startup Sonder has been shaking up the sector ever since it emerged last year. The provider offers an operation model that is more straightforward compared to indirect rival Airbnb, making it a new favorite among customers looking for a place to stay in.
Business Insider's Katie Warren stayed for a night in one of Sonder's hotel-like apartments to have a feel of how customers are being treated and why some people are starting to favor the startup over mainstay Airbnb.
Sonder currently has 9,000 rental apartments spread across different states, including Miami, New York, and Washington, DC. According to Warren, the startup stands out from other leasing companies since it has its own rentals and it also manages the spaces for lease.
The spaces for rent are licensed as hotels and boast of straightforward processes for customers who need a comfortable and secure place to stay in for the night. Warren noted that she did not need to give a particular time for checking in to her rental space.
Warren further revealed that her Sonder apartment had a separate elevator bank. The purpose of the separate elevator was for guests or travelers who will only spend a single night in an apartment.
Sonder also leases long-term and offer permanent options for customers, which makes the separate elevator more convenient and comfortable for everyone.
For Warren, her apartment was more hotel-like and personal compared to Airbnb rentals. The apartment was also cleaned to a spotless level. There were also amenities similar to a hotel's offers such as a lounge and a co-working area.
Unlike typical Airbnbs, Warren's Sonder apartment had an "essentials closet" for basic needs such as toiletries. The best part of it all was the items on the said closet were free of charge and Warren could just grab anything whenever she needed olive oil or toilet paper.
Industry experts have been heaping praises on Sonder even if it is pretty much new compared to Airbnb. It has fresh models and operations structures that many customers and analysts alike find appealing.
Meanwhile, Sonder isn't the only startup challenging Airbnb. Domio has also risen in the ranks after raising $100 million to expand business in the United States and later, to other regions around the world.
According to Tech Crunch, Domio's target customers are traveling millennials who book trips in groups. The startup offers spaces that are usually five times more spacious than average hotel rooms.
The widespread interest in Domio's business model came as a shock to the hospitality sector since before raising $100 million, the firm only had around $17 million. It is unclear how much the company is valued at this point.
