If travel companies want to capture the business of Gen Z travelers, they'll have to rethink their approach, according to research by Bernstein. Those in the younger generation — born between 1997 and 2012 — don't just use the internet differently than their older counterparts, they are increasingly likely to engage with social media platforms to find information, analyst Richard Clarke wrote in a Wednesday note.
mountain Airbnb year to date "Airbnb looks best at attracting the youngest visitors, in part helped by its content being the most social media friendly," Clarke wrote. The vacation-rental platform has the highest skew to 18-24 year olds and 5.4 million Instagram followers, the highest among travel companies, he added. Clarke has an overweight rating on the stock and a $168 price target, implying about nearly 33% upside from Friday's close.