02 Mar 2021
Posted in Business Fundamentals
Airbnb and DoorDash show distinct hiring trend post trading debut, finds GlobalData
Ever since raising over $3bn, Airbnb and DoorDash – two companies that both went public in December 2020 – are seeing drastically different hiring activities, with Airbnb making cautious job postings while DoorDash ramps up recruitment, observes GlobalData. This is unusual because there is a high probability that companies will increase spend on hiring after an IPO, and showcases the stark effects that COVID-19 has had on these two industries.
Ajay Thalluri, Business Fundamentals Analyst at GlobalData, comments: “After Airbnb’s trading debut in December 2020, there was an expectation to see a rebound in hiring activity that remained low in 2020 due to the pandemic. However, surprisingly, it did not gain pace and job postings remained flat. On the other hand, DoorDash, which started trading a day after Airbnb, started showing growth in hiring activity.”
Thalluri continues: “DoorDash’s overall hiring increased post-IPO, and there are indications that the company wishes to move into the Japan foodservice market – posted 32 jobs in the Tokyo area. Jobs data also indicates that the company is looking to enter new business areas such as ‘self-delivery’ and ‘creative studio’.”
Key jobs for DoorDash include Director, Consumer Performance Marketing, Engineering Manager, Drive – New Verticals, Engagement Manager, New Verticals, Director, International Communications, Director, Merchant Strategy & Operations (Japan), Senior HR Business Partner (Japan), Manager, Strategy & Operations – Fleet Management (Japan), Senior Manager, and Drive Strategy & Operations (Japan).
Thalluri adds: “DoorDash has been benefitted by an increase in dependence on food delivery services throughout the pandemic. However, Airbnb has not been as lucky, as travel restrictions greatly impacted vacation rental bookings in 2020 and the toll continues to be felt in 2021. The company was forced to undertake a restructuring exercise and reduce spends on human resources.
“As Airbnb bookings dipped to its lowest in April and May 2020, the company’s job postings remained at zero. Furthermore, full-time employee headcount was reduced by 1,800. Although hiring activity marginally improved throughout the remainder of the year, it continued to be low. Job postings in February 2021 were 54% less in comparison to February 2020.
“While Airbnb’s hiring did not scale up post-IPO, its jobs activity indicates that the company is focusing on technology product development and brand marketing initiatives. It has posted multiple product developer and software engineer positions to enhance the mobile app engagement experience for guests and hosts. Airbnb is also strengthening its cloud infrastructure and overall business operations.”
Jobs posted for Airbnb include Director, Brand Marketing Guest, Chief of Staff to Hosting CTO, Staff Software Engineer, Cloud Infrastructure, Edge, Frontend Software Engineer, Community Support Platform, APAC Business Operations & Program Management Lead, and Lead Experience Designer, Infrastructure and Data Platform.
Thalluri concludes: “Airbnb hiring will remain flat as the company experiences stress due to the pandemic. In contrast, Door Dash will maintain its hiring momentum as it flexes into new verticals and geographies.”