5 Trends in the Vacation Rental Industry
The vacation rental market is, without a doubt, both one of the most competitive and ever-changing markets that people looking to turn a profit can enter into. Especially with the continued rise of companies such as Airbnb, this market is continuing to change and evolve frequently. For anyone seeking to be a significant player in this industry, they must consistently be on top of all the latest and hottest trends that are waiting to be capitalized on.
Here are just a few of the latest trends worth noticing, for property owners that are hoping to achieve such success.
There are undoubtedly many stereotypes surrounding the younger generations out there that are imposed on them by the Baby Boomer elite. However, one stereotype that seems to be true – judging by much of the data that’s currently out there – is the fact that many of them – often for financial reasons, among others – seem to be preferred to rent property rather than purchase it for themselves. Even for long-term residencies, this appears to be an increasing pattern for many adults under the age of 40. With that in mind, perhaps it shouldn’t come as too much of a shock that younger people also are attracted to companies such as Airbnb for shorter-term vacation rentals, as well. However, with the rise of younger, more tech-savvy individuals in the marketplace, new expectations and changes are also inevitable.
As overall demand for vacation rentals has increased, so has the level of expectations for quality of service, in terms of what guests tend to expect from their hosts. Not only do necessary accommodations such as housekeeping and toiletries tend to be requested, as those are often taken for granted by many travelers. Free Wi-Fi. Free television. Pool service. Arrival and departure flexibility. The list goes on and on. If you offer tons of these services already, then chances are, you’re just what the average potential guest is looking for, but if you don’t offer even one or two of these, the odds of you attracting many guests to your rental are considerably weaker.
Historically speaking, vacation rentals have not been known to allow guests to bring and keep their pets with them, during their stay at the property. However, one of the most popular accommodations among guests – among the vacation rentals that do offer them – has been the allowing of pets. So with that in mind, more property owners who provide vacation rentals have been offering this to their guests, with far less of them implementing a “no pets allowed” policy, in a bid to distinguish themselves positively from those who do continue to have such a rule. Given how completive the market can be, if you want to do a better job at attracting additional prospective guests to your rental, it would be wise to reconsider having such a rule, if you currently have one still.
For Millennials and even up to Generation X, the idea of camping out in the great outdoors – as well as the usage of Yurts and RVs – has been becoming an increasingly popular way of traveling and enjoying a vacation. However, that’s not to say that people nowadays always prefer to do it the old-fashioned way, particularly in this increasingly technology-driven era that we live in. As with any set of vacation rentals, accommodations have become frequent in demand. Hence why demand for “glamping” reservations – advertised as glamorous outdoor reservations for people who love camping, but want comfort and all the work and set up done for them – are increasingly on the rise. If this is something you’re capable of investing money into, there’s an audience of potential customers out there that should make it worth considering.
Over the past decade, the one trend that ought to be most evident is the rise of vacation rentals based in the homes of everyday people. However, with the annual increases in such rentals outpacing the openings of new hotels by nearly ten times as much, some might not necessarily be aware of how drastic this evolution in the market has been. At this pace, should current trends continue, such rentals based in regular homes and apartments will far outnumber traditional hotels by the end of the 2020s. With that in mind, anyone who wants to enter into and invest in the vacation rental industry would be a fool not to continue paying attention to the continuing and ever-changing trends in this industry, if they are to capitalize on this enormous growth.
As with trends in any industry, they can change seemingly overnight. However, while trends like glamping may come and go, the vacation rental industry is here to stay. 2019 is the perfect time to expand your rental portfolio to include an Airbnb style property. If you’re looking to get the most out of your short-term rental, vacation rental software like PMBO can help you increase profits and manage industry trends.
If you’re new to the short-term vacation market, stay tuned to our blog, where we’ll be bringing you tips on how to buy a vacation rental, how to start an Airbnb business, the hottest vacation rental markets, and much more.