While many hosts in the vacation rental industry enjoy initial success in the first few years of establishing their business, a common long-term problem they might face is stagnant or decreasing vacation rental revenue.
When your property is new on the rental market, it can generate a buzz of initial bookings from interested guests. However, once the novelty wears off, hosts may notice their booking rate and profit dropping. Fortunately, there are several surefire strategies that can help property owners boost their vacation rental revenue when it starts to dip.
Read on to discover the top vacation rental revenue growth techniques to encourage your business’s growth rate and success.
Optimize Your Rental’s Listing and Visibility
If you want your listing to attract consistent inquiries and bookings, you need to devote time to optimizing your online presence. Keep your vacation rental property descriptions up-to-date with new information, seasonal trends, and new pricing. If you do any renovations to your rental, refresh your listing description, and photographs.
It’s not enough to have your properties listed on only one vacation rental site. Promoting your vacation home on various listing sites to reach a wider audience, is the best way to try and attract new bookings. Make sure you have maximized your property’s visibility by creating multiple listings on a variety of rental platforms, such as Airbnb, Booking.com, Vrbo.
Market and Promote Your Vacation Rental Property
Vacation rental marketing is one of the fastest-growing means of taking your business to the next level and is essential if you want your rental to stand out and catch the attention of guests.
Social media is a key marketing channel for reaching multiple audiences quickly and conveniently. Create business profiles for your rental on platforms like Facebook, Instagram, and Pinterest to expand your reach and visibility. SEO optimization can also help give your listing a boost in organic search rankings on Airbnb and Google.
Other useful marketing tactics include promoting your property on vacation rental forums and enlisting with local tourism boards to establish partnerships.
Offer Amenities That Attract Guests
Don’t overlook your property’s amenities as a means of boosting your vacation rental revenue. Remember, guests are staying at your rental because of what it offers in terms of amenities and convenience. Make sure you have clearly listed your rental amenities in your description.
To avoid possible guest complaints that could result in involving an Airbnb support team, make sure your rental offers all the key essentials. You don’t need to spend a lot of money installing pricey amenities in order to attract guests and offer a fantastic stay. Work with the resources you have to impress your guests. Ways to do this include:
- Excellent service such as prompt and friendly guest communication, cleaning and additional services, like bicycles for rent
- Make your rental kid-friendly and pet-friendly
- Partner with local businesses to offer fun experiences for your guests, such as cooking classes or group hikes
- Put together a detailed guest book with useful insider information about things to do in your town or city. Things you could include are local landmarks, places of interest, must-try restaurants, and shopping hotspots.
By showing guests that you offer a range of amenities and services, they will be more likely to promote your rental via reviews and word of mouth.
Adopt a Thought-Out Pricing Strategy
Being savvy with your pricing is a tried-and-tested way to grow your vacation rental business. Adopting a thought-out strategy will help you ensure your rental remains competitive and appealing all year round.
- Be transparent with your pricing: Nothing puts guests off faster than getting a surprise jump in price between the booking cost and the final checkout cost. If you are charging a cleaning fee, either list the price under additional services, or factor it into the nightly rate.
- Offer seasonal rates and discounts: For most rentals, the low season is during winter months, so offer a competitive seasonal rate or a discount to encourage bookings during that time. You can also lower your rate during the week.
- Monitor your competitors: Keep an eye on your competitors’ rates. If your rate is too high, you may be priced out of the market, but if your rental is much cheaper, guests may be uncertain about its quality and standards.
Use Vacation Rental Management Software
If you really want to succeed in the vacation rental industry, automating your business is a necessity, otherwise, you’ll get stuck in a cycle of never-ending tasks. These days, many property managers run their businesses on autopilot using vacation rental software, such as iGMS. Offering automated messaging and reviews, an integrated channel manager, financial reporting, and cleaning and team management, iGMS takes care of business essentials, giving you more time to expand your operations and amplify your vacation rental revenue.
Although maintaining a consistent stream of vacation rental revenue growth may sound challenging, it is possible to achieve. With a few implementations of key strategies to encourage growth, property owners can safeguard their long-term business success and stability.