How Vacation Homes Have Changed the Travel Industry

• 2023-06-22

The travel industry is one of the strongest, most durable, and most sustaining sectors of the economy. The desire among the public to travel, either to exciting new destinations or to their favorite vacation spot, never seems to dim or slacken.

Even when catastrophic events such as the 911 terrorist attacks, the Great Recession or the Covid-19 pandemic hit the industry hard, it always bounces back. The U.S. travel sector generated $2 trillion to the U.S. economy in 2022, while the average length of the vacation stay period increased from 5.2 days to 5.4.

But the industry isn’t static, and how the public spends their vacation money can change over time. While posh hotels once seemed like the luxury choice and motels were the economical option for families, one of the most popular and fastest growing trends within the hospital industry has been short-term rentals. Whether it’s a vacation home or Airbnb, vacationing families are finding that the extra space and comfort provided by these fully furnished properties is attracting more and more families who prefer it to cramming everyone is a single hotel room.

Add in a private pool, private driveway, back yard for outdoor grilling and game room for the kids to enjoy, and vacation homes have become an affordable and desirable options for millions of travelers. Home away from home has become an easy sell.

Why is the Global Vacation Rental Market Booming?

The short-term vacation rental market is very hot right now, projected to grow significantly in the coming years. Bookings have increased by 13.1% in recent years, and since the travel industry’s recovery from the pandemic, vacation rentals have shot up far more robustly than in the hotel sector. Today, hotels are losing $450 million per year to vacation rentals.

One of the top reasons people cite for preferring vacation rentals is access to:

►   A fully staffed kitchen
►   A separate dining area
►   Multiple bedrooms
►   More privacy and space
►   Greater peace and quiet at night.

Short-term vacation rentals have become mainstream among travelers for those reasons. At the same time, the pandemic accelerated the shift. A lot of families discovered the benefits of staying in vacation rentals over hotels when the lockdown restrictions got imposed. That prompted a lot of families to look for vacation rentals with the greater amount of space and privacy they offer.

There has been a rise in family travelers seeking more space during their vacation. By the holiday season in 2021, there was already a 50% year-over-year spike in bookings for vacation rentals.

What Are the Most Popular Amenities at Vacation Homes?

Today it’s become easier than ever for property managers and homeowners of short-term rentals to know what their guests are looking for. If you’re offering them a house with multiple bedrooms and plenty of extra space compared to a hotel room, you’ve got a lot more options.

Some guests may want to do all their own cooking and appreciate having a kitchen that’s equipped with everything they need, while others may prefer to dine out at area restaurants.

Some families may want to spend each day exploring the area, while others may want time to relax at the house, so extra games in the game room are popular. Every family is different.

Studies do point to the kind of amenities that guests want most and eagerly search for online before booking their short-term rental. They include:

►   A private pool, which is a clear guest favorite, and it clearly drives more
bookings.
►   A pet-friendly establishment, wildly popular with those guests that love bringing their pets along for the adventure. Studies have shown there are plenty of perks to making your short-term rental pet-friendly. The addition of items such as dog water bowls, dog beds and chew toys leave a lasting impression.
►   An outdoor gathering space for families who want to get out of the house and have some fun, whether it’s grilling burgers or playing football.
►   A Washer and dryer. Who does laundry on vacation, you might ask. But just as hotels frequently have laundry rooms, vacation homes should as well, particularly if the guests are here for an extended stay. It’s the kind of practical amenity that guests appreciate.

It also goes without saying that a strong internet and WiFi connection is crucial, and so is a strong air conditioning system (or heating system if guests are there in the winter to ski, etc.)

Having the right amenities at a vacation rental makes it considerably easier to attract bookings and turn one-time guests into a family that comes back again and again. When prospective customers are reviewing the property manager’s website, they’re browsing their options, and being able to list the amenities you know customers want is a big draw. For many guests, those perks make the property irresistible and an easy sell over booking a hotel room. This is how many short-term rentals ensure their long-term sustainability and attract glowing reviews.

A survey commissioned by Airbnb showed that 97% of U.S. travelers say amenities impact their travel experience and have a significant impact on the quality of their vacation. That means for property managers and homeowners eager to please their guests, being able to exceed their initial expectations leaves a lasting and positive impression.

The Bottom Line: Be Ready to Keep Guests Happy

If you’re a property manager or homeowner in the short-term rental industry, you can keep up with what guests are looking for through a partnership with Honest Sherpa. Our team has years of experience in the vacation home and Airbnb industry, providing an extensive list of high-quality rental gear that is available 24/7.

We can create a landing page on your website that lets guests decide what gear they want, then preorder it, and we do the rest, including the delivery and pickup once they check out. As a property manager, you get the benefit of providing your guests with the amenities they’re looking for, without having to do any of the work.

Honest Sherpa is eagerly looking for property managers and homeowners as partners in the future. Let’s work together to achieve that top goal: to keep your guests happy and eager to come back for their next vacation.