The evolution of the internet brought about new opportunities for virtually every industry, including travel and hospitality. The big hotel chains no longer hold a position of dominance, and private real estate owners can now cash in by providing less expensive, quality accommodations for travelers on a budget. This trend is expected to grow, suggesting short-term rentals are here to stay.
An Unexpected Growth Spurt for Short-Term Rentals
AirBnB’s success started the short-term rental craze, showing there are profits to be made in offering these types of accommodations. While the company still continues to grow and is the most popular service of its kind, it’s no longer alone. The digital revolution has helped this industry grow, providing a way for property owners and travelers to connect. Today, finding a short-term rental to suit your travel needs is as simple as conducting an online search.
It’s difficult to measure the impact that short-term rentals have on the larger hotel chains in terms of claiming a portion of the market. This is because it’s not uncommon for road-weary travelers to stop into a hotel and book a room for that night. Conversely, space in a short-term rental is limited, and reservations must be made to ensure an opening. As a result, short-term rentals appeal to different types of travelers.
Airbnb Offers International Accommodations
One of the advantages that has propelled Airbnb is that the platform makes it possible to find accommodations in cities almost anywhere in the world. This may be why their rate of growth has been so expansive. The company now offers Airbnb Plus, which is a premium service that helps travelers plan itineraries, make dining reservations, and offers loyalty rewards.
The competition is recognizing the consumer demand for AirBnB’s services as well. Major hotel chains are investing in short-term rentals, which may compete with a share of AirBnB’s market. Additionally, travel reservation websites, such as Expedia and Travelocity, are looking into including AirBnB listings in their own search results.
A short-term rental offers something for the real estate owner and for the traveler. For the property owner, offering short-term accommodations can help them maximize the earnings they receive on their investment property. For the traveler, this means renting quality accommodations at a lower price. This helps more people travel without overextending their budget. These benefits suggest short-term rental opportunities will only continue to expand.