The Difference Between Unsuccessful and Successful Vacation Rental Businesses

What makes a successful vacation rental business? Why do some listings seem to have a constant stream of bookings and happy guests, while others struggle to stay afloat?

Being a successful vacation rental is about more than just the number of sales or bookings you receive. Those are key performance indicators, but to be a sustainable business, you need to have a wider view.

We work with property managers and owners at BookingTeam.com to make their vacation rentals as successful as possible. Here are some of the key differentiators between top vacation rental properties and everyone else.

1. A successful vacation rental views their properties as a small business.
They don’t think of it as just a way to make some extra cash on the side. Often the highest-performing properties are run by managers or owners that take it seriously. They run their vacation rentals with the same efficiency and professionalism as any legitimate business would.

For you, that may mean developing a business plan. You could set monthly and annual performance goals and track your progress. Establish policies that reflect how you want your vacation rental business to run, and constantly look for ways to improve.

2. They value guests and their experience.
Instead of focusing on how you can make the most money or get the most bookings, focus on how you can create exceptional guest experiences for every stay. Although the first points are important to a vacation rental business, if you aren’t putting customers first, your profits will suffer. No matter how many listings you have or money you put into marketing, you have to have happy guests.

The key to doing that is about knowing your guests and what they look for in a vacation rental. Is it important for them to have a fully equipped kitchen? Is lightning fast, reliable WiFi a top priority? Do they want a place on-site where they can socialize? Once you have a clear idea of who your target customers are, you can create more effective listing descriptions, marketing, and overall business strategy.

3. They combine data, technology, and automation.
Today, every business relies on technology. The vacation rental industry, in particular, is extremely reliant on it. It is how people search for accommodations. Guests might browse on Google for lodging ideas. They may go straight to booking sites like Airbnb or TripAdvisor or ask friends on Facebook for recommendations. In every scenario, technology is the key ingredient.

With the growing reliance on technology, there is also a lot of data being generated. You can tell where a booking originated from and how many conversions each listing receives. Smart property managers know which metrics they should be tracking to determine how well their listings are performing. They know how to harness data like guest

Managing all the different technologies and vast amounts of data can be time-consuming. A successful vacation rental has embraced automation and looks for new ways to optimize time.

For instance, BookingTeam.com simplifies the tedious process of creating and sharing listings by automatically taking one listing and sharing it to all the popular rental sites. We also make it easier for properties to set the best prices and communicate with guests through our technology and our team of around-the-clock booking professionals.