Vacation rental owners and managers are categorically new to the hospitality world.
And so their list of common mistakes often reads like a who’s who of disaster-causing agents, certain to hold back their full vacation rental potential.
As a market researcher, I’ve decided to list 13 of the most common new vacation rental owner mistakes, along with solutions to help avoid negative impact:
1. Assume unrealistic conversion rates: As competition gets stronger in the vacation rental space, fewer inquiries will turn into actual bookings, merely because travelers have more property options and can afford to be picky. With this change, it becomes critical for owners/managers to stay updated on their property’s conversion rates: in other words, what standard is “normal” for converting an inquiry to an actual reservation? Lose track of this rate (or worse, pose unrealistic goals) and you’re in the dark.
2. Exhibit frustration with slow bookings: Every single owner/manager has slow periods and since most of us lack business backgrounds, it can be very debilitating to see “nothing working.” It’s important to remember, however, that vacation rental marketing is not an activity, but a culture. Spend time building and crafting your portfolio and ultimately the work will pay off. (In the meantime, use a quick fix like Google Adwords or upgraded listing packages to stay in business.)
3. Stop spending: One of the easiest yet most dangerous tendencies when things are either really good or really bad is to stop your marketing efforts. But in doing so, you lose momentum. Know what amounts you are comfortable spending (and know how much time you can realistically dedicate) and make it part of your budget (just like maintenance of your house). In both good times and in bad.
4. Put off the task of building a website: The daunting task of launching a website for …read more