Vacation Rentals Marketing Strategies With Case Studies

If you want to be successful in the long run, you’ll need a strong marketing strategy for your vacation rental business. Without exploiting the power of marketing, even the best property management company in the world would fail. In the tourism industry, a brilliant marketing plan is at the heart of any successful enterprise. To reach the people in the past, marketers relied on traditional media such as print, radio, and television advertising.

While crucial, these sources provide limited possibilities for fine-tuning your marketing strategy and ensuring that your advertising funds are spent wisely.

It is feasible to promote your target demographic, track return on investment (ROI), and direct funding to only those practical activities utilizing digital marketing solutions. This tutorial will assist you in developing an essential digital marketing strategy for your vacation rental business.

Digital marketing is much more than just having a website; it includes everything from proper distribution site use to compelling photography, search engine optimization, lead creation, and much more. Every firm has unique requirements, and tailoring a marketing strategy to meet those requirements should be simple.

Why Vacation Rentals is a Unique Business

Millions of people would not do it if there weren’t many benefits to running a vacation rental business.

It’s why companies like Airbnb and VRBO have exploded in popularity in the last decade. It’s most likely why you’ve come to this blog in the first place.

You earn extra money.

The most important benefit of owning a vacation property is that you make money. On average, Airbnb hosts earn $900 per month, with hosts in the most in-demand areas earning four times that or more. But, of course, that’s only for one platform. There are dozens of different vacation rental sites available, allowing you to earn even more money if you play your cards well.

Here are a few of the most incredible vacation rental platforms to offer your property on:

• VRBO
• Booking.com
• FlipKey
• HouseTrip
• Kid and Coe

You have a private retreat

You can vacation there as well if you have a vacation rental. For example, use the property to organize a bachelor party for a buddy, a girls’ weekend, summer vacation for your kids, or the annual family reunion.

A lot of your expenses are deductible.

For tax purposes, renting out your property for more than 14 days is deemed a company. That implies you’ll have to pay taxes on the money you earn from it. However, it allows you to deduct a large portion of the costs of repairs and maintenance.

Almost any “ordinary and essential” company expense can be deducted. You can even remove the fees charged by Airbnb and other companies for hosting.

You’ll have a retirement home.

A vacation house can be an excellent method to accumulate long-term wealth and secure a retirement financial future. Sell it and utilize the proceeds to cover future living expenses, travel, healthcare, and other expenses. On the other hand, keep it if you want to have the relaxed retirement you’ve always wanted. You win in either case.

Main Vacation Rentals Business Challenges

Dealing with guests

Dealing with guests is one of the most typical challenges of having a short-term rental. The majority of individuals believe that managing a short-term rental is simple and needs minimal effort. But, unfortunately, this isn’t going to work! Short-term rental owners are responsible for a range of chores, including keeping track of when visitors come and go and ensuring the property is clean.

Choosing an appropriate price

There’s also the issue of determining the reasonable rental price for their properties. It would be best to come up with an affordable price that is neither too low nor too excessive to deter potential guests. On the other hand, it could be good to start with lesser pricing to gain more bookings and receive feedback. Of course, the more positive feedback you receive, the more you may charge. It’s also vital to think about the many seasons and events that occur throughout the year.

Optimizing your listing

While some struggle to develop the ideal listing, Luckey will assist you in increasing your occupancy rate by periodically changing prices based on local events and the season. In addition, Luckey provides customer service 24 hours a day, seven days a week, to meet all of their client’s requirements and questions. After all, running a short-term rental requires constant contact with workers, guests, and the homeowner.

Owners of short-term rentals might consider establishing a set of house rules. Have a document with important information about your home, the area, Wi-Fi, parking laws, and noise offenses on hand as well. This information will come in handy when visitors arrive at your home. Make it straightforward on your listings whether or not guests are welcome. If smoking is prohibited, make it explicit.

Damages

Homeowners who manage a short-term rental should also inform visitors that they are accountable for any damage to their property caused by their negligence. Accidents do happen, which is why it’s critical to screen guests before their arrival to ensure you know who you’re dealing with. A security deposit might be included in the contract to ensure that any significant damage to the property is covered.

Keeping the property neat

Throughout the year, you must keep the property clean and well-maintained. In addition, it would help to refresh your rental amenities to ensure that your guests are satisfied and get the most out of their stay at your house. This is a fantastic method to encourage future repeat business.

Options abound

Short-term rentals are more popular than ever before, and there are numerous options available. Keep your listings up to date and furnish your house according to the desired standards if you want to stand out from the crowd. Also, make sure you keep up with routine maintenance tasks like cleaning, painting, and gardening.

Time-Consuming

Short-term rental management can be time-consuming. You’ll need to take images, write listings, communicate with guests, keep track of booking calendars, and maintain your property in general. If you want to offer your home on Airbnb but don’t have the time to do it, you can hire a property manager like Luckey to assist you in managing your rental.

More renovations and upkeep are required.

Because the number of renters changes frequently, the furniture and equipment are inevitably subject to more wear and tear. Tourists and tourists who are only passing through are less concerned about the personal property than tenants who rent on a year-to-year basis. Vacation rentals necessitate more personal property maintenance, which might result in higher costs.

Pros and Cons of a Vacation Rentals Business

Pros

• Seasonality and location.
• Inclusions & amenities.
• Equity growth is a good thing.
• A quiet and intimate retreat.
• More tax breaks are available.

Cons

• Unprecedented costs.
• Laws and regulations governing vacation rentals vary by location.
• Taxes and insurance premiums are on the rise.
• Marketing is never-ending.

Vacation Rentals Marketing Strategies

Online Travel Agencies & Listings (OTAs)

The presentation and preparation of each part of your vacation rental properties have been done with great pride. That’s a fantastic start to a tremendous marketing strategy. However, while creating your specific marketing plan, some of your decisions will be influenced by each property’s location, look, and feel.

Now that you have a fantastic product, it’s time to locate customers. Fortunately, there are many distribution websites (also known as listing sites or OTAs) to choose from, each with its own set of prices, criteria, demographics, and regulations. Choosing one or more distribution partners is critical to getting your goods to market and earning money.

While there are a plethora of ways to advertise your properties online, for this tutorial, we’ll concentrate on three types of sites: big-name distribution partners like Airbnb, TripAdvisor/Flipkey, Vrbo (and the recently defunct HomeAway), and Booking.com, as well as smaller niche sites and, of course, your website.

It’s a good idea to think about some aspects of each listing site while looking for distribution partners. Consider the following scenario:

• Do they accept a credit card processing company that you’re familiar with?
• Their software requirements are: do you need to use a property management software (PMS) system to distribute inventory?
• Are visitors to your market using our website to look for other places to stay?
• What is the cancellation policy, and can you make your own rules?
• Who is the “merchant of record” who handles the money between you (the manager or owner) and the guest?
• Is it true that smaller or niche sites generate high-quality and relevant traffic? If the traffic is relevant to your market, a site with less traffic can still benefit you.

The location of your rentals, average group size, amenities, minimum and maximum stay lengths, price point, and whether the property is better suited for a family or a business traveler or couple are all critical factors in determining which distribution partners will work best for your specific needs.

The more significant distribution sites cater to a wide range of demographics. As a result, they frequently do an excellent job of bringing traffic to all of your property listings to connect you with potential guests. In addition, these more significant partners invest a lot of time and money in advertising and promotion, which results in an unceasing stream of clicks. Booking.com, for example, invests about $11 billion in marketing and advertising each year (source).

Choosing one or more of these partners is now an essential component of any successful marketing strategy. However, there is no one-size-fits-all formula even among these more significant full-featured distribution partners. To ensure that you choose a plan that will work for your organization, you should examine each provider’s policies and pricing structure.

While the more significant, well-known distribution channels are critical, niche or boutique should not be overlooked. These sites cater to a smaller yet more targeted audience. This is especially crucial if you own a one-of-a-kind property or live in a region with popular attractions and activities. Pose the following questions to yourself:

• Is your property a one-of-a-kind experience?
• Is your rental close to a golf course?
• Is there any fishing or boating?
• Is there a beach nearby?
• Is your home or business pet-friendly?
• Are there any popular tourist sites in the area?
• Do you get a lot of year-round guests, such as snowbirds?

Answering these questions will assist you in locating niche distribution sites that will enhance bookings and allow you to utilize all of your amenities fully. Check any policies and cost structures to ensure that each site you choose to partner with suits your business plan, just like the big-name sites.

It’s impossible to identify every prospective niche listing site out there; therefore, we recommend doing some preliminary study in your destination as if you were a guest to find “possible winning sites.”

Suppose you manage 25 vacation rentals in Miami Beach, Florida, for example. In that case, a quick Google search can show a wealth of information about who is advertising in the area and which listing sites are receiving organic traffic.

Your most acceptable distribution method is always your website. A guest who bookings directly through your website saves you money on distribution partner fees and commissions and allows you to control the entire transaction.

You want your website to function flawlessly with your distribution partners, and most make it simple to do so by using APIs, which are a tool that enables rapid communication between your reservation system and the distribution partner.

Finding a web designer who is experienced with reservation systems and API connectivity is critical. If you have a lot of properties or want to work with a lot of different distribution channels, channel management software should be integrated into your reservations and listings system.

Your property management company’s website, controlled and owned by them, will enable your marketing efforts to scale and grow into a very successful vacation rental business.

Design a Catchy Headline

A catchy and detailed title for the vacation rental home can make the difference in clicks, queries, and reservations, especially in high-tourism locations.

A rental listing should be SEO-friendly to rank better in search results and attract interest from potential guests. Here are some tips for writing a catchy headline that will get people to click on your vacation rental listings:

• Make the most of your word count. Use clever wording in the title to help potential guests grasp precisely what makes the hotel special.
  Your title should be comprehensive rather than unnecessary or wordy. Every single word in a compelling title should be strategic and deliberate. Don’t forget to list the property’s location, along with any relevant landmarks, to help potential guests focus their search.
  Even though the property described is the same, a listing named “2-bedroom condo in Anaheim” or “2-bedroom, the family-friendly unit only ten-minute drive from Disneyland Main Gate” can yield very different search results.
• Highlight the most important aspects, as well as any unique offers or information particular to the site. As we said earlier, creating an intriguing title for the vacation rentals you manage is about creating an experience for the potential guest.
  The key to generating clicks and bookings is to highlight exactly what the resort offers without making an unnecessarily long title.
  Instead of simply offering a “holiday condo for rent,” provide details such as the number of beds, location, closeness to tourist attractions, and any unique characteristics such as pool access.
• Use symbols to connect words to reduce word count and increase title space. Instead of “and,” for example, use “&” or “+.” However, please don’t go crazy with these symbols; it’s still necessary to keep your vacation rental ad professional.

Invest in Good Photography and Videography

Investing in high-quality, professional images (and even films) when building a marketing plan for the vacation rentals you manage can go a long way toward ensuring consistent bookings. Each property should be promoted in your images without being oversold or appearing dishonest.

Images should be well-lit, shot in panoramic mode to give guests a complete picture of the area, and include the minor nuances that make it feel special. We strongly advise hiring a professional photographer with real estate photography experience.

Professional photography is necessary for you to employ as a property manager because these photographs can be used on various sites and for months, if not years! Furthermore, because you invested in professional pictures, it also demonstrates that you are a diligent property manager.

If an owner chooses to make significant or apparent alterations or upgrades to their property, new images must be taken so that your advertising accurately depicts the actual property.

Pro tip: Include images of the property’s interior and the exterior of the structure, and the surrounding area. Assume the property is close to a popular tourist site or neighborhood. In that scenario, including images and maps to demonstrate the property’s prime location may be beneficial.

Competitively Price your Property

There’s a good chance your house isn’t the only one in the neighborhood with the correct number of bedrooms and convenient facilities. When passengers must pick between similar options, pricing is undoubtedly a factor.

In fact, according to the latest 2022 Travel Trends Forecast, 41% of customers always consider price when booking a resort.

You’ll need to use a dynamic revenue management technique, which airlines and hotels have used for years, to ensure your house is priced correctly. Consider this: how many times have you seen flight costs fluctuate in the middle of your search? At work, that’s dynamic revenue management.

Said, competition and traveler demand can change quickly — for example, people might book many homes in the neighborhood, allowing you to raise your home’s price to match demand. You’re likely to lose a lot of money if you don’t make that modification.

In reverse, the same is true: vacationers will book someone else’s home if your property is overpriced compared to the rest of your competition.

Here are a few dynamic pricing pointers to help you make more money:

• First, keep a watch on the market in your neighborhood to ensure you’re not overpricing or underpricing your home.
• Examine more particular travel trends, such as increased bookings around local events and slight dips during slower visitor seasons, in addition to seasonality. (To grasp these distinctions, you’ll need access to past data.)
• Invest in a technology solution that relieves you of the burden of analysis and positions business for long-term success.

More on that last point: it’s nearly impossible to gain historical insights or stay up with continuously shifting travel patterns without skilled tech assistance. However, once you have it, the difference in income is significant. At Evolve, our proprietary SmartRates algorithm and professional revenue analysts help owners make 24 percent more on average than traditional techniques.

Case Studies

Cabo Rentals

Background

Cabo Rentals By Jane has provided simple access to luxury vacation residences that allow travelers to immerse themselves in local culture while living “the high life” for more than a decade.

Challenge 

The options accessible through their present property management platform constrained them. In addition, Cabo Rentals By Jane was also battling with an out-of-date website design that didn’t match the brand’s “contemporary luxury” look, as well as missing organic SEO chances.

The original site had poor information that didn’t help potential customers comprehend what set Cabo Rentals By Jane apart from the competition. This resulted in two issues:

It was difficult for visitors to find the information they required to make a booking decision.
Jane’s website didn’t rank well in search engines for typical search terms, causing her and her staff to miss out on organic traffic that could have resulted in bookings.

Solution

• Creating a mobile-friendly and SEO-friendly website update that smoothly blended modern style and a new platform.
• Jane was able to add “Travel Guard” information thanks to the addition of additional capability. When booking with Cabo Rentals By Jane, this feature makes visitors feel more at ease.
• Sync all properties from Direct onto the new website for easier booking. Create original and compelling content that would appeal to Jane’s demographic
• Guests now encounter an intuitive experience while visiting the newly updated website, prompting them to book a vacation property right away.

Results

Island House Roatan

Background

Island House Roatan, a vacation rental website for long-term and short-term rentals, needed the means to boost organic traffic and vacation home bookings without disrupting its day-to-day operations.

Challenge 

The core keywords “Roatan vacation rentals,” “Roatan rentals,” and “Roatan vacation homes” didn’t score well for Island House Roatan.

Solution

• They concentrated on completely redoing the IslandHouseRoatan.com website.
• An SEO audit, link building, and modified URL structures and naming conventions were all part of their work behind the scenes. They then reworked the material to keep users’ attention on the page.

Results

Google My Business brought in $40,000 in bookings.

Property pages now get higher rankings.

The page “About Roatan” is ranked for over 270 keywords.

The number of Top 3 rankings has increased by 160 percent.

Final Thoughts

In this article, you have discovered some vacation rental marketing ideas that companies have successfully implemented. Apply some of them on your site and engage with your customers on a new level.