While Airbnb has been profitable for some investors, all investors should not assume it will be profitable for them too. Every Airbnb landlord has to deal with many obstacles to gain the profit they desire as well as setting up a reasonable Airbnb pricing. The landlord can only get paid for their extra work if they make more than what a conventional landlord would. Below are some ways that can help Airbnb landlords increase their profits.
The day-to-day work can take too much time. However, this is an essence of hospitality business. But there is a solution that can ease your life significantly. You should definitely consider automating your work. For this purpose many Airbnb hosts use vacation rental software such us AirGMS. You bookings, communication with guests, work orders etc. will be under control with a software like this.
Give your Guests a Unique Stay
Making a stay unique is about considering the little things in life. For instance, you can leave your guests some coffee and tea or offer a jar of sweets. Your guests will appreciate that you do something to make their stay worth remembering. It should be part of your Airbnb management approach.
Always Have an Updated Listing
Airbnb serves as a matchmaker. It tries to help users find a suitable hotel alternative. Its search engine shows sorted listings. An Airbnb landlord must have as many displays as possible to gain the most profit. It is imperative to reduce vacancies. And apart from trying to get a 5-star review and uploading appealing pictures, Airbnb landlords should update their listing’s description.
Attract Business Travelers
One of the growing segments on Airbnb is business travellers. You can attract them by adding high-speed internet for example.
Always Keep Track of Rental Potential
These days, a lot of people choose to rent instead of own a home. This allows long-term housing rents to rise. It is important for you to check your net income versus the changing long-term market standard so you will know the profitability of your short-term rental business. In case your long-term rates are not reasonable enough, you have to reassess. You may just need at least a month on Airbnb, cut your rate and expect some profit.
Hire a Professional Cleaning Service
No guest will want to stay in a messy place. Guests will want to be in a vacation house that is professionally and adequately cleaned. You don’t want people to give bad reviews on Airbnb because this will drive possible customers away. So make sure you depend only on professionals in terms of cleaning your properties.
Have an Effective Pricing Strategy
Travel demands tend to vary across the globe. A number of beach getaways and ski destinations have only a few months to determine the yearly profitability of their rental. Other places that have a good mix of business and leisure travelers, as well as milder climates, can maximize their revenue the entire year.
In case you are booked in advance, focus on increasing your prices significantly first. Then you can decrease the price every week as you have more available dates. This allows you to have a feel for the demand at every price point. If your vacancies are less than one week out, you can offer a bargain rate.
Increasing the profitability of your rental business is indeed impossible; however, it may take time. You can become a successful host if you have the persistence and patience to stick with Airbnb and dedicate your energy and time to it.