Compete on Airbnb

As the collaborative economy grows, sites like Airbnb, VRBO, or Homeaway attract more and more hosts and guests. Therefore, competing on Airbnb or other platforms is becoming increasingly demanding.

The sharing economy is a market with few barriers to entry for new players –and therefore, with an increasingly competitive level–. This fact has been mitigated by the brutal demand increases that vacation rental platforms have had.

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Keys to compete on Airbnb

As we said, an expansive demand has softened the arrival of new competitors. But you should not forget that the reduced entry barriers brutally affect the sector. When simply entering this market was opening the doors of your home –and being the only host–, getting new customers was not a complicated task. It's possible that the occupancy rate was not 100%. However, you were not fighting with your competition on Airbnb.

So, how can you compete on Airbnb?

Some of the best hosts will grow their business and capture more market; others, on the other hand, will succumb to competition and be left with their tourist apartments empty. Below we bring you some keys to discover what are the keys to filling your tourist apartments consistently.

Competing on Airbnb is about offering experiences to your guests

Guests of tourist accommodations want to feel comfortable and stress-free. Unlike the typical hotel customer, Airbnb guests also want to feel that their hosts treat them like friends –or at least acquaintances–. To compete on Airbnb, remember that your guests want to feel at home... This form of treatment is unaffordable for a hotel. Hosts who recreate this atmosphere of closeness are the ones who receive the best reviews. It is key to shining in the ad for your tourist apartment

If you are a reader of this blog, you have probably already learned some useful tips to make your guests feel at home. Below we give you some extra tips to stand out from the competition of your tourist accommodation.

As with any other business, competing will cost you money. However, you must evaluate the return on that investment (ROI): Will the final result allow you to increase the price per night you charge your guests? Will it increase your tourist accommodation profits?

Informing your guests

First, you must create a personalized guide about the house and neighborhood. This document is key to competing on Airbnb. Upon arrival, the most typical customer questions are usually divided into three categories:

• WiFi Password
• House rules
• Information about the area:
• Nearest metro, train or bus station
• Supermarkets
• and... your personal recommendations for places to visit!

A good welcome book allows your guests to resolve all those doubts without needing to contact you personally.

Below, you have a comparative table with the pros and cons of the different forms that a guest guide of this type can have. Choose the one that best suits the target customer of your tourist accommodation. This part of knowledge of the ideal guest and the positioning of the accommodation is critical to compete in Airbnb.

TypeAdvantageDisadvantageHouse Rules on Airbnb> Already in your Airbnb ad> Guests don't read it
> Easy to find> Time to consolidate
> Hard to update remotely
> Complicated to use if you don't use a good format
> Easy to send> Easy to update> Not available on all devices
> You don't have traceability of what your guests read
> Easy to navigate> Easy to update remotely> Depends on an internet connection
> Guests need to remember how to access

Show appreciation

If you want to take the action of appreciation to the maximum, it is recommended that you write a personalized thank-you card with the guest's name. Yes, it is also worth buying cards at the supermarket or stationery store and always using the same one. However, personalization is a technique to compete on Airbnb that will allow you to differentiate yourself from the rest and stand out.

Additionally, if your guests take this personalized card before leaving, they will leave with a good taste in their mouth about your accommodation... which will help them write a great review.

Go further

The last tip to compete in Airbnb is to go beyond the basic amenities. By the way, if you're just starting out and you're not sure what to include, take a look at our post on tourist apartment decoration.

It is true that some guests bring their own bathing suits. However, the limitations on carrying liquids at airports or the increasingly strict baggage conditions (have you traveled on Ryanair? hehehe) make it advisable to include this type of elements in your tourist accommodation to compete on Airbnb.

Conclusion: Competition on Airbnb

As Airbnb, the vacation rental sector and in general, the collaborative economy, continues to grow, the market is moving from being incipient –and in the expansion phase–, to one of consolidation. With this, the competition intensifies.

As more and more guests start using these platforms -most of them coming from hotels-, the level of demand increases for hosts. Those who do not offer equivalent experiences will be losing part of this new wave of customers.

However, you should not depersonalize the Airbnb experience. Your guests expect a more personal treatment –something that no hotel can offer them– and, at the same time, an equivalent level of service quality.

Did you like this post on how to compete in Airbnb as a host? You can subscribe to the newsletter by completing the form below to receive tips like these every week. In addition, you can take a look at the intelligent electronic locks from Raixer. It offers a comfortable 24-hour check-in from €99.