Booking lead times are shrinking in the UK and US, while occupancy levels are fluctuating wildly in different regions, according to exclusive data shared by Beyond – the global revenue management system for the vacation rentals industry.
Beyond crunched the numbers in tourist hotspots on both sides of the Atlantic and found that booking lead times were reducing significantly across each of the 10 regions assessed. Orlando registered one of the most dramatic falls, with guests booking their stays about 29 days in advance, compared to 67 days ahead of arrival a year earlier.
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In terms of occupancy, UK tourist hotspots including London and the Devon & Cornwall region achieved increases of 10% and 9% respectively. Orlando, meanwhile, is dealing with the opposite trend, with occupancy down 9%. In the US, only New Orleans (out of the markets assessed) achieved positive occupancy territory thanks to a 6% year-on-year increase.
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Below is a breakdown from each key market:
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United Kingdom
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London
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Average occupancy rate: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 58% (up 10%)
Most popular booking channel: Â Â Â Â Â Â Â Â Â Â Â Â Airbnb (62% of bookings)
Average length of stay: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 4 days (up from 3 days)
Average booking lead time: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 13 days (down from 18 days)
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Devon & Cornwall
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Average occupancy rate: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 58% (up 10%)
Most popular booking channel: Â Â Â Â Â Â Â Â Â Â Â Â Airbnb (47% of bookings)
Average length of stay: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 5-6 days (no change)
Average booking lead time: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 54 days (down from 61 days)
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Lake District
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Average occupancy rate: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 48% (up 8%)
Most popular booking channel: Â Â Â Â Â Â Â Â Â Â Â Â Airbnb (51% of bookings)
Average length of stay: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 3 days (no change)
Average booking lead time: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 27 days (down from 36 days)
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Scotland
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Average occupancy rate: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 48% (no change)
Most popular booking channel: Â Â Â Â Â Â Â Â Â Â Â Â Booking.com (56% of bookings)
Average length of stay: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 3 days (no change)
Average booking lead time: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 36 days (down from 46 days)
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Wales
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Average occupancy rate: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 57% (no change)
Most popular booking channel: Â Â Â Â Â Â Â Â Â Â Â Â Booking.com (42% of bookings)
Average length of stay: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 4-5 days (no change)
Average booking lead time: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 52 days (down from 68 days)
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United States
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New Orleans
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Average occupancy rate: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 39% (6% increase)
Most popular booking channel: Â Â Â Â Â Â Â Â Â Â Â Â Airbnb (92% of bookings)
Average length of stay: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 3 days (no change)
Average booking lead time: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 31 days (down from 37 days)
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Austin
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Average occupancy rate: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 54% (down 1%)
Most popular booking channel: Â Â Â Â Â Â Â Â Â Â Â Â Airbnb (79% of bookings)
Average length of stay: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 3 days (no change)
Average booking lead time: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 12 days (down from 15days)
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Lake Tahoe
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Average occupancy rate: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 44% (down 1%)
Most popular booking channel: Â Â Â Â Â Â Â Â Â Â Â Â Direct booking (42% of bookings)
Average length of stay: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 3 days (no change)
Average booking lead time: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 30 days (down from 34 days)
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Outer Banks
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Average occupancy rate: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 60% (down 6%)
Most popular booking channel: Â Â Â Â Â Â Â Â Â Â Â Â Direct booking (56% of bookings)
Average length of stay: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 5 days (down from 6)
Average booking lead time: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 65 days (down from 99 days)
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Orlando
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Average occupancy rate: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 44% (down 9%)
Most popular booking channel: Â Â Â Â Â Â Â Â Â Â Â Â Airbnb (63% of bookings)
Average length of stay: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 4 days (down from 5)
Average booking lead time: Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 29 days (down from 67 days)
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Advice and guidance for hosts and property managers
Optimise listings on dominant booking channels
Recognising the dominant booking channels in each market is crucial. For instance, while Airbnb seems to be prevalent in many areas, some places still rely heavily on direct booking websites or platforms like Booking.com.
Keep an eye on occupancy rates
Hosts should keep a close eye on occupancy rates to gauge demand and adjust pricing strategies accordingly. Markets with higher occupancy rates may allow for higher rates, while those with lower rates might require promotional efforts to boost bookings.
Be flexible with booking policies
Shrinking booking lead times indicate a trend towards shorter decision-making windows by guests. Hosts should adjust their marketing strategies and remain flexible with booking policies to accommodate last-minute bookings effectively.
Align any minimum stay restrictions with average length of stay
If guests in your market typically stay a few days, ensure that any minimum stay restrictions are aligned with that.
Adapt to competitive markets
In markets with high competition, hosts may need to differentiate their offerings through unique amenities, exceptional customer service, or targeted marketing campaigns to attract guests.
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