Booking.com has drawn level with Airbnb as the main booking source for short-term rental stays in the UK – according to Key Data’s latest Short-Term Rental Seasonal Report.
During Q2 2024, Booking.com increased its guest check-ins to 39% – an increase of 1.1% compared to the same period in 2023. Airbnb’s market share dropped by 0.2%, while direct bookings fell by 0.6%, and Vrbo fell back by 0.2%.
A Key Data spokesperson said: “Even though Booking.com already makes up a large portion of guest check-ins, this booking source grew more than one percentage point over the same period in 2023. In fact, Booking.com was the only booking source [included in the statistics] that saw an increase in bookings.”
The report also included interesting stats about occupancy levels and daily rates.
In June, occupancy levels were slightly higher than in 2023 (up 1%) and about the same as in 2022. With the exception of April, calendar occupancy is faring better than last year. However, July is pacing about 1% behind 2023 levels, while August and September are both pacing 1% ahead.
Rates, meanwhile, are up slightly in 2024 as hosts continue to grapple with high mortgage and energy costs. The recent dip in inflation to 2% suggests there is light at the end of the tunnel, however, while experts are predicting the Bank of England will begin cutting interest rates before the end of the year.
In June 2024, daily rates were £175 on average – which is £8 higher than last year, and £12 ahead of 2022. This trend continues through September, with July and August rates both pacing £16 ahead, and September pacing £10 ahead. However, expect to see average rates decrease as you move through the booking window. Bookings made early tend to be for larger units at higher prices.
The spokesperson added: “Rates are continuing to increase throughout the United Kingdom and in Europe, but keep an eye on occupancy figures. Price-sensitive travellers will only tolerate so many price hikes, as was seen in the United States post-COVID.”
A couple of regional variations to note; rates in Scotland are up 8% this year – which might be due to the impact of licensing and planning changes north of the border which have significantly reduced competition. Meanwhile, in Wales, occupancy levels have increased by 7% this year after the Welsh Parliament introduced new guidelines to insist furnished holiday lets must be let out for 182 days per year.
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