There are (2) reasons for low occupancy; one is not getting seen in the search algorithm. Here are some insights to help get seen by your ideal guests
Understanding what it takes to be visible on the booking platforms like Airbnb and Vrbo can make a world of difference for your short-term rental business. When folks come to me because of low occupancy, my standard response is first - what's the benchmark, and if a property is under benchmark then I'm explaining there are only two reasons - the first is not getting seen - an algorithm issue - the second we'll cover next week. Occasionally someone will tell me they aren't using the booking platforms - to which I politely inquire why and point out it takes much, much longer to have a successful business without leveraging them - these are powerhouses that can get eyeballs on your offer enmass and lets face it - marketing is a numbers game. So getting seen in the search algorithms is a key strategy. But climbing the ranks in search results is more than just a matter of luck; it's about understanding and strategically influencing the factors these platforms use to rank listings.
So lets put on our CEO hats - this time the CEO of a booking platform, and break down these key elements and how you can optimize them for better search positioning. Disclaimer - I'm not an expert. My business model is not to become an expert in the booking platforms but rather to become an expert in direct booking and marketing for direct-bookings so consider this below as sourced from research I've done on the topic and common sense. There are others who make it their business to game the algorithms and pour all their time and energy into getting into the top. All my properties perform at least in the 75% percentile, so I'm doing pretty well. But if we think like a booking platform it makes sense that they will reward folks who deliver what they need - happy guests, but it also makes sense that with hundreds of thousands to millions of listings not everyone who is a solid citizen is always going to be able to be at the top of the algorithm, so don't get too caught up in all this.
Your listing is your property's digital storefront, and every detail counts. Having a listing that showcases your offer in a way that resonates with your ideal guest is key! Here's what to focus on:
Pricing isn't about being the cheapest option. It's about finding the sweet spot where perceived value and demand meet. Utilize tools like AirDNA for market insights. Adjust prices for seasons and local events, but always ensure your rates reflect the quality and experience you offer. I talk alot about this in my blog posts; price is a tool, convey value for the win. Read more HERE.
Expedia recently published that 4.7 and above is the key measure for building trust - which is what this point is ALL about. Trust that the guest is going to get what is promised in the listing and photos, and that should anything go wrong you as the host will take care of them. Social proof is a key contributor to folks hitting the "Book Now" button and the booking platforms know this - and reward hosts with solid reviews and prompt communications (although an ex-Airbnb employee at a conference a couple years ago said replaying TOO QUICKLY (?!!) is rated as being a bot so the magic time was 7 minutes... )
Platforms often consider your booking rate and cancellation rate. Aim for a high booking rate and a low cancellation rate. This might mean being selective about instant bookings - yes, if you want to be higher in the algorithms I think you need to allow them but you can allow them with caveats! Also, ensuring your calendar is always up-to-date to avoid accidental double-bookings.
Regularly update your listing. This could be as simple as tweaking the description, updating photos, or adjusting your amenities. Platforms tend to favor listings that are actively managed and updated - and they'll give you many prompts to update information. Make sure to do so.
While traditional SEO tactics don't apply directly, using relevant keywords in your listing title and description can help. Think about what potential guests might be searching for and incorporate those terms naturally. This means NOT including your property name in the headline, by the way.
While improving your ranking on platforms is crucial, don't forget the value of direct bookings. A well-optimized direct-booking website can complement your listings on Airbnb and Vrbo, giving you more control over your booking process and guest relations. It also gives you more money - because you aren't paying the booking platforms (learn more about getting started with direct-bookings HERE)
Improving your search result positioning on platforms like Airbnb and Vrbo is an ongoing process, requiring attention to detail, strategic pricing, excellent guest relations, and consistent listing management. By focusing on these key areas, we can not only enhance our visibility but also create a memorable and enticing listing that guests are drawn to.
Remember, it's not just about being seen; it's about being seen and chosen.
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Hey Boss! I'm Kate, owner/founder of The CEO Host. If you are interested in taking a leap into short-term rentals - or have some questions about your existing business, my goal - passion, and career, is to help YOU succeed. I've coached hundreds of folks getting started or looking to optimize, analyzed more deals (and duds) than I could count, completed thousands of hours of education and training, attended conferences... So don't be shy. A good CEO knows to bring in expert help - and that's what I'm here for! Lets HOP ON A CALL and chat!