Over the last few months, we have been tracking worldwide booking data! This data has helped us understand booking patterns and inform pricing strategy for our algorithm. Users have also used this data via market dashboards to update their pricing strategy via customizations.
The data we showed in our last webinar (on recovery trends) was particularly striking, and we’re presenting some of that here.
We look into 4 big themes on trends in Short-Term and Vacation Rental bookings here:
Vacation rental markets are generally recovering faster than urban markets, and the US is generally leading Europe in bookings recovery
This was somewhat expected – urban centers rely a lot on large gatherings of people (conferences, concerts, business meetings) for travel demand. Most large events worldwide are canceled, and business demand will be late in recovering.
Similarly, domestic tourism is going to be the first to restart, and everyone will be hesitant about traveling across the border for a while. This means that countries like the US with a much larger share of domestic tourists will recover sooner.
Things are slowly going back to shorter bookings (which was more of a North American phenomenon anyway)
This chart shows the number of days booked (so a longer booking shows more prominently than the chart in #1). Back in March and April, there was a surge in mid-term bookings in the US, while shorter bookings dried up. That mid-term volume is slowly going down, while the short term volume is beginning to reclaim its larger share.
This is clearer in the chart below that shows the average length of stay, which is going back to pre-COVID levels in all the segments we’re looking at.
Other than the North American vacation rental market, the prices are depressed everywhere else
The trend in prices is indicative of the demand and recovery: North American vacation rental market has rebounded strongly, and it shows in the price!
Guests are getting comfortable booking stays for far-out again
A big trend we saw during the peak of uncertainty was that most bookings were happening for last-minute stays (the share of same-day and same-week bookings soared). That was understandable, as no one knew if they’d be able to make any trips farther out or not. While there is still some uncertainty in the markets, we see more and more bookings happening for date 1-2 months in the future.
We hope this gives you some insight into what’s happening around the world and helps you make sense of what might be happening in your own portfolio. If you have any questions about this data, how to interpret and use it, or how to get more localized data, please let us know at firstname.lastname@example.org!