Your Airbnb occupancy rate is the ratio of rented space to the total amount of available spaces. High occupancy rates are good for business – they influence your Airbnb’s rental income and the amount that you can charge your guests.
They are not the end all be all, as there are many other factors to consider when running a profitable Airbnb. It’s important not to focus exclusively on your occupancy rates. But they are arguably the number one way to tell if your Airbnb is successful, a great source of data, and something you want to keep an eye on.
That being said, here’s our guide to maximizing your occupancy rates.
What affects my occupancy rate?
There are many factors that affect occupancy rates. One of those is location. You’ll find differences in occupancies in different cities. Even different neighbourhoods. Urban cities and tourist cities are popular on Airbnb. If you look at two properties in the same city, a property in the suburb’s occupancy rates will differ than a property located in the downtown core.
One reason for this is the proximity to amenities such as restaurants, shops and entertainment. Travelers are looking for things to do, and the closer they are the better. The distance from your Airbnb to these attractions will have an impact on your occupancy rates.
The property amenities also play a role – things like WiFi and appliances are attractive to guests. In 2018, offering WiFi at your Airbnb is a necessity.
And of course, a guest’s experience plays a huge role in your occupancy rates. Not only are reviews crucial, but being a good host is a necessity if you want your investment property to profit.
How do I improve my Airbnb occupancy rate?
While you may not be able to change your property’s location, there are a lot of things you can do to maximize your Airbnb’s occupancy rates.
Keep an eye on your pricing to determine where and when demand is high. Adjust pricing accordingly. Monitoring activity will help you determine pricing that will help to improve your occupancy rates (and gain a profit).
Spend Time on Advertising
You could put your space up on Airbnb and call it a day. Maybe you wait around for bookings to come in, but it feels like things are slow.
That’s because advertising your Airbnb is a necessity. Optimize your profile and listings, market it on social media and the rest of the web.
Upgrade Your Space
If you’re not providing your guests with WiFi, get on it. Items like internet connection, fully-equipped kitchens and a well-stocked BNB are important.
A space’s design is something to consider. Properties with modern interiors and high end design attract guests (and higher nightly rates). Consider updating the furniture and decor, and even the fixtures.
Be a good host!
This one’s a bit obvious, but it bares mentioning. Communicate with your guests regularly and answer all questions promptly. Focus on getting good reviews, be attentive to your guests, and be friendly!
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