10 Tips to Weather the ‘AirbnBust’
Here in the Pocono Mountains of NE Pennsylvania, the sky is overcast on this dewy spring morning. My outlook on the business platform that has shaped my every business move for the past 6 years, is equally as overcast. The end of the month means a tally of our business for the past four weeks and the numbers have come back; the downward trend in bookings and profits is continuing.
Bookings have only slightly dipped in our region, while available units have surged well past the amount of travelers looking for accommodations.
It is time to ‘trim the fat’ and this are the exact steps I take when its time to batten down the hatches and brace for the immediate and residual financial impact these new units are having on my profits;
Research Your Unit-
What are your most positive reviews mentioning? Highlight it in your listing. Expand on it, offer more of it!
What are your most negative reviews mentioning? Fix it IMMEDIATELY! and note that it has been fixed in the negative review. Update pictures to show what has been fixed.
Is your unit ‘Instaworthy’? Function is necessary, but form will drive home those bookings.
Research Your Competition-
When you search listings in your area, click on the top five in the search results and see what they’re offering that is working well for them.
Go through the ‘Amenities’ section and try to check every box-
Iron? Go get one! Dedicated workspace? Make one! The more boxes you check, the greater audience you will reach.
Cut the Excess-
Leaving salon brand shampoo and conditioner at your unit for guests, try refilling those bottles with house brand replacements for cost savings.
Cable bill at the unit? Shave that $200 off and stick to internet TV.
Make sure heating and cooling units are on minimum when your units are vacant.
Use this ‘Quiet Time’ to Revamp your Listing-
Instead of paying painters to come in and repaint, watch a YouTube video and do it your self!
Get creative with painters tape, wood strapping and other mediums to creative unique wall murals or focal points in your room.
Deep clean the unit, pull out appliances and dust the cobwebs in the corners of the ceiling.
Little touches make a big difference!
Invite Friends, Coworkers and Family to Book your Unit Midweek at a Discounted Price-
Study groups? Girl Scout Functions? A Baby Shower? Your unit is not just for sleeping, it can be an event space with a kitchen for intimate gatherings!
Beat the Algorithm-
Airbnb wants you to ‘touch’ your listing EVERY DAY! By being present of their website, it will push you up the search results. There are many channel managers that help facilitate this saving you time.
Ask your friends to ‘favorite’ your listing on Airbnb, that helps shift the algorithm also.
The more people that click on your listing, the better. Make sure your primary photo is top notch.
Darwinism is in Full Force here- Survival of the Fittest
Make sure what you are after is not just on par with the rest, but is head and shoulders above the rest! Strive for excellence!
There is no room for mediocrity here, in order to survive the wave you must be better than the majority.
Get Real- Maybe your Listing isn’t Going to Survive..
If your listing is boring and you don’t have the time or money to improve it, maybe this space isn’t right for you at the moment.
HOA’s with no community amenities, uninspired interiors, poor location, angry neighbors, code violations and any number of other things can be a fatal blow to your business.
Sometimes we have to Take a step back to regroup and refocus.
I listen to the wisdom of Kenny Rodgers:
You've got to know when to hold 'em
Know when to fold 'em
Know when to walk away
And know when to run
You never count your money
When you're sittin' at the table
There'll be time enough for countin'
When the dealin's done.
During AirbnBust the two most striking options I see are people ‘holding’ and ‘folding’. Run your numbers, know where your bottom threshold is and if you reach it then reassess your business plan.
If you can ‘hold ‘em’ until summer we will get a better glimpse of what the future holds for Airbnb.
I am expecting a tepid summer, dampened by bank failure and recession fears.
I am overcast but securely braced and hope you all are too.
Good luck out there my friends!
Yours in Hosting,
Jenny
