5 Insider Airbnb Short-Term Rental Stats

In today’s hyper-competitive short-term rental market, standing out is more than just having a beautiful property — it's about knowing the data-driven strategies that truly make a difference. In a recent Hostaway webinar, Airbnb Listing Appeal & Quality Control, Senior Program Operations Manager for Airbnb, Julia Herrington, shared stats every host needs to hear.

Julia presented key findings based on Airbnb's internal research, revealing surprising ways to boost bookings, enhance guest satisfaction and maximize revenue. These insights, grounded in real-world statistics, offer actionable strategies for hosts looking to elevate their performance, whether they’re just starting or are seasoned veterans of the short-term rental world.

Let’s dive into five shocking statistics that can transform your approach and help your rental property thrive.

Airbnb Listings with a New Promotion See 79% More Bookings

According to Airbnb, properties that take advantage of Airbnb's new listing promotion experience a remarkable 79% increase in bookings within 365 days compared to those without. 

"This is one of the easiest tools hosts can use to attract guests when they're just getting started or want to refresh a listing," Julia noted.

This data, collected between March and August 2024, emphasizes the importance of leveraging Airbnb’s promotion features, especially for new listings trying to break through the noise. The surge in bookings reflects how offering an introductory discount or promotion can significantly enhance visibility in search results, catching the attention of potential guests looking for good deals.

Key takeaway: Don’t miss out on using Airbnb’s promotional tools when launching a new listing. A simple promotion could be the push needed to stand out in a crowded market.

Airbnb ‘Guest Favorites’ Listings Account for 100 Million Booked Nights

In November 2023, Airbnb rolled out its Guest Favorites feature, which has already proven wildly successful. As of Q1 2024, over 100 million nights have been booked through Guest Favorites listings. These are properties that have earned high praise from previous guests, with attributes like cleanliness, location and exceptional host responsiveness.

Julia explained, "When guests feel confident that a listing will meet their expectations based on previous reviews and host interactions, they're more likely to book. Guest Favorites provide an easy way for potential guests to find highly-rated options."

This feature not only helps guests identify reliable and highly recommended listings but also benefits hosts who receive positive feedback and consistently meet guest expectations. The massive number of nights booked highlights the influence of strong reviews and repeat bookings, reinforcing the value of guest satisfaction.

Key takeaway: Work on becoming a Guest Favorite by maintaining high standards in your property’s cleanliness, communication and overall experience. This could dramatically improve your booking rates.

5-Star Reviews Can Boost Bookings by 4.6% and Revenue by 3.2% on Airbnb

Receiving a 5-star review can do more than just give you a sense of accomplishment — it directly correlates with increased revenue and bookings. Airbnb’s data from 2022 reveals that each 5-star review leads to a 3.2% growth in Gross Booking Value (GBV) and a 4.6% increase in future bookings the following year.

Julia shared, “The power of a 5-star review can’t be overstated. Guests want reassurance that they are booking a well-managed property and positive feedback from others provides that confidence.”

This finding underscores the importance of striving for excellence in every guest interaction. Whether it's through thoughtful amenities, timely responses or a sparkling clean space, earning those 5-star reviews is not only good for your ego but also for your bottom line.

Key takeaway: Aim for 5-star reviews by consistently exceeding guest expectations. Even a small improvement in guest satisfaction can lead to tangible financial rewards.

Everyone knows that simple, clear communication can make a significant difference in reducing operational headaches. According to internal Airbnb data, hosts who added checkout instructions in May 2023 saw a 5% reduction in reservation-related issues within the first 90 days.

"This is a simple yet highly effective change hosts can make," Julia pointed out. "It ensures guests know exactly what’s expected of them, helping to prevent misunderstandings and improve the overall experience."

Guests appreciate clear, concise instructions that help them complete their stay without confusion. By providing step-by-step checkout instructions, hosts can avoid problems such as guests leaving without properly locking up or misplacing keys, which can lead to negative reviews.

Key takeaway: Prevent issues and potential negative reviews by adding clear, easy-to-follow checkout instructions. This small adjustment can save time and reduce guest complaints.

Airbnb Listings with New Listing Promotion Have a 50% Chance of Getting Booked

For new hosts, getting that first booking can be daunting. Airbnb’s internal data from July to December 2023 shows that approximately 50% of all bookings in the second half of 2023 had applied a new listing promotion. This shows the importance of leveraging this tool to kick-start bookings for new properties.

Julia emphasized the benefit of using promotions, saying, “The promotion helps you stand out, but what’s more important is the long-term benefit. Once you get that first booking, the algorithm starts favoring your property more, which can help you continue to attract more guests even after the promotion ends.”

Promotions are particularly crucial for new hosts looking to establish a reputation and generate initial traction. Once a booking is made, the listing gains valuable visibility and social proof, setting the stage for further success.

Key takeaway: If you’re a new host or launching a new property, take advantage of Airbnb’s new listing promotion to boost your chances of landing that first booking quickly.

Maximizing Your Airbnb Listing for Long-Term Success

Whether it's through leveraging promotions, securing 5-star reviews or using clear communication with guests, each approach offers a concrete way to enhance your listing's performance. By focusing on these actionable insights, hosts can drive more bookings, improve guest satisfaction and ultimately increase revenue, ensuring long-term success in a highly competitive market.

FAQs

How do I qualify for a new listing promotion on Airbnb?

Airbnb typically offers new listing promotions to hosts when they create a new listing on the platform. The eligibility criteria may include being a new host or adding a new property to an existing host account. 

Do promotions and high reviews influence the search ranking of Airbnb listings?

Yes, promotions and high guest reviews can positively influence the search ranking of a listing. Airbnb's search algorithm favors listings that are likely to provide great guest experiences, as indicated by previous guest satisfaction and promotional engagement.

1. How can hosts maintain the momentum gained from a successful new listing promotion?

After a successful promotion, hosts can maintain momentum by continuing to offer excellent guest experiences, soliciting feedback, and encouraging reviews. Regular updates to the listing and responsive communication also help keep the listing attractive.

What specific attributes tend to earn listings the 'Guest Favorite' badge?

Listings often earn the 'Guest Favorite' badge through exceptional cleanliness, outstanding communication from the host, and unique amenities. Consistently high reviews and guest feedback on these attributes significantly contribute to achieving this status.

How often are 'Guest Favorite' badges reviewed or renewed on Airbnb?

Airbnb does not publicly disclose the exact frequency of how often ‘Guest Favorites’ are reviewed or renewed. It's likely dependent on ongoing guest feedback and consistent performance in key areas like cleanliness and communication.