It has been almost two years since the COVID 19 pandemic struck and it has significantly changed our lives. The travel industry is one of the most affected by this virus.
In many countries, there are heavy travel restrictions which have caused a decrease in demand for flights. This also had an effect on tourism; consequently, demand for vacation properties had dropped. The vacation rental industry has since bounced back with Airbnb reporting its most profitable quarter yet. In order to help capitalize on this industry, Lodgable is connecting property managers to booking sites to increase revenue. Read on to understand how the COVID 19 pandemic has changed the travel industry…
Here are 5 ways in which the COVID 19 pandemic has affected the travel industry:
1. A drop in demand for flights
After the pandemic spread, many people decided to stay at home as a form of self-prevention. Airlines have been significantly affected by this as their market share has decreased because of the falling number of passengers. The airlines that were already established before the disease began spreading gave priority to essential employees and flights were also cancelled for two months.
The outlook of airlines still looks to be unknown as business travel has decreased. Many in-person conferences and meetings are still being replaced by zoom calls. This can be detrimental as some airlines see 75% of their revenue coming from business travelers.
2. A increase in demand for longer stays
Airbnb has seen a significant increase in demand for longer stays. This is attributed primarily to the increased number of remote workers. This originally was started because of the pandemic but has been adopted by many companies. Many employees expect to be able to have remote work as an option moving forward.
This big shift in the workplace has allowed for much more flexibility in many people’s lives. This has increased the demand for mid-week, week-long and month-long stays in cities all over the country. Airbnb reports that 45% of bookings are for at least a week.
3. A shift in demand for local stays
The pandemic caused many people to want to stay in more rural places. With the increase in flexibility of work, many people are making last-minute local getaways. Airbnb has been a huge catalase in helping many of these less known places to stay in higher demand. This has caused an increase in demand for short-term rentals because travellers enjoy having the accommodations that come with a short-term rental.
4. A shift in demand for short-term rentals
Hotels, especially the ones that are cheap and not so centrally located have also experienced a drop in business. Many people, especially families, enjoy the extra space and accommodations a vacation rental gives. These accommodations like having a kitchen make it much easier for remote work to be done if it is possible.
5. Remote work to stay
It looks like remote work around the world is going to stay. It will not be completely remote and many businesses have already adopted a hybrid style work environment. Airbnb conducted a survey of 7500 individuals they found that 38% of people would rather quit their jobs than go back to working in-person full-time. I think the demand for this work environment will only continue the more people fully embrace it.
What can property managers do in order to cope with the effects of this?
If you manage vacation properties it is important to be aware of the COVID 19 pandemic’s effects on your market. Lodgable can help you increase revenue by connecting you to local booking sites. Lodge provides a free and powerful suite of tools that simplifies working with multiple booking channels and offers guests a direct channel to your properties.
Lodgable provides a safe and efficient platform where property managers are seamlessly able to manage vacation properties while reducing costs and increasing revenue. By working with Lodgable, you’ll manage to reach a wider audience and a secure, hassle-free process for your bookings.