Despite the recent restrictions on travel in New Zealand and globally, and the low occupancy we have been experiencing, at The Urban Butler we have been planning for when travel starts to open up again. We wanted to share some of the positive trends we are seeing globally and locally that indicate a busy time ahead for the short-term rental industry!
The rebound is coming
Guesty, our software provider, were recently quoted in multiple media articles sharing their data on occupancy post Covid-19,
“Thanksgiving reservation volume is up by 302% compared with 2020, and 93% higher compared with 2019 volume, according to Guesty, a vacation rental platform. And Christmas reservation volume across the U.S. is up 469% compared with 2020, and is currently 157% higher than 2019 volume. Home rental rates on websites such as Airbnb, Vrbo, Expedia and TripAdvisor may be as much as 82% higher than what they were in 2019, according to the company.”
Local trends
Closer to home we have seen the same happen in Australia once consumers are able to book with confidence around government Covid regulations, with both nightly rates and occupancy at much higher levels even compared to 2019.
Supply shortage compared to demand
Recent data from AirDNA, (who track data for short-term rentals globally) shows Auckland as at October 2021, has only 52% of short-term rental stock compared to February 2020 indicating a supply shortage once travel returns.
Consumer behavior and trends for 2022
A 2022 Travel Trends report from Evolve that surveyed 16,000 travelers has a very positive outlook for the future;
“Almost 80 percent of survey respondents indicated they are actively moving forward with 2022 travel plans; 47 percent indicated they won't consider cancelling until much closer to their trip dates whereas 32 percent said they are planning to travel regardless.”
Auckland and New Zealand are in demand
Auckland and New Zealand have been getting a lot of media attention post Covid-19 to help drive travel demand. Here are some encouraging articles from global press recently;
- Economist – Auckland was named the World’s Most Liveable City. Read more here.
- Lonely Planet – Auckland was named the Best City to Visit in 2022. Read more here.
At The Urban Butler, we’re confident that there will be unprecedented travel demand domestically (and internationally once borders are open). The image that New Zealand has globally in terms of Covid-19 and general safety is well documented and with all the recent accolades Auckland will be high up on everyone's travel bucket list!
If you would like to discuss your property and how partnering with The Urban Butler works for your situation, we can help! Get in contact with us for a free consultation or if you have any questions regarding our full short-term property management services by clicking here.
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