by: Elska Vuong
You’d be hard-pressed to find someone who hasn’t heard of Airbnb, Homeaway, or VRBO—sites known for alternative accommodations.
According to a 2018 Morgan Stanley study, 27 percent of surveyed travelers used Airbnb in the U.S. or Europe at least once between October 2017 and October 2018. While some projections indicate that Airbnb’s growth might have peaked, there are things that hotels can, and are, doing to stay competitive.
Show Up
In early 2018, Airbnb launched a campaign to increase hotel listings on its site. While the effort primarily targeted boutique hotels and bed and breakfasts, the takeaway is still the same - customers are increasingly looking across lodging types to find the option that best fits their needs for each trip. Most customers alternate between private rentals and hotel rooms depending on the purpose and destination of their trip, so it benefits all parties to place listings on multiple platforms. Where possible, it can be more effective to view Airbnb as a competitor to online travel agencies like Expedia and Booking.com than as a hotel rival.
Suite-n the Deal
One of the main draws of alternative accommodation sites is their inventory of homes or apartments that can accommodate families or large groups. Customers looking for those options oftentimes immediately rule out hotels, but that does not need to be the case. There are plenty of hotels that have a large suite inventory, most of which can convert to a multi-room suite. It’s just a matter of marketing these rooms appropriately. Showing potential customers that a hotel can meet their multi-room needs, while providing the added benefits of staying in a hotel — additional safety, service, and quality assurance — is a big selling point.
Facilitate Connections
More than ever, travelers seek authentic experiences, interwoven throughout their trip, particularly in places where there are attractions or a strong local culture. They view lodging through that same lens. As such, hotels should foster a sense of community and feel as much a part of the neighborhood as the local coffee shop.
“Perhaps most importantly, hotels and their staffs should strive to be genuine. Guests are savvier than ever and have keen eye for manufactured authenticity.”
Properties can create opportunities, both within the local neighborhood and beyond, for guests to interact and connect with local residents. Some examples:
Host pop-up restaurants or shops;
Serve local produce and specialties; and
Create common spaces that are inclusive, embrace the local community, and encourage socializing.
Perhaps most importantly, hotels and their staffs should strive to be genuine. Guests are savvier than ever and have a keen eye for manufactured authenticity. By leveraging staff or their local knowledge and recommendations, and empowering them to make real connections with guests, hotels are best able to not only compete with alternative accommodations, but also improve the quality of their offerings.
