In this day and age, a lot of people are always on the go, moving across different cities and even countries to chase opportunities. Not to mention that there’s also a huge chunk of the global population that loves to travel around the world.
With that being said, one aspect of the global industry that benefits the most from this is the real estate market, particularly short-term rentals. After all, where would all the travelers and people on the go stay without AirBnB, hotels, and hostels?
If you have a short-term rental property investment, there’s a high chance that you’ll benefit from all the travelers worldwide. However, you can only maximize your real estate passive income if you have effective management and marketing strategies in place. And how can you form an excellent short term rental strategy? Keep reading to find out.
Short Term Rental Strategy: Why Is It Important?
Every business that does well needs a good marketing plan. If you don’t have a plan, you might waste a lot of time and money on the wrong things that don’t work for your business. Thus, strategizing depending on what your business is and needs is essential.
Every year, the market for short-term rentals is expected to grow, even more so now, that people are eager to travel due to the pandemic that kept them locked in their homes for years. To bring people to your rental property investment, you need to know how to market it.
Rental Property Investment: Managing and Marketing Tips
- Understand the Structure of Your Business
Not all short-term rentals are built the same, thus, there’s not a single strategy that could make a rental property investment succeed. Understanding what your business needs for it to flourish is one of the first things you need to consider in planning.
You also need to know how everything works in your business. Now that you have a good picture of everything that happens in and out of your business, you have to sit down and list down things you want to improve on and how you can improve them.
2. Set Goals
The second step is setting goals. Now that you have understood what your short-term rental needs and you have thought of ways to improve them, you have to work on achieving them. But how could you say that you have improved when you haven’t set goals?
Setting goals allows you to track your rental property investment’s performance over a specific period of time. For instance, you can set up a minimum booking rate per month or a specific annual income. Do you want at least $250K annual wealth created per property or do aim for more than that?
Having goals allows you to create a path and vision of where you want your short-term rental property investment to be.
3. Know Your Target Market
Knowing your target market can be heavily based on the type of short term rental you have. Could it cater huge families? Is it only good for couples? Is it a studio type apartment that’s perfect for single occupancy?
If you know who your target market is, then it will give you a proper insight on how you can strategize your marketing plans.
4. Set a Marketing and Managing Budget
Short term rental properties should always be well maintained and kept in pristine condition if you want your visitors to have a great experience. Keeping it clean and well-functioning is also a huge factor in pulling in guests. After all, who would want to stay in a crappy rental?
Although it is understandable that you want to go all-in on your rental property investment’s management aspect, this isn’t ideal. You have to set a budget for your management efforts as well as for your marketing. Doing so will prevent you from overspending and will allow you to actually earn from your rental property investment.
5. Offer Something More Unique
Your marketing plan will work if you can figure out what makes your rental property investment special and why people would choose it over the ones of your competitors. Pay attention to the things that make your rental stand out from others.
Once you know your short-term rental’s unique selling point, you can put it at the center of your messages and use it to market your hotel to people who fit certain guest profiles.
6. List Your Property in Short-Term Rental Booking Platforms
Putting your rental property investment on booking platforms is a good way to get more people to know about it. This is especially true now that more and more people prefer booking online because of its convenience.
7. Create a Responsive Website
In today’s world, it is not enough to simply have a functioning website. With 92% of users accessing the internet through their mobile devices, having a responsive website is a must. But what is it?
A responsive website is one that adjusts all of its elements to fit any screen size. For instance, when you browse on your laptop, the dimensions are very different from those of your smartphone. A responsive website allows users to view the site without any problems, regardless of the device they’re using when browsing the internet.
Having a responsive website for your short-term rental will give it an edge over its nearby competitors.
8. Maximize Social Media Platforms
Social media platforms have billions of active users each day. With this huge market opportunity, you’ll never go wrong with social media marketing. Creating an Instagram and Facebook page for your short-term rental investment property is free. Thus, all you have to do is take great photos of the property, as well as provide a good service that you can showcase to everyone visiting your social media pages.
9. Conduct Promotions
Creating great deals and promotions for your target market to take advantage of is one great way of advertising your short-term rental. On top of that, it will also entice new leads. However, making your promotions known to your target market is also essential. You can do this by conducting email marketing as well as social media advertising.
Putting your short term rental property investment out there is no easy task. Thus, you must work hard and find ways to let your business be known. Formulate a managing and marketing strategy that fits your business so that your rental property investment will be successful.