Although many short-term rental platforms have touted the trend of long-term stays as people travel with increased flexibility, new data suggests that travel is “normalizing” as consumers grow more comfortable with shorter stays and longer booking windows.
According to Guesty, which analyzed booking patterns across platforms including Airbnb, Booking.com, Vrbo and Tripadvisor, stays in the United States this summer will be 14% shorter compared to last year at 4.3 nights in 2021 versus five nights in 2020. This summer’s length of stay is close to the pre-COVID 2019 average of 4.1 nights.
For July 2021, stays are 14% shorter than July of last year and the same length of stay as July 2019. Reservations for the month cost 29% more compared to July 2020 and 29% more than July 2019.
Reservations for August and September show stays are 19% shorter for August 2021 and 7% shorter for September 2021 compared to the same periods last year.
Reservations for both months cost 30% more compared to 2020; compared to 2019, August 2021 reservations cost 26% more and September 2021 reservations cost 34% more.
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In general, reservations will cost 30% more in the U.S. this summer compared to last year and 28% more compared to 2019 as restrictions ease and pent-up demand plays out.
The share of domestic travel in the U.S. is up 12% this year compared to pre-COVID, and more than 90% of reservations in the country are being made by domestic travelers.
According to Guesty, which provides software to short-term rentals, it was easier for property managers and professional hosts to pivot to targeting domestic travelers because they were already targeting this audience.
Comparatively, in the United Kingdom, a lagged recovery and a historically lower reliance on domestic travel meant property managers and professional hosts had to make more drastic changes to their marketing strategies.
As such, the share of domestic travel in the U.K. almost doubled this year compared to pre-COVID, increasing by 76%.
For the remainder of the summer - July through September - reservation volume in the U.K. is 700% higher than 2020. Reservation volume is 22% higher than 2019.
Reservations will cost 30% more per night compared to 2020 (£171 vs £132) and almost 22% more compared to 2019 prices, which will help hosts recoup some of their losses from 2020.
For July 2021, average nightly rates are 41% higher than July 2020 and 13% higher than July 2019 average nightly rates.
For August 2021, average nightly rates are 13% higher than 2020 and 25% higher than 2019 average nightly rates. September 2021 average nightly rates are 33% higher than 2020 and 54% higher than 2019 average nightly rates.
On average, travelers will pay £160 per night in July, £177 in August and £178 in September.
In Australia, the share of domestic travel is up 40% compared to pre-COVID. Winter 2021 (June through August) is 226% higher than 2020 and 12% higher than 2019.
The average nightly rate is currently $253 AUD, an increase of almost 83% compared to last year.
The length of stay for winter bookings in Australia has decreased by two days, again signaling a return to normalcy.
U.S. outlook
According to Guesty, reservations over Memorial Day weekend were 71% higher compared to 2020 and 43% higher compared to 2019 and cost $226 per night – 71% more than 2020 stays and 9% more than 2019 stays.
For the upcoming Fourth of July weekend, reservation volume is 140% higher compared to 2020 and 47% higher compared to 2019. Stays for the weekend will cost 17% more than in 2020 at $318 per night. Last year, last-minute reservations for the holiday were common, but consumers are now booking more in advance.
Fall/winter holidays in the U.S. are also expected to see a surge in bookings, outperforming pre-COVID numbers in volume and prices.
November and December 2021 reservation volume is already 157% higher than November and December 2020 and 80% higher than the same months in 2019.
For the Thanksgiving holiday, reservation volume is up 56% compared to 2020 and up 39% compared to 2019. Travelers are planning stays of four days per trip on average.