{"id":3579,"date":"2023-10-20T10:15:29","date_gmt":"2023-10-20T10:15:29","guid":{"rendered":"http:\/\/www.schofields.ltd.uk\/blog\/?p=3579"},"modified":"2023-10-20T11:27:34","modified_gmt":"2023-10-20T11:27:34","slug":"holiday-rental-mistakes","status":"publish","type":"post","link":"https:\/\/www.schofields.ltd.uk\/blog\/3579\/holiday-rental-mistakes\/","title":{"rendered":"Mistakes Holiday Let Landlords Make (And How to Avoid Them)"},"content":{"rendered":"Reading Time: <\/span> 15<\/span> minutes<\/span><\/span>

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Many holiday home owners fall into the trap of thinking it\u2019s easy to set up a holiday letting business, secure bookings, and make a good income \u2014 but the reality is it\u2019s often not quite so straightforward.<\/p>\n

While the \u2018barrier to entry\u2019 might seem as though it\u2019s lower than other types of business, the world of holiday letting is hugely competitive, and guests are spoilt for choice.<\/p>\n

So, for the best chance of success, you need to be savvy when it comes to your marketing, the guest experience, and quality standards.<\/p>\n

Mistakes can cost money, waste time, and cause a great deal of stress. We\u2019ve compiled a list of some of the most common mistakes holiday let landlords make, along with our advice about how to avoid making them in the first place.<\/p>\n

Making a mess of your pricing<\/strong><\/span><\/h2>\n

Some hosts think that the cheaper they are, the more bookings they will get.<\/p>\n

Sure, this might be true in some cases, but will the rental rate cover your costs? And are you going to attract the kind of guests you want staying in your holiday home? Will people also wonder what\u2019s the catch if it\u2019s too cheap? Price for profit \u2013 not occupancy.<\/p>\n

What to do:<\/em><\/strong> Use a dynamic pricing tool<\/strong><\/span><\/p>\n

Price your holiday rental realistically<\/a>, but also know that a high-quality, more expensive holiday rental with fewer changeovers will be easier to manage in the long run; even if it means making a higher investment to begin with.<\/p>\n

Look at the competition to see what they\u2019re charging, and then figure out how you can be different and better. On top of this, you should consider other pricing factors such as seasonality and current trends in the industry.<\/p>\n

It\u2019s recommended that you use a third-party dynamic pricing tool to set your rates, rather than just relying on your intuition and recommendations from listing sites.<\/p>\n

Of course, pricing tools charge a fee to use, but you are likely to find that the money you make from pricing your property optimally in the first place more than covers this over time.<\/p>\n

Using a pricing tool better ensures that you get the highest rate possible. It will also help you to keep your pricing dynamic and competitive, rather than being stuck with a flat rate per night\/per week because you don\u2019t want to risk a rate change.<\/p>\n

You could try a tool such as Wheelhouse or Beyond Pricing, but you\u2019ll find many others by doing a simple online search.<\/p>\n

If you do choose to set your prices higher than those for similar properties, justify this by listing the extras guests can expect to find in your holiday home. Think luxury toiletries and linens, concierge services, chef, or anything that makes your rental stand out as top quality.<\/p>\n

Promote special deals, as well as last-minute reductions, three nights for the price of two etc. Think also about adding something of value, a romantic meal for two, tickets to a theme park etc. These promotions are great for filling gaps in your booking calendar.<\/p>\n

Creating a lacklustre listing site ad<\/strong><\/span><\/h2>\n

Many owners neglect their property descriptions, merely giving a brief overview of the property and a summary of key amenities. But that does nothing to help paint a visual picture to your potential guests or show them that you are committed to providing a first-rate guest experience.<\/p>\n

It\u2019s easy to get complacent and forget that potential guests know nothing about your holiday cottage or the local area.<\/p>\n

It can also seem tempting to write a description and show photos that \u2018over-sells\u2019 your holiday let. This can end up backfiring on hosts quickly if guests turn up and feel that they have been mis-sold. Ultimately, your reviews and general reputation are bound to suffer.<\/p>\n

What to do:<\/em><\/strong><\/span> Keep your listings updated<\/span>
\n<\/strong><\/p>\n

Give your guests as much information as possible about your holiday home and destination \u2014 from describing the details of the rooms to the additional amenities and local attractions on offer.<\/p>\n

What are the most common questions asked by past guests; Are there local beaches? Is there a pub nearby? How far away is the nearest town, and where can guests park?<\/p>\n

These are all questions potential guests are likely to have too, so they should be included on any listing site descriptions<\/a> and your holiday let website. It\u2019s also a good opportunity to share any important ground rules or restrictions so that your guests know where they stand from the start, and to deter any unsuitable guests.<\/p>\n

If guests can easily find the information they need without having to contact you, this gives a great impression and encourages them to proceed with a booking.<\/p>\n

As listing sites constantly add new features and options, you should frequently check that your listing is up to date with all your property features and benefits.<\/p>\n

And, if writing is not your forte, consider hiring a professional copywriter<\/a> to improve your listing site description and booking conversion rate.<\/p>\n

Not having a website for your holiday let<\/strong><\/span><\/h2>\n

A website is a fundamental part of marketing your holiday home and allows you to stand out from competitors. But the daunting task of creating a website for your holiday rental means it\u2019s probably number one on the \u2018procrastination list\u2019.<\/p>\n

What to do:<\/em><\/strong> Create a direct booking website<\/strong><\/span><\/p>\n

The prospect of building your own website<\/a> might have felt daunting in the past, but now it\u2019s a simple process. There\u2019s no pre-requisite for understanding how to code as there are countless CMS (content management systems) available that make it easy to choose a template and create a website.<\/p>\n

Having a website not only allows you to attract direct bookings<\/a>, which saves commission fees from listing sites, but it also adds credibility to your brand and reassures guests that you are a genuine host.<\/p>\n

Using amateur photos<\/strong><\/span><\/h2>\n

Your property photos are a prime opportunity to wow potential guests, but do they? Poor lighting, bad angles, and clutter do not make for great photos. Photos are meant to help \u2018sell\u2019 the holiday experience, so they need to allow potential guests to visualise what it\u2019s like to stay in your holiday let.<\/p>\n

What to do:<\/em><\/strong> Invest in professional photography<\/strong><\/span><\/p>\n

You\u2019re unlikely to have the necessary skills to capture everything that makes your holiday cottage wonderful, so hiring a professional photographer<\/a> is probably the best marketing investment you can make. Not only will they have the creative \u2018eye\u2019 and knowledge needed, but they also have some of the best equipment around \u2014 meaning you\u2019ll receive high-quality images as a result.<\/p>\n

Guests will use your images and 360 tours to \u2018emotionally visualise\u2019 staying in your holiday home \u2013 which entices them to book.<\/p>\n

Accepting every booking<\/strong><\/span><\/h2>\n

Not all bookings are good for business. Although most guests are honest and responsible, if you take bookings without doing any due diligence on the potential guests, the booking could be more hassle than it\u2019s worth.<\/p>\n

What to do:<\/em><\/strong><\/span> Screen guests and review bookings<\/span>
\n<\/strong><\/p>\n

\u2018Screen\u2019 guests<\/a> and the booking details to ensure they are a good match for your holiday rental and that they aren\u2019t misrepresenting their intentions (e.g. throwing a party). If in doubt, talk with them over the phone to see if your property is right for them, and more importantly, if they are right for your property.<\/p>\n

Go with your gut feeling. If you have concerns, then refuse the booking.<\/p>\n

Use your experience to decide if a booking is worth taking. If you know that you could rent your peak weeks 3x over, then avoid taking bookings that leave unlettable gaps in your most profitable period. If you know from experience that guests prefer to arrive on certain days and it maximises your occupancy, then stick to these days.<\/p>\n

Relying on ambiguous booking terms and conditions<\/strong><\/span><\/h2>\n

Taking bookings without the correct terms, conditions and house rules in place is a big mistake as it leaves your holiday letting business exposed to complaints and possible financial consequences should something go wrong.<\/p>\n

What to do:<\/em><\/strong> Ensure your <\/strong><\/span>terms, conditions and house rules are clear<\/span>
\n<\/strong><\/p>\n

For your peace of mind as well as your guests, every booking should agree to your booking terms and conditions<\/a>.<\/p>\n

They should be clear, concise, and include all the essentials (house rules, payment dates, extra costs, arrival times, occupancy limits, pet policy, cancellation terms, etc.).<\/p>\n

Not having a unique selling point (USP)<\/strong><\/span><\/h2>\n

With so many competitors out there, it\u2019s more important than ever to identify and promote your USP to attract bookings.<\/p>\n

Your USP is what sets you apart from other holiday lets and can heavily influence whether someone decides to book a stay with you or not. It could be a feature of your holiday rental, like a hot tub, an EV charger, something to do with its history, or perhaps your USP has something to do with your property\u2019s location (great views, beachside, near a big attraction, etc.). You, the on-site host, could even be a USP.<\/p>\n

Whatever it is, it\u2019s what adds special value to your holiday let and makes it so great to stay at.<\/p>\n

What to do:<\/em><\/strong> Identify your USP and then promote it<\/strong><\/span><\/p>\n

If you\u2019re not quite sure what your selling point is, you could try compiling a list of your holiday rental\u2019s strongest selling points. Read reviews and feedback from past guests as this gives an insight into what they loved about your holiday home.<\/p>\n

Once you\u2019ve decided what your USP is, emphasise it in your marketing.\u00a0 Do your best to avoid bland messages in your marketing. Instead, try to be descriptive and set the scene for potential bookers, so they can get a good sense of the USP(s) benefits and can picture themselves staying there. For example, \u2018sink into the warm bubbles of the hot tub whilst watching the sun set into the ocean\u2019.<\/p>\n

Marketing your property on just one channel<\/strong><\/span><\/h2>\n

Another big mistake holiday let owners make is putting all their eggs in one basket regarding where their property is advertised.<\/p>\n

It\u2019s not a case of marketing your property on just one listing site and thinking the job is done. Even if this brings in some bookings at first, it\u2019s not enough exposure to maintain the momentum needed to attract bookings.<\/p>\n

On top of this, listings can go stale after only a few months if the property owner doesn\u2019t keep the information up-to-date and refreshed regularly.<\/p>\n

What to do:<\/em><\/strong> Think through your listing site strategy<\/strong>\u00a0<\/strong><\/span><\/p>\n

Don\u2019t fall into the trap of investing all your marketing money into just one listing site. Although it might seem easier to just focus on one channel, it\u2019s important to cover several bases when it comes to gaining exposure for your property \u2014 after all, the holiday home industry is a big marketplace, particularly since the pandemic.<\/p>\n

So, take the approach of setting up and managing listings on several of the big listing sites<\/a> such as Airbnb, Vrbo, Booking.com.<\/p>\n