Vacation Rental Property on the Rise as More Americans Take Trips

Vacation Rental Property on the Rise as More Americans Take Trips

Most Americans (61%) plan to take overnight leisure trips this summer. Of those vacationers, 34% will travel more this summer compared to 2023, according to the American Hotel & Lodge Association (AHLA).[1]

Mastercard Economics Institute agrees that travel is on an upswing in 2024. Their first quarter 2024 report states, “Through March 2024, consumer spending on travel remains strong, and passenger traffic has soared.” The Institute anticipates this momentum will continue in 2024 as consumers prioritize meaningful experiences and allocate more of their budgets to travel.[2]

Airbnb reports a strong start to 2024, as well. In fact, the first quarter of 2024 was the most profitable first quarter ever. Airbnb revenue of $2.1 billion increased 18% year-over-year.[3]

Vacation rental property owners can take advantage of the travel craze by clearly defining their target audiences and understanding what influences their travel planning.

In Causeway Solutions’ June 2024 survey, we asked more than 800 U.S. Adults 18+ specific questions about the vacation rental property market.

We asked, “How likely are you to stay at a vacation rental like Airbnb or Vrbo on your upcoming vacation?” Survey participants were asked to respond:

1. Extremely likely
2. Very likely
3. Somewhat likely
4. Not at all likely
5. Unsure

Demographics of People Most Likely to Use Vacation Rental Property

The survey shows over 50% of respondents are open to renting private property while on vacation, with 27% saying they are “extremely likely” or “very likely” to rent. About 40% of the general population say they will not use this option.

We developed a profile of the Airbnb-type user by focusing on survey respondents who said they are “extremely and very likely” to rent. Vacation property renters are more likely to be between the ages of 25-44. Older adults 55+ are the most likely to say they will not use vacation rental property at 51%.

Causeway Solutions: June 2024

Income profiles are also telling for the vacation property renter showing that those with an income of $100k or more are the most likely to use this option, and 44% say they are extremely likely.

Causeway Solutions: June 2024

Vacation Profile of Those Most Likely to Use Airbnb-Type Rental

It is not surprising that those who are extremely likely to use Airbnb-type rental property are more likely to travel in general with only 2% saying they will not go on vacation compared to 25% of the general population.

Those most likely to use vacation rental property are more likely to take any type of trip – from a day trip, weekend getaway, multi-day vacation in the U.S. or multi-day international vacation. In fact, the people who are extremely likely to use Airbnb-type rental are nearly twice as likely to take a multi-day international vacation (22%) compared to the general population (12%).

Causeway Solutions: June 2024

Media Usage of People Likely to Use Vacation Rental Property

Airbnb-type renters are also paying more attention to the media than the average adult. When asked if they pay attention to ads, people likely to use vacation rental property are more likely than the general population to say yes to ads on social media, traditional and streaming TV.

Causeway Solutions: June 2024

A recently released survey of 1,000 Americans from USA Today and Talker Research found:[4]

• 44% of the respondents say they regularly choose renting private property while on vacation.
• 32% of all trip planners rely on online reviews.
• Survey participants say trip planning includes reading travel blogs (15%), articles (13%) and magazines (10%).
• Social media is also a source of travel inspiration with respondents turning to YouTube (17%), Instagram (9%), Facebook groups (8%) and TikTok (6%).

With Americans hitting the road for vacation, rental property owners offer an attractive option for weekend getaways, multi-day trips and those who travel in groups. Understanding the demographics and media preferences of vacation renters will help property owners to find their ideal customers.

*About Causeway Solutions’ Monthly Surveys

Causeway Solutions has conducted a monthly online survey of U.S. Adults 18+ for more than 3 years. The data offers snapshots into consumer attitudes and behaviors, which support industry trends. Insights include optimism about the economy, plan to purchase and media usage. Causeway Solutions offers key industry profiles, including healthcare, entertainment, sports, travel, restaurants and more. The most recent survey was conducted September 9-13, 2023, with 838 Adults 18+ completing the online questionnaire.

Thérèse Mulvey is Vice President of Strategy & Insight at Causeway Solutions, a leading provider of Acquisition Analytics and innovative data services. Thérèse has worked in media, including television, newspaper, direct mail and digital, where she successfully translated consumer data into insights that address key business issues. She has over two decades of success driving profit, growth and market expansion through the strategic optimization of marketing analytics, research and business development. Causeway Solutions empowers clients to make smart, timely, data-driven decisions through real-time consumer insights to better reach target audiences. Learn more at CausewaySolutions.com.

Source:
[1]: “These Are the Top Summer Travel Trends for 2024,” TravelAge West
[2]: “Travel Trends 2024: Breaking Boundaries,” MasterCard Data & Services
[3]: “Airbnb Q1-2024 financial results,” Airbnb
[4]: “Americans’ travel habits and behavior in 2024,” USA Today

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