revenge of the vacation rental manager

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Revenge of the Property Manager

Streamline SummitSeptember 28 -30

Amy Hinote, Editor-in-Chief, VRM Intel

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“Carlos Corzo has the stamina to take it to

the next level.”

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Travelers Who Stayed in Private Accommodations

1 in 10 1 in 3

2011 2015

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Online Booking, Vacation Rentals

12% 24% 40% 55%

2007 2012 2015 2018

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Milestones in Vacation Rental Industry, 2006-2016

2006HomeAway

Acquires VRBO

2009VRMA Initiates Switch Project

2010HomeAway

Buys Instant Software

2010Airbnb Raises

$7.2M

2011Wyndham Buys

ResortQuest

2012Booking.com Introduces Vacation Rentals

2012-2015Technology Start-

up Explosion, VRMA kills

Switch

2015Expedia Acquires HomeAway, Best Match, Pricing Model, e-Commerce

Sep 2016Sharples Resigns, LeisureLink Shuts

Down

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Challenges for VRMs

2006 2008 2009 2013 2014

Shift to Owner

ManagementReal Estate

Market Crashed

Operational Costs,

Marketing Spread Thin

Technology Advancement

and Integration

Distribution Cost and

Management

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“I predict what I call the Revenge of the Property Manager. Over the next few years, we will see property managers, as we say in Texas, in the cat-bird seat”

Carl Shepherdco-founder, HomeAway

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“Screening guests, managing credit card payments, arranging for housekeeping, differentiating properties…all the related tasks and services that travelers expect are getting harder and harder to manage for individual homeowners, right at the same time that new and progressive property managers are looking to re-invent the PM business model.”

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2016 Surprises for Vacation Rental Managers

2016 Surprises for VRMs

HomeAway’s Best Match algorithm and their addition of the service fee

sent homeowners reeling.

Airbnb’s push into pro-managed vacation rentals.

Regulations and tax compliance measures in multiple markets

Google’s changes to search engine results

Increasing awareness of vacation rentals as a lodging option brought new hotel customers to the vacation rental market…with hotel expectations.

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“Owners who self-manage, we see, start out managing their rental by themselves, and after one or two years, they realize the time and expense, and they start to work with professionals.”

Douglas Quinby, Senior Vice President of Research, Phocuswright

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“We estimate that there are between 6,000 and 7,000 vacation rental management companies in the US, and most manage fewer than 25 properties.

35 percent of homeowners rent their vacation rentals through a property manager, 35 percent self-manage their rentals, and 25 to 30 percent do both.”

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Most manage fewer than 25 properties

6,000 – 7,000 VRMs in the U.S.

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35

2010

Professionally Managed Owner Managed Both Other

35% Owner Managed

20% Both

35% Professionally Managed

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Property Management Services

FULL PROFESSIONAL MANAGEMENT

FULL OWNER MANAGEMENT

??

??.

“There is a full spectrum of services needed to manage a vacation rental, and homeowners choose a service level that falls somewhere along that spectrum. The RBO versus PM

debate is so five years ago. There is no more “us and them.” –Douglas Quinby

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Property Management Services

FULL PROFESSIONAL MANAGEMENT

FULL OWNER MANAGEMENT

??

??.

“Technology has broken all of that down, so that now property managers are competing on service. Looking forward, property managers should ask themselves if they are offering

all of the services that their competitors are offering, including both homeowners and other property managers.” –Douglas Quinby

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Shepherd’s List of Services

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Screening Guests

Managing Credit Card Payments

Arranging for Housekeeping

Differentiating properties

…and all the related tasks and services

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Customer Service for Vacation Rental Managers

Online Reputation ManagersCall center managers

Therapists, Anger Management Consultants

City Regulators

ConciergeTechnical Support

HoteliersTravel planners

Leasing Agents

Insurance Sales

Meteorologists, PsychicsLocksmiths, Plumbers, Exterminators

Real estate agent

Tour Guides

Maintenance Supervisors

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Marketing Services for Vacation Rental Managers

Repeat Guest MarketingGraphic Design

Loyalty ProgramsContent Marketing

Offline MarketingOnline Marketing

(SEO/SEM/Retargeting)

Social Media ExpertsEmail Marketing

Systems Integration

Marketing Automation

Reviews/Online ReputationDistribution

Past Guest and Lead Database Management

E-Commerce

Website Technology

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What’s New in Marketing Technology

Marketing Mix

Autoresponders

Channel Managers/Distribution

Guest Apps & Activities

Customer Relationship Management (CRM)

Marketing Automation

Loyalty Programs

Website Technology

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Capitalizing on Market Conditions

Optimize Listings on Channels and OTAs

Reach Out to New Homeowners

Reinvent Customer Expectations

Proactively Work with City, County and State Officials

Use Media Interest in the Industry to Your Advantage

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Workshop Tomorrow: Listing Site Independence

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Measure Listing Site Performance

Lead Conversion

Customer Retention

Optimizing the Channels

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“Owners who self-manage, we see, start out managing their rental by themselves, and after one or two years, they realize the time and expense, and they start to work with professionals.”

Douglas Quinby, Senior Vice President of Research, Phocuswright

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Your Customer Service Objectives for Each Stage

• Sales• Payments• Signed Agreements• Expectations• Logistics• Generate Excitement• Establish Relationship

ANTICIPATION

• Check-in• Clean• Everything Works• 24/7 Service• Make Guests Feel Special,

Welcome, Pampered• Nurture Relationship

STAY

• Feedback• Offer To Return• Help Them Remember

Trip

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MEMORIES

DEPENDENT ON YOUR CUSTOMER SERVICE VALUES…

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“You can’t get there tomorrow if you don’t start today.”

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Look for the fall of VRM Intel Magazine issue in two weeks!

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revenge of the vacation rental manager

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