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Flipkey competes to stay in top tier of vacation rental websites

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Flipkey, with TripAdvisor as its backer, wants to fish in the big pond, but it has big obstacles in the way and a lot to prove.

By Dennis Schaal

Flipkey CEO TJ Mahony knows something about competing, having earlier in his career created the Compete.com website. But his TripAdvisor-owned vacation rental website has a mountain to climb if it is even to get into the conversation with its bigger rival HomeAway.

Traffic figures from what used to be Mahony’s Compete.com, which measures the U.S. online travel marketplace, tell part of the story. As of May 20, HomeAway.com boasted nearly 2.3 million monthly unique visitors and Flipkey had about 30% of that, or 676,671.

That doesn’t even take into account HomeAway-owned VRBO.com, which recorded even larger traffic than HomeAway.com at nearly 2.9 million monthly unique visitors, according to Compete. (Compete’s numbers aren’t exact, but they do a better job than most of approximating market share.)

Part of this huge scale advantage for HomeAway is reflected on the search engine optimization front, which is key for vacation rental owners and property managers seeking a bang for their listings bucks. In other words, if they list their properties on Flipkey, what kind of clout will they have in the search engines?

If you do a Google search for “Orlando vacation rental,” the top three organic listings are for HomeAway websites, followed way down the page by one for Flipkey and another for TripAdvisor.

Read more >>

 

Rental Brochures: To Print, or Not To Print?

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But as consumers grow accustomed to shopping for vacation rentals online, the question becomes, “To print, or not to print?”

This article is courtesy of the Vacation Rental Managers Association. Learn more about joining the vacation rental industry’s trade association.

Rental brochures (aka Vacation Guides, Property catalogs, etc), especially popular on the U.S. East Coast and Gulf Coast, have long been a way for vacation rental professionals to showcase vacation rental properties, amenities, destinations and attractions at-a-glance. But as consumers grow accustomed to shopping for vacation rentals online, the question becomes: To print, or not to print?

vacation guide, rental brochure for vacation rentals

Property Owners weigh the decision to self-manage or use a professional

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Book vacation rental online

Using a Property Manager vs. Renting Your Vacation Home by Owner

Editor’s Note: This is an older blog posted on HomeAway Community. We are referencing it on VRM Intel with the sole purpose of providing insight into the decision-making process of vacation home owners when they are choosing to self-manage or choose a professional property manager.

When you are thinking about how you will manage the rental of your vacation home, you have to choose which management style will work best for you.

Using a Property Manager

Should you choose to worth with a property manager, you should start by researching management companies online.  Analyze the results that come up on the search engines. The main objective for the management company that you choose is: can the company rent your property?  Since the Internet is the number one place where vacationers look for properties to rent, you will want a property manager who focuses on building their Internet presence.

To start, look to see where the company comes up in the search results by putting in the name of your town and various search terms. If you see the particular company’s name come up again and again, that’s certainly a company you want to investigate. In addition to Internet research, talk to other property owners in the area to see if they can recommend a good property manager.

Additionally, you can ask your real estate agent for names of management companies. Agents constantly visit properties so they can see if the management companies are doing a good job of maintaining them. Agents can be an excellent source of referrals.

You will want to find a property manager who can and will handle everything for you. In exchange for their services, they typically charge a commission, which can range from 20 to 50 percent of the rental income.

Before hiring a property manager, verify the following:

  • Will they advertise the property both locally and internationally?
  • Will they guarantee a minimum level of bookings?
  • Will they interview potential guests to make sure they are suitable?
  • Will they inspect the property before and after each rental and do an inventory inspection?
  • How do they welcome the guests into your property?
  • Will they organize repairs and maintenance and provide receipts?
  • How will they communicate with you?

Self-Managing (aka Renting by Owner)

Today, hundreds of thousands of vacation homeowners choose to rent without the use of a property manager. For many, there are 3 main reasons they choose to rent by owner instead of using a property management company.

Read More >>

5 Steps to Upgrading Property Management Software

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Increase bookings

If you are a Vacation Rental Manager and are considering upgrading your property management system, DO NOT BE HASTY! Think of the process in these 5 steps. The tendency is to underplay steps 1 and 4, to the great detriment of the end result.  This is not an easy process, but you can stack the odds significantly in your favor.

1. Evaluate the current situation

  • Precisely what is wrong with your current system? Just being old is not a good enough reason to change
  • Define your specific business needs, especially how you interact with owners and how you rent units, and don’t forget local legal and taxation requirements

2. Compare available software solutions

  • Each system has strengths and weaknesses and certain systems just can’t support certain business practices – Never Assume!
  • Just because a system is newer, doesn’t mean that it does what you need
  • Make SURE all critical business processes can be accomplished, including integration with your web site, web distribution partners and any other 3rd party systems that matter to your business

3. Choose a system and negotiate the details

  • Work out an implementation timeline that fits your reservation patterns
  • Include sufficient training, and determine whether it is on-site or remote
  • Carefully define any customization that may be required
  • Carefully define any customization that may be required

4. Plan for the implementation

  • Pick a project manager/champion from your staff who has the authority to hold others accountable and the energy to cheerlead
  • Select 2 ‘go live’ dates, one for reservations and the other for owners’ statements
  • Try to electronically migrate as much valuable data as possible
  • Define the period during which you will maintain dual entry into both systems, and prepare your staff for the impact of this – try to minimize the length of time without losing control of availability and financial accuracy

5. Implement the new system

  • Training sessions are required of your staff as scheduled – No Exceptions
  • ‘To do’ items for the implementation are at least as important as any other tasks
  • Get rental availability perfect first, and the money right on its heels
  • Include an introduction letter to your owners with the first monthly statement from the new system
  • Keep the old system around for reference, but TURN IT OFF as soon as possible for daily entry
  • And you’re off to new horizons!

About Tom Leddy

Tom Leddy is one of the software pioneers of the vacation rental industry.  Leddy, together with Evan Gull and Pat Curry, founded First Resort Software in 1985.  FRS became a leader in providing technology solutions to the vacation rental industry.

In 1998, Leddy participated in a consolidation IPO that created ResortQuest International, the first public company in the vacation rental industry.  From December, 2004 until the end of 2007, Leddy was an Executive Vice President at Instant Software, Inc.  Today he is president of Leddy Associates, Inc. a full service consulting practice specializing in the vacation rental industry.  Leddy Associates provides companies within the vacation home rental business consulting services aimed at improving profitability, achieving greater financial and market awareness, and taking advantages of industry best practices.  He can be reached directly at tleddy@leddyassociates.com

Bookt and Rental Guardian Partner for Vacation Rentals Worldwide

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Deep Software Integration Facilitates Risk Management Benefits for Vacation Rental Property Managers, Owners and Renters

Hollywood, FL – December 2012 / Hospitality 1ST / Bookt LLC, a pioneer in online marketing and cloud-based technology solutions for vacation rental managers around the globe, today announced an important new partnership with innovator in travel-related insurance, Rental Guardian. These two forward thinking companies are joining forces to reduce liability issues for vacation property owners and managers and to deliver peace of mind to the renter/traveler.

“Beginning in January 2013 we are going to solve a big problem for each stakeholder in the Vacation Rental transaction – the Traveler, the Home Owner, and the Professional Property Manager,” said Robert Käll, CEO of Bookt. “We have teamed up with Rental Guardian to optimize insurance protection for each participant, and can now deliver it end-to-end through our InstaManager Software and Marketing Solution.” Käll added, “To differentiate our product, InstaManager, it was important to be global and have the whole gamut of protection covered including Accidental Damage, Renters Property and Liability, Trip Cancellation, even Bedbugs – and to work with worldwide industry leaders like Lloyd’s of London, Munich RE and Chartis. Our partnership with Rental Guardian gives us a truly global solution we can uniquely deliver via the cloud.”

Rental Guardian offers insurance solutions that can be customized to the needs of the travel industry and is always on the lookout for key integration partners. “InstaManager is a great fit for us because they are fast growing, have advanced technology and have proven that they have the global reach in the Vacation Rental space,” said Rental Guardian co-founder Sean Miller. “Seamless integration with their platform expands our protection to the property management community – lowering their operating cost and risk while increasing their revenue.” Miller added, “And let’s not forget that the property manager needs to satisfy both owners and guests, and this type of protection makes everyone happier and definitely more secure.”

The InstaManager Rental Guardian rollout kicks off at the beginning of the New Year. “Clients have been asking for this protection tool and the great news is that it comes as part of the InstaManager FLEX $1 Switch,” said Matthew Hoffman, VP of Vacation Rentals at Bookt. “Integration means that the process is fully automated for both online and offline bookings and that we can get them up and running selling insurance in days. And, of course, property managers like the potential to add over $100 dollars of profit per booking.”

InstaManager

InstaManager FLEX is a groundbreaking product combining powerful vacation rental manager software with tailored marketing distribution through FlipKey and TripAdvisor, with pricing starting at $1 with additional fees tied exclusively to a client’s booking success. Since 2007, Bookt has successfully served a fast growing global network of vacation rental managers. With the introduction of InstaManager FLEX and continual rollout of new features like Rental Guardian integration from InstaManager’s exclusive VR Labs, Bookt anticipates accelerated growth and rising market prominence. Learn more at: InstaManager.com.

About Bookt

Bookt is a leader in cloud based services for the lodging industry. Our vacation rental manager clients, called InstaManagers, compete on 6 Continents and in 85+ Countries with Millions of Vacation Rental Nights Booked via the Bookt system. Bookt’s cloud based platform directly drives revenue, manages resources, and provides business control for savvy lodging companies and managers worldwide. More information is available at InstaManager.com or contact Info@Bookt.com. Looking for User Reviews from global InstaManagers? Please visit InstaManager.com/InstaManagers.

About Rental Guardian

Rental Guardian is a web-based management and delivery system for insurance products tailored to the specific needs of vacation rentals, corporate housing and property management markets. Learn more at RentalGuardian.com.

Contact:
Joel Fellman
EVP | Partner | Business Development
Direct: 305-760-4576 x 934
Toll-Free: 800-941-0868 x 934
Bookt.com

When do you have to pay employees for being on call?

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Determining whether on-call time constitutes ‘hours worked’.

By Pete McPherson, HRhero

The pay rules under the federal Fair Labor Standards Act (FLSA) for “on call” time are a source of confusion – and potential liability. Questions may arise in the context of nonexempt employees who have just been notified that they’re on call because of a weather-related service issue, computer personnel who are on call if the system goes down, maintenance workers who are on call for service issues, or customer service personnel who are on call for a customer who needs to have a problem resolved outside of regular hours.

Of course, you don’t have to pay exempt, salaried employees extra for being on call. This article focuses on nonexempt, hourly employees.

Background and examples

The U.S. Department of Labor’s (DOL) guidance on the on-call issue consists of only two sentences:

An employee who is required to remain on call on the employer’s premises or so close thereto that he cannot use the time effectively for his own purposes is working while “on call.” An employee who is not required to remain on the employer’s premises but is merely required to leave word at his home or with company officials where he may be reached is not working while on call.

Read More >>

Trust Accounting for Vacation Rental Managers

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Sharing economy and short term rentals

Demystifying Trust Accounting for vacation rental managers

Leddy Associates, Inc. President Tom Leddy dissected Trust Accounting for vacation rental management companies at the 2012 National VRMA conference.

In his presentation, Leddy de-mystifed certain accounting concepts, provided real-world techniques to help reconcile accounts, and explain implications of timing on trust accounting transaction. Here is a link to his presentation on Trust Accounting.

The bed bug mystery: And what you can do about it

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Professional management companies take steps to prevent bed bugs.

This article is courtesy of the Vacation Rental Managers Association. Learn more about joining the vacation rental industry’s trade association.

By Steve Bjerklie

Bedbugs: the very name conjures, like the word plague, the damp, infection-ridden Middle Ages. In fact, the old couplet every child knows that rhymes “night” and “tight” with “bite” dates back to America’s colonial era, when bedbugs commonly infested taverns, inns and boarding houses. Bedbugs were a common, though not plague-ish, problem for centuries. Oddly, wealthy people sometimes suffered more than poor people: one factor that helped the homes of the poor from being completely overrun was lack of central heat. The cold of winter tended to cut down bedbug populations in poorer communities. On the other hand, the first mattresses not made from organic, bedbug-attractive materials such as straw, which only the rich could afford, appeared commercially in the late 19th century. It wasn’t until the 1940s that bedbugs finally ceased to be a common worry in the U.S., when effective pesticides including DDT eradicated the pests – which means, of course, that most Americans now living think of “good night, sleep tight, don’t let the bedbugs bite” as a saying rather than a health precaution.

So why are we worrying about them once more? And what can vacation rental companies do about owners and guests who are worried about the tiny, gruesome pests? When the Waldorf Astoria in New York City gets sued by guests who claim to have been dinner for bedbugs while staying at the venerable hotel, as happened last October, the hospitality industry knows it has a real problem on its hands – or in its mattresses.

They’re Baaaaaaack

For reasons that bug-studying entomologists are still trying to figure out, bedbugs returned with a vengeance in the mid-1990s after nearly vanishing following the introduction of DDT after World War II. “The first time I saw one that wasn’t dated 1957 and mounted on a microscope slide was in 2001,” Dr. Dini Miller, a cockroach expert at Virginia Tech, told the New York Times in 2010.

One theory suggests that when pest control companies stopped spraying for cockroaches in the 1980s and switched to poison baits, bed bugs rebounded because they do not eat baits. But the primary theory of the moment is that the surge in bed bugs was caused by a new strain, resistant to common anti-cockroach insecticides, that was introduced into the U.S. from abroad. Now they’ve become such a problem that the Environmental Protection Agency and the Centers for Disease Control and Prevention issued a joint statement on bedbug control. The good news in all this, if it can be called such, is that bedbugs, unlike ticks, mosquitoes, lice, fleas, cockroaches and tsetse flies, don’t transmit disease.

The bad news?

Bedbugs are devilishly difficult, and often quite expensive, to kill. They’re both tenacious and voracious – a hungry bedbug in search of a host will suck blood from another bedbug if need be. Researchers in South Africa fed bedbugs the AIDS virus to see what would happen; the virus died. The hepatitis B virus will live in a bedbug but doesn’t harm the pest. They’re adaptable, too: research suggests that bedbug immunity to pesticides is growing. Not to mention: being bitten by one while you sleep otherwise peacefully in the sanctuary of your warm bed is just plain creepy. “People call me all the time, losing their minds, like it’s a curse from God,” said Dr. Miller.

Michael Raupp, an entomologist at the University of Maryland, says bedbugs troopers love to travel in luggage and clothing along with their human hosts. That’s how bedbugs are showing up in movie theaters, college dormitories, buses and planes, laundromats, libraries, summer camps, homeless shelters, nursing homes – even hospitals. Their love of travel means bedbugs are arriving in and infesting vacation rentals, too.

“They’re really not just for bedrooms anymore,” says Raupp. “They really have become widespread almost in any kind of establishment where people live and sleep, throughout both small and large cities.

It’s important for managers, homeowners and guests to understand that bedbugs are not a sign of poor sanitation, poor housekeeping or general uncleanliness – not in theway the presence of cockroaches can signal a less-than-clean dwelling. “We’re now in the era where people travel everywhere,” he says. “They just don’t go to major cities like London or Paris. We have people going to second-world countries and third-world countries where, frankly, bedbugs are commonplace. And these guys are real troopers – they’re hitchhikers and stowaways. Whenever we travel, there’s always a possibility that we can bring bedbugs home with us” – or into a vacation rental.

The Blame Game

Richard Cooper of Cooper Pest Solutions and co-author of the “Bed Bug Handbook, The Complete Guide to Bed Bugs and Their Control,” says that a bedbug infestation can cause tensions in the owner-manager relationship, because owners of infested homes tend to see themselves as victims and mayblame their property management company for not taking steps to prevent the outbreak. Guests reporting bedbug presence tend to blame the management company too.

Legally, this can get tricky.

“Managers will find themselves hardpressed to convince a judge or jury that they didn’t have information available to them to take a proactive stance or implement all of the correct steps when responding to a tenant reporting bedbugs,” he says. In fact, even in parts of the country where bedbugs are just emerging and are truly a new problem, lack of awareness is not likely to be an acceptable excuse, due to the incredible amount of national press, along with the availability of resources on the Internet. He adds: “It should be clear to all that bedbugs are a pest that is not going away anytime soon, if ever. It is time to stop asking the question, ‘Why are bedbugs back?’ and instead start asking, ‘What can we do to get in front of this problem?’”

Early detection, he says, is the single-most important factor for management companies to take advantage of. This requires the cooperation and understanding of homeowners, who may resist the notion that their vacation home could ever host bedbugs. A little diplomacy goes a long way in these situations, Cooper advises.

Moreover, if bedbugs are found in a home, it increases the possibility they’ll have infested neighboring homes. “It is important to understand that once a bedbug infestation has been identified, one or more of the surrounding units may also be infested, or become infested, before the primary infestation that was identified has been eliminated,” he cautions.

Cooper suggests managers take the following proactive steps before any problems are found:

  • Implement a community-wide education program for owners and housekeeping staff about bedbugs what the signs of infestation are, what a bedbug bite looks like (as compared to a mosquito or tick bite), etc. As part of the education, emphasize the need for cooperation and understanding. The Center for Disease Control offers several fact sheets, including what the hotel industry is doing to prevent and eliminate bedbugs, on its website at www.cdc.gov.
  • Educate yourself about bedbugs. Learn key details – for example, bedbugs can survive up to a year without feeding, which means that homes that have gone unrented for several weeks or even months are not necessarily bedbug-free. Find out where bedbugs live besides the usual places. They’ve been found in baseboards, moldings and inside walls. These hidden bedbugs won’t be noticed during a visual inspection. If a home has had an infestation and has been treated by an exterminator, it’s wise to assume that hidden bedbugs may still be present until eight weeks have passed without any signs of bedbug presence – fecal stains, eggs, and dried, shed bedbug skins.
  • Understand if and how local pest laws apply. The city code of Albuquerque, New Mexico, for example, states that tenants of rentals are responsible for extermination and the owner is responsible for “maintaining a dwelling in a rodent-proof or reasonable insect-proof condition.” Such language establishes a grey area where vacation rentals are concerned, however. Know whether your local ordinances are clear on the subject of insect infestations or not, because if you find yourself in a court case, those ordinances will come into prominent play.

Plastic, Heat – and Dogs

Managers and owners can take active preventive steps, too. One effective preventive treatment that doesn’t involve chemicals or sprays is heat, points out Paul Bello of PJ Pest Management Consulting. “Recent industry literature cites temperatures as low as 113 degrees F for about 30 minutes is sufficient to kill bedbugs,” he says. “But it’s likely best to be conservative to achieve the desired result.” He adds that a simple magnifying glass no more expensive than a couple of dollars is an invaluable bed bug hunting tool.

Bring a good LED flashlight, too. The chief places to look for signs of bedbugs are mattresses – “Why crawl further than you have to for your next meal?” asks entomologist Michael Potter of the University of Kentucky – and box springs, plus the bedframe. Bedbugs prefer to hide in places where they won’t be disturbed by vacuum cleaners, etc. In hotel rooms with a bedbug problem, the pests are often found in headboards. Why there? Because hotel housekeeping staff usually change the sheets daily on mattresses – a disturbance, then, for a bedbug. The same can be true in vacation rentals.

“Plastic bags can be your best friends in bedbug control and avoidance,” Bello advises. Unlike cockroaches, bedbugs cannot climb smooth surfaces, so if your owners are storing any clothing or linens in their vacation homes, make sure they’re stored in plastic. “The more things and areas you can make off limits to bedbugs, the better,” he says. As a mattress precaution, he recommends plastic covers made by Mattress Safe and Protect-A-Bed.

Before the exterminators are brought in as a last resort, Bello recommends some effective and less costly methods (exterminators can cost $500 or more, sometimes much more, per room for bedbug elimination). Steam, for example: “It’ll kill 100 percent of the bedbugs and bedbug eggs it comes into  contact with.”

He recommends continuous-fill professional steamers rather than steamers designed for removing wallpaper. Pest strips containing DDVP (2,2-dichlorovinyl dimethyl phosphate, a.k.a. Dichlorvos, which is an organophosphate) are also very effective – but will kill only bedbugs that come into contact with the strip. Bedbug traps such as the “Climb Up Interceptor” offered by McNight are effective and cheap, according to Bello. Bedbug-sniffing dogs are available for hire, though not in every region, especially remoter resort areas.

Steve Bjerklie has been writing for the VRMA review for more than 10 years. He also writes for The Economist magazine and several other publications.

Sales techniques for reservation agents to increase bookings

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Sales techniques for reservation agents to increase bookings

After more than 20 years in the business of front desk and reservations sales training, I’m extremely excited that a new white paper study has confirmed what we trainers have known all along: training our staff to ask for the sale will increase the likelihood of getting the business.

The study which is entitled “The Factors That Lead to More Reservations: A Statistical Analysis of Scored Phone Calls and Bookings,” is a collaborative effort between ContactPoint LLC and Dr. Kyle Wells, PHD, MBA, of the Udvar-Hazy School of Business at Dixie State College.

ContactPoint and Dr. Wells analyzed 4400 recorded actual phone calls…Read more >>

Customer Service Tips for a Front Desk

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A few tips can help you ensure that you’re making the most of your front desk’s customer service opportunity.

Small businesses such as hotels, auto dealer service centers and professional offices typically make use of a front desk area to greet and serve customers. A clean, efficient front desk operation provides a favorable impression of your business and makes customers feel welcome. A few tips can help you ensure that you’re making the most of this customer service opportunity.

Continuous Staffing

Your front desk should be staffed at all times during business hours. If customers have to wait for an employee to show up or need to go in search of somebody, it gives them a bad impression of your business’s level of customer service, and it can inconvenience them if they’re in a hurry. Be sure to have a system in place for desk coverage during lunch and breaks.

First Impressions

Your front desk is often the point of initial contact for your customer, so it can leave a lasting impression of your business. It’s important that you have an employee with a friendly personality manning the desk, and the individual should be…

Read More >>

 

Susan Wojcicki resigned as a member of the HomeAway Board of Directors

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Susan Wojcicki has resigned as member of the HomeAway Board

On Dec 13, 2012, HomeAway announced Susan Wojcicki has resigned as member of the Board and the Compensation Committee of the Board, effective immediately. According to the Securities and Exchange Commission filing, “the resignation was not as a result of any disagreement with the Company. Rather, Ms. Wojcicki chose to resign due to time constraints and her need to focus on her significant responsibilities as senior vice president of product management and engineering for all advertising products at Google.”Susan Wojcicki has resigned as member of the HomeAway Board

Wojcicki was 16th on Forbes Magazine’s List of The World’s 100 Most Powerful Women in 2011. And 25th on the 2012 list. According to Forbes,  Wojcicki “is the woman behind all of Google’s ad products, AdWords and AdSense, Analytics and DoubleClick, and was responsible for 96% of the company’s $37.9 billion revenue in 2011.”

Wojcicki’s history with Google has deep roots, She rented her garage to Sergey Brin and Larry Page and their emerging search engine in 1998 and was the 16th person to be hired at the company.

HomeAway elected BabyCenter’s Tina Sharkey to fill the vacancy. Sharkey served as AOL’s  Senior Vice President and General Manager of a portfolio of AOL properties including AOL.com and AOL Instant Messenger.

By Amy Hinote

Seal Beach bans all future short-term rentals

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Seal Beach says no to owner of a vacation rental.

By ROXANA KOPETMAN / THE ORANGE COUNTY REGISTER

SEAL BEACH – December 11, 2012– An emotional two-hour public hearing over short-term vacation rentals featured a range of testimony at the City Council this week, on subjects including the rights of property owners, democracy … and Whitney Houston.

At stake was whether a house at 413 Ocean Ave. could continue to be rented as a vacation rental for part of the year. The Planning Commission said yes and granted the owners a permit. Neighbors protested and appealed it to the City Council.

In the end, the council denied the homeowners a permit.

Seal Beach recently adopted one of the county’s strictest laws related to rentals under 29 days. The weekend and weekly rentals are a growing national trend among vacationers who seek more comfortable digs

Read More >>

Airbnb subscriber complains about lack of consideration for vacation rental restrictions

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“They need to start being a little more responsible and acknowledging what happened and providing a warning to users”.

Back in September, Nigel Warren rented out his bedroom in the apartment where he lives for $100 a night on Airbnb, the fast-growing Web site for short-term home and apartment stays. His roommate was cool with it, and his guests behaved themselves during their stay in the East Village building where he is a renter.

But when he returned from a three-night trip to Colorado, he heard from his landlord. Special enforcement officers from the city showed up while he was gone, and the landlord received five violations for running afoul of rules related to illegal transient hotels. Added together, the potential fines looked as if they could reach over $40,000.

Read more >>

 

Flagler County, Florida Debates Vacation Rental Legislation

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Conflict over Hammock vacation rentals dominates legislative meeting, to little end.

Flagler, County, Florida, -December 11, 2012 — The annual exercise known as the legislative delegation meeting—when Flagler County residents and politicians get to publicly lobby their state lawmakers one-on-one—could be summed up in two words: vacation rentals.

It’s usually the sort of issue that heats up city or county government, not legislative, meetings. But in 2011, the Florida Legislature, ostensibly stocked with small-government Republicans who claim not to meddle in business or local governments’ affairs, passed a bill that forbids local governments from regulating short term or vacation rentals, let alone ban them. Among the prohibitions: no county or city may impose occupancy restrictions on vacation rentals. So even a single-family house could be termed a “resort dwelling” if it’s rented more than three times a year. That house could be filled with many more than one family at a time, a contradiction with common local zoning regulations that the state law does not resolve. Conflict was inevitable.

In Flagler County, the conflict has exploded in the Hammock, where many homeowners who bought their houses for enormous sums during the housing bubble found themselves facing a stark choice: lose the house, declare bankruptcy, or turn the property into a short-term rental. Many did just that.

It’s been a boon for some, among them Steve Milo, owner of Vacation Rental Pros, a Jacksonville-registered company (Milo lists his address as Atlantic Beach). It’s been a horror for Steve Kopec, an eight-year resident of Ocean Oaks Lane, where he describes the last year as “a living hell because of the vacation rental that is next door to me.”

Almost two dozen people spoke on the issue at the two-hour legislative-delegation meeting in Bunnell Tuesday evening. Milo and Kopec summed up the essence of the conflict most compellingly: Milo spoke of the jobs his company created (55, not counting contractors), helping many people in a county riddled with unemployment find livelihoods, while pumping hundreds of thousands of dollars into the local economy in the form of bed taxes and sales taxes. The Hammock home owners’ association voted to keep vacation rentals, he said. He claims that 30,000 guests have stayed in his rentals. “They pump money into the local economy, businesses, some bought homes,” he said. A long train of people who addressed the legislative delegation were Milo’s employees and contractors who lavished his business with praise and appreciation. Milo is no stranger to the fight: he won a $300,000 settlement from the city of Venice several years ago, where he had a similar business the city wanted to shut down.

Read More..

 

Changing dialogue in the vacation rental market

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Recognizing changes in your guests’ dialogue boosts content marketing strategies for vacation rentals.

For those of us who had to memorize the prologue to Chaucer’s Canterbury Tales in high school or spent time interpreting Shakespeare, the idea that our language changes over time is not a new concept.

Google Trends monitors search volume over time and is a helpful tool for identifying changes in your customers’ language. Here are a few examples of U.S. searches…

1. Beach front vacation rental v. Ocean front vacation rental
2. Outer Banks vacation rental v. Outer Banks beach house

In this example, in 2004 there were more searches for “Outer Banks vacation rental” than :Outer Banks beach house.” However, by 2012, the “beach house” searches were higher. Outer Banks search engine marketers who have capitalized on this trend are likely reaping quite a benefit. 3.Mountain vacation rental v. Mountain cabin rental

Searches for “mountain cabins” consistently remain higher than for “mountain vacation rentals.”

4.    Winter Park Lodging v. Winter Park Accommodations v. Winter Park Vacation Rentals v. Winter Park Hotels

Every peak in this example is in January. “Lodging” and “Hotels” are mich higher than “vacation rentals,” but note the increase in searches for “vacation rentals, along with the consistency of the trend.

The same trends are not true for every destination. If we replace “Winter Park” with “Gulf Shores” our chart looks more like this:
5.Daytona vacation rentals v. Daytona condos
6.Breckenridge Lodging v. Vail Lodging
And sometimes it is just fun to see competition on the SERP’s between destinations

By exploring the changing language trends in your destination, you can adapt your content to attract more search traffic to your vacation rental website.

HomeAway partners with timeshare provider to promote unsold inventory on vacation rental websites

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Travelers will have access to traditional vacation rentals and unsold or vacant timeshare resorts throughout the U.S. on HomeAway’s websites.

AUSTIN, Texas, Sept. 19, 2012 /PRNewswire/ –HomeAway, Inc. (NASDAQ: AWAY), the world’s leading online marketplace of vacation rentals, today announces a distribution partnership with Westgate Resorts, the largest, privately owned timeshare company in the world. This agreement enables HomeAway.com travelers to access unsold and vacant timeshare properties in resort destinations across the United States, and significantly increases the options for travelers primarily seeking homes with one or two bedrooms, as well as three- or four-bedroom villas.

This deal represents a new type of partnership between HomeAway and a company in the timeshare industry.

Westgate Resorts represents 400,000 owners and more than 10,000 timeshare villas in 27 full-service resorts, with a majority of its properties located in the Orlando area, which has nine resorts. Additionally, Westgate also offers properties in areas such as Las Vegas, Miami, Branson and Park City locations that traditionally offer fewer options for smaller groups seeking accommodations with shared spaces and kitchens. Every Westgate resort is themed based on the destination with a wide range of activities and amenities and represents a greater value than traditional hotel lodging.

Timeshare members rent unsold weeks to retail market

“The timeshare inventory is a great complement to the existing vacation rental offering on HomeAway.com, and expands the options for travelers who may not have previously considered the rental of full-sized vacation homes,” says Brian Sharples, chief executive officer of HomeAway. “We’re delighted Westgate recognized the benefits of this partnership for their company and travelers, and see this as a tremendous opportunity for other developers who want to capitalize on the synergy between the two industries.”

“A healthy rental business can energize a resort by monetizing unsold inventory and introducing potential owners to our wide range of vacation ownership resorts,” says David Siegel, founder & CEO of Westgate Resorts. “We are pleased to be partnering with the leader in the online vacation rental business.”

Founded in 1982 by Siegel, Westgate Resorts develops and operates themed destination resorts that include spacious villa accommodations, destination health spas, water parks, restaurants and retail shopping outlets.

About HomeAway, Inc

HomeAway, Inc., based in Austin, Texas, is the world’s leading online marketplace of vacation rentals, with sites representing approximately 735,000 paid vacation rental home listings throughout 168 countries. HomeAway offers an extensive selection of vacation homes that provide travelers with memorable experiences and benefits, especially more room to relax, for less than the cost of traditional hotel accommodations. The company also makes it easy for vacation rental owners and property managers to advertise their properties and manage bookings online. The HomeAway portfolio of websites includes HomeAway.com, VRBO.com and VacationRentals.com in the United States; HomeAway.co.uk and OwnersDirect.co.uk in the United Kingdom; HomeAway.de in Germany; Abritel.fr and Homelidays.com in France; HomeAway.es and Toprural.com in Spain; AlugueTemporada.com.br in Brazil; and HomeAway.com.au in Australia.

In addition, HomeAway operates BedandBreakfast.com, the most comprehensive global site for finding bed-and-breakfast properties, providing travelers with another source for unique lodging alternatives to chain hotels. For more information about HomeAway, please visit www.HomeAway.com.

About Westgate Resorts.

The largest privately owned timeshare company in the world, Westgate Resorts features luxury resorts in premier travel destinations throughout the United States such as Orlando, Florida; Park City, Utah; Las Vegas, Nevada; Gatlinburg, Tennessee; Branson, Missouri; Myrtle Beach, South Carolina; Williamsburg, Virginia; Miami, Florida; Mesa, Arizona; and Tunica, Mississippi. Founded in 1980 by David A. Siegel, Westgate Resorts develops and operates uniquely themed destination resorts that include luxurious accommodations, destination health spas, water parks, restaurants and retail shopping outlets. For more information about Westgate Resorts, visit http://www.westgateresorts.com.

For information contact: Victor WangPublic Relations ManagerHomeAway, Inc.512-505-1504vwang@homeaway.com

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Takeaways from 3rd Quarter Reports of Publicly Traded Companies in the Vacation Rental Space: AWAY, TRIP and WYN

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HomeAway partners with Expedia

HomeAway, TripAdvisor, and Wyndham Worldwide report on Q3 earnings and give vacation rental companies insight into future plans.

 

As third quarter reports began to surface nationwide, eyes looked toward to double-digit-growth subset of the travel sector: vacation rentals. In third quarter earnings calls, HomeAway, Inc. (NASDAQ: AWAY), TripAdvisor Inc. (NASDAQ: TRIP) and Wyndham Worldwide Corporation (NYSE: WYN) executives shared insights related to the vacation rental industry.

 

HomeAway, Inc.

With a 19.6% increase in year-over-year total revenue, HomeAway CEO Brian Sharples reported, “In short, pricing strategy in our base business has been successful, and positions us very well for 2013 and beyond.”

1. Bundled Subscriptions

With the migration of VRBO to their common platform, HomeAway was able to put VRBO on their tiered pricing system and began offering bundled subscriptions in the marketplace.

Sharples said:

“The property managers are actually adopting (tier pricing) at higher rates and pretty significantly higher rates. So I think, in general, the way to think about it is the people who are more serious about their vacation rental businesses will invest more money if you give them the opportunity to do so. And of course, the property managers, this is all they do for a living and they can very quickly and easily calculate ROI across a set of properties, and so they seem to be equally satisfied as far as we can tell with the owners and adopting it at slightly higher sort of percentage penetration rates.

Well, I mean, there’s certainly a discount if you buy both sites. And we actually have not had sort of a massive amount of kind of forced consolidations yet. But our teams here, as those consolidations occur, are going to be very focused on making sure that those customers, who were spending, let’s say, $1,300 with us in the past for buying both sites individually, will spend that, if not more, when they consolidate their listing. So we’re — the research we did on this prior to launching the bundles suggested to us that these customers have budgets to spend, and when we give them additional tiers to buy up in, our hope is they’re going to spend that budget and more. So really what it comes down to is how successful are we going to be at getting them to spend more money on a bundled subscription rather than less.”

2. Online Booking

It is official. Online booking has made its way to both HomeAway.com and VRBO.com, and the adoption rate by owners was already topping 22% at the end of Q3.

3. Pay-per-booking Pricing

HomeAway will be introducing a performance based pricing model in 2013. According to Sharples, customers will be able to “list for free and pay a commission at the time of booking.” HomeAway expects to “launch pay-per-booking in the U.S. during the summer of 2013 for individual owners, and the second half of 2013 for our property management customers.”

4. Flat Revenue from Software

HomeAway CFO Lynn Atchinson said, “Software was roughly 20% of other revenue, and was flat with last year.”

 

TripAdvisor Inc

 

After exceeding third quarter expectations, the TripAdvisor team had much growth to report, including a 9% jump in profits and a 70% increase in the number of marketable members. With no mention of vacation rentals or FlipKey, Co-founder and CEO Steve Kaufer was looking to the future of the TripAdvisor brand and focusing on the user experience across platforms.

1. Social and personalization initiatives

These initiatives include an acquisition of the social personalization platform Wanderfly and leveraging the Facebook platform. Kaufer said, “While Facebook remains a meaningful channel to grow our brand awareness and to grow our membership. I’ve tried to be reasonably clear that we don’t view it as a very large traffic acquisition channel, certainly not compared to a channel like search…And then the longer-term question is and through that mechanism, will they be converted to the more domain-direct, the more branded association. We see positive signs, but the jury is still out by several quarters, in our opinion, as to whether that’s going to move the needle as much as we hope going forward.”

2. Mobile innovation

“A key area of focus,” Kaufer says, TripAdvisor’s mobile unique visits are “up over 130%, more than 35 million, according to our own log files.” They launched a new tablet interface which more closely resembles the desktop. Kaufer also said, “smartphone monetization isn’t growing as quickly as tablet monetization, which is not surprising to us given the use case and form factor of that device.”

3. Increase in vacation rental business

CFO Julie M.B. Bradley briefly mentioned the vacation rental space in her comments about revenue growth, “Subscription, transaction and other revenue, which includes business listings, vacation rentals and our transaction businesses, had a solid Q3, growing 53% to $21.1 million. In business listings, new sales reps are ramping globally, and we expect to see continued productivity improvements as we enter 2013.”

Revenue recap:

Third quarter total revenue up 18% to $212.7 million

  • Click-based revenue up 15% to $168 million.
  • Display-based advertising revenue up 12% year-over-yea to $23.6 million,
  • Subscription, transaction and other revenue, which includes business listings, vacation rentals and our transaction businesses, up 53% to $21.1 million.

4. Ranking Old Reviews

Kaufer said:Vacation rental stocks

“We heartily agree that the 6-year-old review is perhaps nice to have on the site because it mentions something that’s unique to that review, a tip in the neighborhood or something like that, climbed on top of the hill to watch a beautiful sunset. The 6-year-old review really isn’t part of our popularity index calculation anymore either, because it’s so old and so much can change in the 6 years. Similarly, we have some hotels north of 8,000 reviews. And they may be all current, but you still don’t need 8,000 to have a lot of liquidity of opinion for that property.

The beauty of what we’re able to do with generating so many more reviews is sort of provide fantastic coverage on not only the top properties in the city, but kind of all the properties in the city, in the country, all the restaurants. So it’s getting to the point where it’s tough to find a hotel with less than 50 reviews. And that’s what we’re getting pretty excited about because everyone can look at 5 reviews on a property and say, “What’s the big deal?” With 50, you start to really understand what you’re going to get when you stay there.”

Wyndham Worldwide Corporation

While most of Wyndham’s earnings call addressed the hotel group and international growth, there were a few points of interest for vacation rental managers.

1. Branding

CEO Stephen Holmes was clear about the Wyndham brand as it relates to rentals:

“Here’s how our service rental model works. All of our properties are backed by the Wyndham service commitment, giving both owners and consumers peace of mind in their rental experience. We provide our owners and guests with a high level of service, from marketing to managing their calendar, handling the booking and payment process, providing check-in and checkout services and maintaining quality standards through property inspections.

This is very different from the listings model, which typically provides only online marketing, leaving it to the owner to field inquiries from prospective guests; update and maintain their availability calendars; provide key holding, check-in and checkout services to guests; address service and property issues for guests during their stay; and ultimately, handle the collection process. We have over 40 years’ experience in vacation rental and follow a disciplined approach to developing new markets.”

2. Wyndham Home Exchange

Wyndham Vacation Rentals recently announced the launch of Wyndham Home Exchange(SM), a program allowing homeowners of vacation rental properties to trade weeks at their rental property for access to accommodations at more than 4,000 RCI affiliated resorts around the world.

3. Vacation Rental Revenue

While overall revenues were up for Wyndham (EPS up 20%, total revenue up 4%), vacation rental revenue declined 5% year-over-year. According to CFO Tom Conforti, excluding acquisitions and accounting for currency challenges, “vacation rental revenues were flat, reflecting a 3% increase in transaction volume offset by a 2% decrease in the average net price per vacation rental.”

By Amy Hinote

Airline passengers projected to increase 5% annually for next 20 years

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Is your vacation rental company flight-friendly?

In their Current Market Outlook 2012, Boeing predicts a 5% annual increase in worldwide passenger volume. With similar findings, IATA projects a 5.3% increase each year for the next 4 years, bringing the total number of passengers in 2016 to 3.6 billion, up from 2.8 billion passengers in 2011.

“As demand for international goods and services rises and leisure time increases, appetite for travel will grow.” –Boeing Current Market Outlook 2012

How airlines affect vacation rental industry

The U.S. Travel Association brought more good news for travel in 2012 with their projections of year over year increases in 2012, 2013 and 2014, and not only with international travelers. Over the next two years, they project a 3.2% increase in Domestic Person-Trips (described as *One person trip of 50 miles or more, one way, away from home or including one or more nights away from home”).

Is your vacation rental company flight-friendly? As the number of airline passengers, international travelers and domestic leisure travelers increases, there may be ways to improve the fly-in experience for your guests and gain a competitive advantage in your market. Here are a few suggestions:

  • Rental car packages
  • Airport shuttles
  • Rental inventory within walking distance to restaurants, grocery, shopping and attractions
  • Public transportation, taxi and directional information
  • Check-in packages for fly-in guests

We would love to hear your ideas on making your vacation rental company more flight-friendly.

By Amy Mutual

Unhappy neighbors attempt to ban vacation rentals

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NT Vacation Rentals and Airbnb Peers

A group of short-term rental-listing sites, including HomeAway and FlipKey, are creating an industry group that aims to institutionalize the practice by pushing cities to tax and regulate short-term rentals.

Renting a private home while on vacation, rather than paying for a hotel room, has skyrocketed in popularity in recent years, leading to a backlash from neighbors and prompting places from New York state to tiny Columbia Falls, Mont., to ban or restrict the practice.

Homeowners use short-term rent to cover mortgage costs

Renting a private home while on vacation, rather than paying for a hotel room, has skyrocketed in popularity in recent years, leading to a backlash from neighbors and prompting places from New York state to tiny Columbia Falls, Mont., to ban or restrict the practice.

 Read more about vacation rental restrictions.

21 Reasons to Choose a Professional: Promoting Professional Vacation Rental Management to Homeowners

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Concierge Services for Vacation Rentals

Professional property managers make it easy for homeowners!  VRMA’s list shows how:

Homeowners have a choice – they can rent their homes themselves (RBOs) or they can engage the services of a professional property manager.  Review the list below, edit it to fit your business, your policies and your area, and use it to promote your services.  Include it in your prospective homeowner packets, post it on your website, or just use it as a reminder when you meet with homeowners.

Vacation rental managers provide professional services

WE MAKE IT EASY FOR HOMEOWNERS!  HERE’S HOW:

24/7:  We manage vacation rentals 24/7 – we respond quickly and professionally to guest inquiries, vacationing guests and homeowners.  Also, we respond to emergencies 24 hours a day.  We provide all guests with our after-hours emergency number and local police and fire numbers, and we post important information in all vacation homes.

Guest Services:  From reservation inquiries to secure, online booking; from check-in to repair calls; from concierge services to housekeeping and inspections; property managers take care of guests and vacation properties 24 hours a day.

Marketing:  Who knows better how to market your vacation home than a professional manager?  We live here, we participate in our communities, and we are part of tourism efforts.  Local events, holidays, and seasonal opportunities are promoted to guests year-round.  We maintain and market to an established customer base of thousands of guests who often return year after year as repeat customers.

Internet Marketing: We know Internet marketing! We know Search Engine Optimization!  Our websites are…

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Healthcare: 2012 v. 2013 v. 2014

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Hutchins Allen and Company shares key healthcare provisions effective in 2013 and beyond.

Many employers wonder what is required versus what is optional under health care reform. Here is a checklist of what is currently in effect.

Already in effect:

  • Employers that offer health care coverage must offer it to employees’ adult children through age 26.
  • Employers offering health insurance are responsible for making sure that:
  • The insurance covers 100% of the cost of preventative services such as mammograms and colonoscopies;
  • The insurer does not (and cannot) place any “lifetime limits” on health coverage;
  • The insurer does not (and cannot) exclude children age 19 or younger from coverage due to pre-existing conditions; and
  • Employees are informed that coverage cannot be rescinded retroactively (with few exceptions).
  • Over-the-counter medications can be purchased with FSA, HRA or HAS funds only with a doctor’s prescription.
  • Employers with fewer than 25 full-time equivalent employees with an average wage below $50,000 a year may be eligible for tax credits for sponsoring health coverage.
  • Starting with the first open enrollment on or after Sept. 23, 2012, employers must obtain from their insurers and issue to employees a Summary of Benefits and Coverage (SBC).
  • For 2012, insurers must issue the first Medical Loss Ratio (MLR) rebates. This is a complicated area; check with your carrier.

Starting in 2013:

  • Health Care FSAs that operate on a calendar-year must comply with a $2,500 limit on employee contributions beginning in 2013.

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10 Free Vacation Rental Listing Sites to Boost Your SEO by Erin Colbert

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So how do you make sure you are keeping your owners from being seduced by other options in your market? Here are 10 ideas to encourage loyalty from your vacation rental owners.

Getting more links to your vacation rental website is critical in helping it get found organically (a.k.a. for free) in the search engines. The more inbound links your website has from higher authority sources, the more authority your own website will earn.

Essentially, there are 2 primary ways to rank higher in Google, Yahoo, and Bing. One is to optimize your website for keyword phrases potential renters might be searching for. This includes things like your website domain name (URLs), page titles, H1 headers, and your meta description. The second, and more important, is getting more inbound links to your website from high authority websites (i.e. The New York Times has a much higher authority than Bob’s Blog).

One way to measure this authority is through Google’s PageRank. It scores a web page out of 10 and it’s logarithmic, meaning it’s much harder to move your website from a 5 to a 6, than it is from a 2 to a 3.

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MyVR raises $1.4m in seed funding

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MyVR Raises $1.4M From YC, SV Angel, Chris Dixon To Attack The $85B Vacation Rental Industry

By Rip Emerson

 

The vacation rental industry is often overlooked, especially relative to hotels. So it might surprise you to learn that it’s actually a massive market, with bookings generating over $85 billion annually — in the U.S and Europe alone. And this doesn’t even take into account the new peer-to-peer apartment rental platforms (like Airbnb), which have begun to cater to vacation renters as well. The industry as a whole stands to see continued growth going forward as behavior changes — as families increasingly choose to rent apartments and vacation homes when traveling, rather than staying in a hotel.

On the flip side, thanks to the HomeAways, Airbnb and p2p marketplaces of the world, more and more people are looking to rent their apartments, homes and, soon, even their broom closets. There are currently some six million active vacation rentals in the U.S. and Europe, and this number is heading north. However, the problem is that the vast majority of vacation rental owners aren’t taking advantage of the available technology to market, manage or share their properties.

MyVR, a San Francisco-based startup that graduated from Y Combinator in March, sees a big opportunity to help owners and operators alleviate the offline pain of managing their vacation rentals and help bring them new (or at least more regular) business. Co-founders Jonathan Murray and Mike Stachowiak are both owners themselves and initially built MyVR as a side project to help solve their own frustrations with the process.

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IT Security Audits for your Vacation Rental Management Company

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Vacation rental technology veteran provides guidance on performing a critical subset of a Company Security Audit… the IT Security Audit.

Company Security Audits are huge undertakings, encompassing all of your company’s physical, electronic, and intellectual assets, reviewing and creating policies, and assessing security awareness training programs. Rather than attempt even outlining this monster in a single article, vacation rental technology veteran Tom K provides guidance on performing a critical subset of a Company Security Audit… the IT Security Audit.

Secure IT systems for VRMs

The PCI Compliance Program

Most of you already accept and process credit cards as part of your normal business. The PCI/DSS compliance program, developed for those businesses processing credit cards, is a very comprehensive resource to initiate a security audit of your IT resources.

The PCI Security Standards Council is an open forum that is “responsible for the development, management, education, and awareness of the PCI Security Standards”. As such, they have developed excellent Self Assessment Questionnaires (SAQs) that are great templates…Read More….