According to Key Data, the U.S. vacation rental travel sector is looking positive in early 2023, as a significant rise in the number of reservations made online in January spiked, when compared to January 2022.
Key Data, in partnership with the Vacation Rental Management Association, compared reservations made on Airbnb and Vrbo for U.S. vacation rentals during the first three weeks of January 2023 to the same period in 2022. They found that reservations made are up 27%, from 3,332,605 to 4,245,574 trips in total.
However, despite the rising frequency of reservations, there was a slight decline (4%) in the number of nights booked overall. The drop in length of stay may be due to the impact of recession, with consumers still traveling but cutting trips short in order to meet their budget.
In the context of global inflation, the value of reservations made during this period sharply increased compared to 2022 by 43%. Hosts and property managers generated over US $6 billion of revenue in the first three weeks of January.
2023 reservations peaked in the middle of the month, with travelers making the highest number of reservations on January 17 and 18. Looking at both January 2022 and January 2023, travelers were more likely to book their vacation rental accommodation in the middle of the week, with the lowest number of reservations made on a Saturday and Sunday.
Melanie Brown, Executive Director of Data Insights at Key Data commented, "January reservations are an important measure of traveler confidence because it indicates that consumers are booking well in advance for spring and summer trips. This early data is very promising for what 2023 holds in store for the industry."