Since the start of Airbnb in 2008, homeowners worldwide have been making an income by hosting travellers in their own homes. If you’re in the process of signing up as an Airbnb host, you need to consider what would make your accommodation a viable and sustainable business from the beginning. It’s not as simple as hosting your visiting relatives for the night!
Have you considered Airbnb home insurance or decided whether you’re going to let guests bring their pets or not? These are some of the questions you should be asking yourself before deciding to let out your home for short-term rental. Read on for some tips so you can turn your home into a successful Airbnb from the start!
4 Tips for a Successful Airbnb Business
1. Run Your Airbnb As a Business
You may be running an Airbnb from your residential property with all the best intentions of giving your guest a “home away from home” experience. But, you’re still running a business so treat it as one!
This means developing a business plan which allows you to do the following:
- Getting to grips with the numbers: Know what your expenses versus your income are so you’re not left with debt at the end of every month.
- Knowing the competitors: Are there other Airbnbs in the vicinity of your home? If so, what are you doing to make yours stand out?
- Reaching enough guests: You need to know how many guests you need every month to make a profit, so do the math in order to have goals and KPIs. You then need to have a good marketing strategy in place to attract travellers to your home to reach those goals.
- Staying rational: Running a successful business means making rational decisions and leaving emotions out of the equation!
You also need to familiarise yourself with the regulations pertaining to running an Airbnb in your area. Bylaws and local regulations differ for every location, so make sure you comply.
2. Be the Client: Create a Good Impression
With over 350,000 Airbnb rentals in Australia alone, you’ve got stiff competition if you want to run a successful accommodation business from your home in this country. One of the best ways to make yours stand out in the crowd is to be the client. Put yourself in your guests’ shoes and decide what would make your home a good experience for travellers.
Consider the following:
- Comfort: Items such as robes, thick towels, cosy blankets and scrumptious biscuits add comfort to your guests’ stay. Think about the “extras” that could give your customers the comfort they need when away from home while giving you the edge over other Airbnbs in your area.
- Easy access: Keypads are so much easier than giving your guests a bunch of keys to access your property. It also means you don’t have to worry about changing locks if your guest leaves with the keys.
- Décor: Hang local artwork or use handcrafted furnishing to create a room that’s different to the regular Holiday Inn experience. Surprise your guests with comfortable but fun and interesting décor.
- Welcome gifts: Providing a bottle of wine or a fruit and nuts basket goes a long way to making your guests feel welcomed and at home when they arrive.
Think about your favourite Airbnb accommodation and identify what created a good impression for you. Now see how you can offer the same service for your own clients.
3. Keep it Safe
The safety of your guests is vital, as is the security of your property. Getting the right short term rental insurance is essential when running a successful Airbnb. This way, you can have peace of mind you, your property and your guests are all covered should there be unexpected mishaps.
Short-term rental insurance covers you for any of the following:
- Accidental loss or damage to your home’s contents and structure.
- Theft by guests or intruders.
- Damage caused by fires, storms, floods and earthquakes.
- Animal damage such as by guests’ pets.
Dealing with a professional insurer means you can mitigate the potential risks that come with running an Airbnb from your home, giving you peace of mind.
4. Use a Professional Photographer
First impressions do count! Attract your guests before they even reach your front door by uploading professional images of your accommodation on the Airbnb website. A professional photographer will know how to capture the essence of your home, portraying the character of the accommodation you’re offering.
High-quality photographs take advantage of good lighting, highlighting features that’ll make your Airbnb look more hospitable than another one in the same location. Investing in a professional photographer pays off in the long run so don’t hesitate to spend more for good quality images that show off your listing’s best features.
Turning your home into a viable Airbnb business is an exciting venture that could earn you up to $200 a night! But, it takes planning, asking the right questions and investing in creating a good impression before you even take in your first guest. Use these tips to get off to a good start!