At Home Around the World at Home Around the World the Short-Term Rentals Handbook for Guests, Hosts, Neighbors, and Governments
Total Page：16
File Type：pdf, Size：1020Kb
At Home around the World Home around At At Home around the World The Short-term Rentals Handbook for Guests, Hosts, Neighbors, and Governments by Robert Rosenstein and Peter L. Allen by Robert Rosenstein and Peter L. Allen and Peter Rosenstein Robert by At Home around the World explores the short-term rental industry from the point of view of every stakeholder—hosts, guests, neighbors, and even governments. Regardless of who you are, where you live, how you like to travel, or which platform you prefer to book with, you’ll find that this resource provides all the information you need—and more! —Olivier Grémillon, Vice President of Booking Home Booking.com At Home around the World by Robert Rosenstein and Peter L. Allen By Robert Rosenstein and Peter L. Allen Agoda Outside Publishing ©2018 ISBN: 9781720251743 Printed in U.S.A. At Home around the World The Short-term Rentals Handbook for Guests, Hosts, Neighbors, and Governments by Robert Rosenstein and Peter L. Allen At Home around the World This handbook is a must-read for anyone interested in the vacation rental industry. Not only does it provide best practices for hosts and guests, it gives a full, 360-degree view into how the industry continues to evolve. The book is based on facts from industry leaders and references many of the top brands that any traveler or owner should familiarize themselves with. —Jeff Manheimer, COO and Co-founder, Tripping.com Rob and Peter have put together the definitive guide to vacation rentals. Comprehensive and engaging, this guide is a must for all interested in upping their game in the sharing economy. The vacation rental handbook presents all sides of the arguments and issues surrounding this fast growing industry and presents practical and detailed ideas to ensure travellers, hosts, communities, and local governments can all get the best possible outcomes. —Dan Lynn, Co-founder, ZUZU Hospitality Solutions 4 As an international member-driven trade association focused exclusively on vacation rentals, VRMA is constantly pushing to raise the bar for our members and the entire industry. The only way to accomplish that is through increased collaboration, heightened professionalism, and a clear unified message. Robert and Peter have compiled some incredibly valuable information here that does just that. No matter what you call vacation rentals, they are no longer alternative accommodations. They’re here to stay, and the more we can get this type of information out there to all relevant stakeholders, the better. —Mike Copps, Executive Director, Vacation Rental Management Association (VRMA) The authors of this book have produced an in-depth analysis of the opportunities and challenges faced by today's vacation rental industry and offer a very realistic view of its future. It answers a myriad of questions not only from the bird’s eye view of global market trends, but also with excellent practical advice for both guests and hosts. A must-read for those looking to enter this booming industry as well as those with a foot already in it! —Vanessa de Souza Lage, Co-founder and CMO, Rentals United 5 At Home around the World About the Authors Robert Rosenstein, Co-founder and Chairman, Agoda Company Pte. Ltd. Robert Rosenstein is the co-founder and chairman of online travel giant Agoda Company Pte. Ltd., one of Asia’s first homegrown unicorns. He was behind the conception and launch of Agoda in 2005, and served as both president and CEO for more than a decade. Rosenstein also serves as strategic advisor to the CEO of Booking Holdings Inc. (formerly known as Priceline Group), the world’s largest travel company by market value, and sits on the company’s global management board. Rosenstein focuses on Asia-Pacific investment and operating strategies for Booking Holdings, which acquired Agoda in 2007, and owns KAYAK, Priceline. com, Rentalcars.com, Booking.com, Rocketmiles, and OpenTable. Rosenstein was elected to the Web in Travel (WIT) Hall of Fame in 2017, and has been honored as one of the industry’s biggest influencers. He speaks and writes regularly on the topic of entrepreneurial leadership culture at large enterprises. Rosenstein has spent nearly two decades living and traveling in the Asia-Pacific region. He holds a B.A. from Hamilton College. 6 About the Authors About the Authors Peter L. Allen, Managing Director, Agoda Outside Peter L. Allen leads Agoda Outside, Agoda’s outreach and public affairs department. Allen’s career has spanned academia and business, focusing on building organizations, developing people, and increasing knowledge in both business and academic fields, including travel and tourism. Allen holds degrees from Haverford College, the Université de Poitiers, the University of Chicago (Ph.D.), and the Wharton School (M.B.A.). He has taught at Princeton University, Pomona College, the University of Chicago, and Nanyang Business School (Singapore). He has worked at McKinsey & Company as a consultant and member of the strategy practice, and at Google, where he founded and led Google’s first central learning and development program. He has received numerous fellowships and awards and has also served as advisor and board member to academic and nonprofit organizations. As the managing director of Agoda Outside, Allen works extensively on travel and tourism issues across Asia. He is an advisor to the World Travel & Tourism Council (WTTC) and co-chair of the government and regional affairs committee of the American Chamber of Commerce of Singapore. His publications include books from the University of Pennsylvania Press and the University of Chicago Press; articles in numerous publications, including the McKinsey Quarterly; and position papers and white papers published by the Asian Trade Centre and other organizations. Photo: Noel Yeo 7 At Home around the World 8 About Agoda Outside Agoda Outside is a new undertaking from Agoda, a company that provides online accommodations for travelers around the world. Agoda’s business is built on ideas, innovation, experiments, and technology—combined with a love of travel. Agoda’s founders wanted to create ways to make travel easier, more efficient, and more accessible. Agoda has become one of the world’s largest travel companies; from our roots in Southeast Asia, our accommodations network now reaches around the world. Agoda’s success has come from exceptional people, great ideas, innovation, experimentation, hard work, strong partnerships—and no small amount of good fortune. Consumers believe that travel is very important to their happiness. Those of us who have had the opportunity to work at Agoda believe that technology and travel can work together to change the world for the better. Agoda Outside focuses on ideas, research, exchanging information, philanthropy, and outreach. We want to engage other organizations that can help us find ways to make the world a better place. In particular, we focus on how technology and design are creating the future, how travel helps us rethink the world, how big ideas make a difference in business, and what science and experiments can teach us about human behavior. More information can be found at the Agoda Outside website at https://outside.agoda.com. Please sign up for Agoda Outside’s monthly travel and technology newsletter at www.surveymonkey.com/r/X7Q5RTR. 9 At Home around the World Contents 10 Summary of Figures 12 Preface 14 Introduction Local Host Rentals: The New Frontier 18 At Home Wherever You Are: A Guide for Guests 56 Running Your Rental Business: How to Be a Successful Host 104 When You Live Next Door to a Local Host Rental: What Neighbors and Communities Need to Know 180 Local Host Rentals: What Governments Need to Know 210 What the Future Holds 258 Appendices 300 Acknowledgments 330 Bibliography 332 Index 358 11 At Home around the World Summary of Figures FIGURE 1. By 2025, the sharing economy will grow to equal the size of traditional rental markets 22 FIGURE 2. Five key sectors drive growth in sharing economy 23 FIGURE 3. Regional willingness to participate in sharing economy across the globe 25 FIGURE 4. Sharing economy key players at a glance 26 FIGURE 5. Growth of China’s sharing economy 28 FIGURE 6. China and the sharing economy 29 FIGURE 7. Total local host rental market will be worth US$194 billion by 2021 33 FIGURE 8. Projected global local host rentals' growth in users 34 FIGURE 9. Examples of investments in local host rental key players 36 FIGURE 10. Total local host rental offerings by key service providers 38 FIGURE 11. Spotlight on China: what global giants can learn from Tujia 42 FIGURE 12. Percentage global travel spend by segment in 2016 43 FIGURE 13. 90% of local host rental guests travel with family members, 36 % with children 79 FIGURE 14. Experience more, locally 98 FIGURE 15. An overview of the regulatory landscape for hosts 110 FIGURE 16. Benefits of hosting 111 12 Summary of Figures FIGURE 17. Rental earnings constitute 24% of the average U.S. host’s annual income 112 FIGURE 18. Earnings from rentals help U.S. hosts stay in their homes 113 FIGURE 19. Top reasons U.S. guests choose local host rentals 118 FIGURE 20. Airbnb hosts earn 3 times more in monthly income than other sharing economy workers 121 FIGURE 21. Estimated host monthly earnings and profit in Asian cities 123 FIGURE 22. Sample housekeeping providers and costs 146 FIGURE 23. Example of rating criteria for local host rental services by guests 166 FIGURE 24. Significant damage claims from guests are far below 1% of total bookings 186 FIGURE 25. Five community benefits of local host rentals 187 FIGURE 26. In Asia, Airbnb guests in 3 leading cities spent US$595 million on restaurants alone 189 FIGURE 27.