The Airbnb Terms You Need to Know: A Glossary of Short-Term Rental Terms
BY MIKEL HUBBARD
FORMER HGTV PRODUCER | CO-FOUNDER, THE HOST CO |
OWNER, TIMES EIGHT PROPERTY & DESIGN
Managing an Airbnb property involves a unique set of terminology and jargon specific to the vacation rental industry. Whether you're a property owner, property manager, or simply interested in the world of short-term rentals, understanding these terms is essential for effective communication and successful operations. In this blog post, we'll provide you with a comprehensive glossary of 10 common terms used by property managers in the Airbnb ecosystem.
Occupancy Rate: The occupancy rate represents the percentage of time your Airbnb property is occupied by guests. It is calculated by dividing the total number of nights booked by the total number of nights available for booking, multiplied by 100.
Superhost: Superhost is an Airbnb program that recognizes hosts who consistently provide exceptional hospitality and maintain high guest ratings. Superhosts enjoy benefits like increased visibility in search results, a special badge on their profile, and access to exclusive support.
TOT or Tenant Occupancy Tax: This is the tax that counties impose on guests who stay in vacation rental, like a hotel tax. Airbnb actually collects these taxes for some areas, but in most areas hosts need to collect and remit these taxes on their own. This is usually the part of any short term rental permit process in your area.
STR: STR simply means short term rental or vacation rental.
Instant Booking: Instant Booking is an option on Airbnb that allows guests to book a property without prior host approval. If hosts have this feature enabled, it streamlines the booking process, providing immediate confirmation for guests.
Co-Host: This is someone you invite to help you manage your listing. They generally don’t have access to your funds, but they can see your calendar and all your messages. They can help manage guest communications when you’re unavailable and often hosts make their cleaner a Co-Host to respond to any last minute emergencies and so the cleaner has full access to the calendar for scheduling cleans.
Channel Manager: A channel manager is a software tool used by property managers to synchronize and manage property listings across multiple platforms, such as Airbnb, Booking.com, and VRBO. It helps streamline bookings, availability, and rates to prevent double bookings and save time.
Dynamic Pricing: Dynamic pricing is a revenue management strategy that involves adjusting the nightly rates of a property based on factors such as demand, seasonality, local events, and market trends. This approach helps maximize revenue by optimizing rates for each booking. Sometimes it works, a lot of times it doesn’t.
Scheduled Messaging: Scheduled messaging refers to the use of automated messages and templates to streamline communication with guests. It allows hosts to send pre-arrival instructions, check-in details, and post-stay messages efficiently, saving time and ensuring consistent messaging. It’s also the best place to add a link for your Host Co store!
Review Management: Review management involves actively soliciting and responding to guest reviews on Airbnb. Property managers prioritize collecting positive reviews, address negative feedback, and maintain a strong online reputation, as reviews significantly influence booking decisions.
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Mastering the terminology used in the vacation rental industry, particularly within the Airbnb ecosystem, is crucial for effective communication and successful management. This glossary of 10 common terms provides a solid foundation for navigating the intricacies of short-term rental operations. By familiarizing yourself with these terms, you'll be better equipped to maximize your Airbnb property's potential and provide exceptional guest experiences.
MIKEL HUBBARD
is the co-founder of the Host Company. He's run a property management company in California’s high desert and has owned three Airbnbs since 2013 in Lake Tahoe, Joshua Tree and Death Valley. Mikel is a former HGTV producer and is the owner of Times Eight Property & Design, a real estate investment and interior design firm.