The vacation rental industry is booming, leading venture capitalists to view the industry as a good investment. According to VRMintel ‘s report “Funding Raised in the Vacation Rental Industry 2011-2015”, startups raised $2.2 billion in 2015, and 99 percent of that investment is being used to build up online marketplaces like Airbnb.
This massive influx of funding is a sign of confidence in the vacation rental industry among investors. While venture capitalists have increased investment in most sectors in the past year, the vacation rental industry stands out as unique.
For perspective, consider this: Overall, funding in tech startups has increased by 92 percent compared to two years ago. However, funding in the vacation rental industry has increased 750 percent in that same time period.
Vacation Rental Industry Investment Up 750%
To industry insiders, it is no surprise that investors are eager for a piece of the vacation rental pie. With approximately 5.6 million vacation rental properties in the U.S. and Europe, the potential for growth is huge. Companies that come out on top in the world of vacation rental technology stand to reap the rewards of their investments.
What It Means for Vacation Rental Management Companies
What does all this mean for vacation rental management companies? Simply put, it means that now is the time to add channel management to your to-do list. Now is the time to take full advantage of the influx of investment dollars to major distribution channels in the industry.
The benefits of being aggressive in this environment are many. Vacation rental managers who choose to add channel partners increase their potential bookings exponentially for each partner added.
As the vacation rental industry stands poised on the brink of investment-fueled innovation, partnering becomes even more attractive than it has been heretofore.
Vacation Rental Channel Manager’s Life Made Easy
If you are already partnering with a limited number of distribution channels, you may wonder if adding more partners will make channel management more complicated.
The answer is a resounding “no” if you choose your vacation rental channel management software wisely. For instance, Kigo’s channel management solution enables you to partner with a long and impressive list of over 35 partner portals.
How does it all work? Kigo works with you to set up your chosen channel partnerships. Once this is done, you can get more inventory with just the click of a mouse. Your own system will be connected to the Kigo system with an API connection.
This means you can still use your own system while taking full advantage of Kigo’s channel management solution. Your property listings reach a much wider audience, and your system is constantly updated across all channels to ensure you know at any moment what is going on with each of your listings across the board.
Kigo’s channel manager eliminates the issue of having to perform manual updates of your listings and rates, making it a simple, easy thing to manage all your channels at once, all day, every day.
The Vacation Rental Management Takeaway
The vacation rental industry is poised to grow greatly in the coming months. Vacation rental management companies can profit from recent investments made in online marketplaces by taking full advantage of Kigo’s vacation rental channel manager functionality.
To see how our vacation rental management software can work for you, please request a free demo today.