Millennials now represent 43% of homebuyers – more than any other generation – according to the National Association of Realtors. This group, defined as persons born between the early 1980s and mid-1990s, have entered the vacation rental market in full force seeking a new income stream and a strategic path to increase wealth.
Compared to prior generations, there are clear factors that differentiate millennials when it comes to the vacation rental business. This group is tech savvy, views work in a flexible manner and integrates digital tools that can help simplify the business of property management.
Let’s look at four ways millennials are transforming the vacation rental market!
1. Millennials are integrating technology at every turn.
As they grew up, millennials witnessed the rise of the Internet firsthand. They were among social media’s first users as the industry took shape, and as new platforms continued to emerge over time. Technology is a part of life for millennials.
It should come as no surprise then that millennials carry this same tech savvy mindset in operating a vacation rental. This generation understands the hospitality industry’s biggest tech trends, and they readily offer modern features like keyless entry, automated communications, virtual property tours and more.
eviivo caters to millennials’ technological appetites by now offering more than 150 integrations with leading hospitality companies that can help modernize property features and add value at every turn.
2. They prefer a flexible work life.
Compared to Gen X and Boomers, millennials don’t feel the need for a traditional nine-to-five work life. This group came of age during the Great Recession and was largely forced to be creative in staying afloat – meaning side jobs, unorthodox solutions and a flexible approach to income.
As more millennials look to vacation rentals as an additional revenue stream, they inject this flexible thinking into property management. Luckily, new technology is allowing millennials to manage their entire business remotely from their phone in the form of PMS (property management system) apps. This approach allows complete flexibility and an opportunity to run a vacation rental business from anywhere at any time.
Millennials are flocking to eviivo Mobile, the industry’s leading property management app. The app offers ultimate flexibility in managing a vacation rental business, including the full power of eviivo’s award-winning PMS software in the palm of your hand.
3. Millennials market in new and innovative ways.
Millennials represent an important user base for social media platforms. This demographic was key to Facebook’s rise to prominence, are regular TikTok users and are vital to Instagram’s core audience. The group has grown up in the social media age, and they are well-versed in social media marketing, email newsletters and digital deals. Compared to other generations, virtually all millennial homebuyers (99%, according to NAR) use the internet at some stage when buying a home.
Naturally, millennials are using these same digital skills to connect with would-be travelers and drive bookings for their vacation rentals. The majority are capable of running special promotions and integrating with OTAs (online travel agencies) such as Booking.com, Kayak.com and Priceline.com to expand the visibility and reach of their vacation rental.
Millennials are finding success with eviivo Promo Manager for its ability to maximize revenue for vacation rentals with flexible pricing and exclusive promotions.
4. They’re raising the bar in showcasing their offerings.
As a group, 78% of millennials prefer spending money on experiences like travel over purchasing physical objects. They are frequent travelers, and they value experiences that help them “connect better with their friends, their community and people around the world.”
For these reasons, millennials largely have a clear understanding of how to showcase their current offerings to connect with fellow travelers. The generation is more likely than prior ones to take care in capturing key selling points of their property with high-quality video and images. They’re using simple web-based platforms to create compelling websites for their property, which provides a clear picture of what it would be like to stay there.
For example, this group can utilize eviivo Website Manger to build a stunning new custom website, integrate a booking engine and easily add SEO-friendly keywords to help people find their site via Google search.
For more trends forecasted for next year, check out our Top Hospitality and Booking Trends for 2023!