AI use in STR sector more than doubles in six months - Hostaway’s 2024 AI Report
The number of short-term rental (STR) property managers and owners using AI tools has more than doubled in just six months, according to new research by Hostaway, a leading provider of vacation rental property management software (PMS).
AI use among property managers and owners has climbed 63% since November, as the AI revolution took hold, according to Hostaway’s AI Report, which provides an in-depth analysis of artificial intelligence adoption within the STR industry.
Other top findings include:
- Increased AI Adoption: A significant rise in AI usage has been noted, with 70% of respondents now using AI tools, up from 43% in November 2023. This marks a pivotal shift in the industry's approach to modern technological solutions.
- Strategic AI Applications: Property managers are deploying AI for dynamic pricing (41%), enhancing guest experiences (30%), and improving marketing strategies (29%). These applications are proving essential for operational efficiency and competitive advantage.
- Time and Cost Efficiency: While 31% of respondents have not observed a reduction in costs due to AI implementation, 35% reported substantial time savings, equivalent to four additional workdays per year. This figure increases to 47% among those managing over 26 properties.
- Prevalent Tools and Concerns: The most widely used AI tools include both the paid and free versions of ChatGPT. Despite the advantages, 65% of participants expressed concerns about AI's ability to foster genuine human connections, and 54% were skeptical about AI handling complex guest issues.
- Optimism About AI's Future: Overall, 75% of property managers and owners are optimistic about AI, with 61% recognizing it as a competitive edge in the marketplace.
The report offers STR managers and owners a valuable perspective on how peers are leveraging AI to streamline operations, improve guest experience and enhance profitability. It addresses common concerns and highlights areas where AI may not fully replace human interaction, particularly in managing nuanced customer relations.
Hostaway surveyed 500 property managers and owners1, revealing critical data on the integration of AI technologies in their operations.
Artificial Intelligence is rapidly transforming the short-term rental industry. Our latest survey not only tracks this evolution but also helps property managers understand the practical benefits and limitations of AI. As leaders across the vacation and short-term rental sector, we're committed to equipping our customers with the tools they need to succeed in a digitally driven market. Saber Kordestanchi, Co-Founder and Chief Strategy Officer of Hostaway
Hostaway is at the forefront of vacation rental management software, offering advanced solutions that integrate seamlessly with major platforms like Airbnb, Booking.com, and Vrbo. Known for its robust feature set and exceptional customer support, Hostaway remains dedicated to improving the efficiency and profitability of property managers worldwide.
To download Hostaway’s 2024 AI Report, visit here.