Serviced apartments are at the forefront of hospitality’s evolution. The traditional boundaries between short and long stays are blurring, fueled by changing guest preferences and advancements in technology. In this article, we’ll delve into key trends shaping the serviced apartment sector and provide actionable tips to help property managers maximize revenue. 

10 key trends for serviced apartments

Before we get into how to maximize revenue, it's important to understand the context in which serviced apartments currently operate. These are the areas of change and innovation that keep showing up.

1. Blurring lines between short and long stays

Hospitality providers used to be categorized into either short stay or long stay establishments. However, contemporary attitudes among guests and hoteliers are reshaping this landscape. Serviced apartments, traditionally inclined towards long-term guests, are now exploring shorter stays to fill occupancy gaps. Conversely, short stay specialists are seeking the stability of long-term guests. This shift is facilitated by advanced hospitality technology, which allows for seamless management of diverse guest types through smart property management systems.

2. The impact of Artificial Intelligence

The rise of AI is a game-changer for serviced apartments. Beyond chatbots, AI is being integrated into guest services to provide highly personalized experiences. Imagine an AI-powered tour guide offering tailored tips to guests, enhancing their stay. A forward-thinking approach to AI adoption can revolutionize operations and elevate the overall guest experience.

3. Modular property management systems

Serviced apartments come in various operating models, from large, multi-unit buildings to scattered single apartments. A one-size-fits-all approach to property management is impractical. A modular PMS is essential, allowing flexibility in selling spaces and experiences by night, week, month, or even hour. This adaptability is crucial for catering to the diverse needs of guests and maximizing revenue.

4. Embracing cloud technology

The cloud is no longer up for debate in the serviced apartment industry. Cloud-based operations streamline and digitize the guest journey, offering benefits such as online check-in, virtual concierge services, and remote team access. Serviced apartments that have n’ot embraced cloud solutions risk falling behind in efficiency and guest satisfaction.

5. Sustainability

Sustainability is not just a trend; it's a necessity. Serviced apartments can reduce their environmental impact by implementing practices such as recycling, composting, and using eco-friendly products. Catering to eco-conscious guests by adopting sustainable initiatives can enhance your brand’s appeal.

6. Multi-functional spaces

Transforming serviced apartments into dynamic, multi-purpose spaces is a trend that caters to modern guests' diverse needs. Creating spaces for co-working, meetings, and events within existing structures can significantly diversify revenue streams.

7. New target audiences

Catering to emerging target audiences, such as digital nomads and businesses seeking informal retreats, is a lucrative opportunity. Leveraging social media, robust lead-generation strategies, and partnerships with local businesses can help attract these audiences.

8. Extended stays

Extended stays are on the rise, driven by bleisure travel and a desire for sustainability. Serviced apartments are well positioned to capitalize on this trend by offering attractive packages, discounted rates, and additional services for longer stays.

9. Social media influence

In the digital age, social media plays a pivotal role in influencing traveler behavior. Crafting visually appealing and Instagrammable spaces can attract millennials and Gen Z, who are more likely to be digital nomads seeking unique experiences.

10. Authentic guest experiences

Differentiate your serviced apartments by curating authentic guest experiences. Collaborate with the local community, involve local artists, and offer unique services to create a memorable and distinctive stay.

8 tips for maximizing serviced apartment revenue

Considering all of the above, how can you ensure that you’re making the maximum amount of revenue from your spaces and guests?

1. Offer additional services

Identify revenue-making potential and offer additional services as upsells during booking to drive ancillary revenue. Be sure to upsell at check-in as well, whether online, at a kiosk or at reception.

2. Reduce operational costs

Regularly review and optimize operating costs to enhance profitability. Foster positive relationships with suppliers to secure better deals.

3. Leverage marketing efforts

Strategic marketing can increase revenue by encouraging guests to book additional services and boosting the average guest spend. Focusing on existing and repeat guests usually has a better ROI than attracting new ones.

4. Implement a leading hospitality management system

This is a no-brainer. Invest in a modern hospitality management system to automate tasks, streamline operations, and optimize revenue through data-driven decisions. Make sure it can sell different types of spaces for different durations of time.

5. Invest in staff

While serviced apartments attract more independent guests, investing in qualified staff ensures a positive guest experience, leading to repeat business and positive reviews. In a world of staff shortages, your saving grace may be a PMS with a modern, intuitive user experience. This will allow you to widen your hiring pool.

6. Optimize pricing strategy

Keep an eye on the market, make data-driven decisions, and implement dynamic pricing to stay competitive and attract longer stays. A good PMS or RMS will be able to automate the heavy lifting.

7. Find ways to extend the length of stay

Implement strategies such as minimum stay requirements and enticing packages to encourage longer stays, reducing turnover and increasing overall revenue.

8. Flexible cancellation policies

Offer flexible cancellation policies to encourage advance bookings and consider implementing a cancellation penalty to mitigate revenue loss.

As the serviced apartment industry evolves, embracing key trends and implementing revenue-maximizing strategies is essential for success. By adapting to changing guest preferences, leveraging technology, and providing unique experiences, serviced apartments can thrive in the competitive hospitality landscape.

Want to know how some of the industry leaders operate? Download The New Standard of Serviced Apartments to explore how serviced apartments around the world use technology to deliver remarkable hospitality and compete with hotels.

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About Mews

Mews is the leading platform for the new era of hospitality. Powering over 5,500 customers across more than 85 countries, Mews Hospitality Cloud is designed to streamline operations for modern hoteliers, transform the guest experience and create more profitable businesses. Customers include BWH Hotels, Strawberry, The Social Hub and Airelles Collection. Mews was named Best PMS (2024) and listed among the Best Places to Work in Hotel Tech (2021, 2022, 2024) by Hotel Tech Report, as well as World's Best Hotel PMS Provider (2023) and World's Best Independent Hotel PMS Provider (2022, 2023) by World Travel Tech Awards. Mews has raised $335 million from investors including Goldman Sachs Alternatives, Kinnevik and Notion to transform hospitality.

www.mews.com