Even as the housing meltdown and economic recession dealt a twin blow to the sector, online bookings surged, jumping from just 12% of the overall vacation rental market in 2007 to 24% in 2012, according to a new report from travel industry research authority PhoCusWright (phocuswright.com/products/4252).
The market's complexity and fragmentation bring lingering challenges, but strong online momentum will continue to drive rapid growth. By 2014, three in ten U.S. dollars spent on vacation rental will be booked online -- an online travel penetration just a few points shy of the hotel and lodging segment.
"Expanding online distribution among vacation rental management companies (VRMCs) and a new breed of highly motivated, online-savvy homeowners is fueling dramatic growth," said Douglas Quinby, principal analyst. "At the same time, a seemingly endless stream of online vacation rental startups is driving interest among travelers as well as investors. This is a segment to watch carefully -- change is afoot, and it's happening fast."
"PhoCusWright's U.S. Vacation Rentals 2009-2014: A Market Reinvented" provides a comprehensive look at the U.S. vacation rental market. The report tracks the dramatic changes that have reshaped vacation rental over the past several years and identifies the trends that will impact the industry in the years to come.
- Sizing and forecasts for the U.S. vacation rental total and online markets (2007-2014)
- Key players and market structure
- Characteristics of vacation rental guests and trips
- The evolving dynamics of rental-by-owner (RBO) and professionally managed market segments
- The future of online marketing, transactions, and payment
- Online shopping behavior and the role of search
- Technology challenges, opportunities and trends
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