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The sharing economy creates opportunities for people to earn money as part-time or hotel drivers. It’s no wonder that almost 38% of Airbnb hosts describe themselves as self-employed.
While Airbnb itself estimates that its revenues for 2015 reached $ 900 million, 75% of hosts earn $ 10,000 or less a year from their rentals, according to a joint report by Everbooked and LearnAirbnb. To earn enough money to justify the investment of time, the hosts of the Airbnb platform will have to improve their game.
The study collected data on nearly 6 million bookings for more than 400,000 Airbnb ads in more than 200 cities over the course of a year. More than 1,300 hosts from 83 countries also participated.
Related: Is The Sharing Economy Over?
Here are the main takeaways from the report:
1. Get advice. The more the better.
Good or bad, any advice on the site will increase your chances of reserving your space. Even locations with one to three stars performed better than those that were not rated, the report said. Therefore, the study finds that “the number of reviews of an ad is a significant indicator of its occupancy rate.”
2. Confidentiality is paramount.
Of all the dwellings listed, 97% concern an entire house or a private room. While customers are looking to save money by avoiding hotels, they are not ready to give up their personal space.
3. Be brief.
The average customer will stay around four nights at an Airbnb location, and almost all of them – 99% – will stay less than a month. Knowing this, do not be discouraged by booking one or two nights. The high turnover is probably useful.
Related: Researchers Say Airbnb Faked New York List Data
4. Know your price.
When you create a listing on the site, you need to make sure that your rate is similar or higher than that of the competition. It will then be useful to know that the average price of a private room is $ 65 and that an entire home can go for $ 141 on average. Shared rooms, on average, net $ 45 a night.