By: Brad Greiner, CEO of Open Air Homes and OpenAiRE Brokerage
Mastering the Airbnb Algorithm: Boost Your Listing and Maximize Bookings
In today’s competitive short-term rental market, understanding the intricacies of the Airbnb algorithm is crucial for hosts looking to stand out. Airbnb keeps their algorithm top secret, but our goal is to continuously look for ways to crack the code to increase both occupancy and net revenue for our homeowner partners.
With supply of short term rentals for the first time outpacing demand, now is the time to up your algorithm game, or partner with a company like Open Air Homes that can do the work for you!
Whether you’re a seasoned host or new to the game, this guide will help you navigate the factors that determine your listing’s visibility and success.
The Basics of Airbnb’s Algorithm
Airbnb’s search algorithm considers various factors, including:
- Pricing: Your property’s nightly rate relative to similar listings in the area.
- Listing Quality: This encompasses everything from property details and photo quality to guest reviews and available amenities.
- Popularity: How often users save your property to a wish list, send it to friends, search for it, and ultimately book it.
- Superhost: If you are an Airbnb Superhost, you have proven to be a valuable member of the community, and will get rewarded with higher placement.
- Guest Favorite: The top 10% of homes are considered Guest Favorites. Guests have more confidence in guest favorite homes, and therefore Airbnb places your home higher in the results.
Key Strategies for Dominating the Search Results
1. Optimize Pricing with Revenue Management
At Open Air Homes, we employ a comprehensive revenue management strategy that goes beyond dynamic pricing. We’ve noticed that lowering prices within 7 days of an open date not only helps fill gaps but also boosts our visibility in search results. Airbnb seems to favor listings that offer competitive pricing, making this a key tactic for increasing occupancy rates.
2. Invest in Amenities
In the evolving landscape of short-term rentals, amenities are more important than ever. Guests are drawn to listings that offer unique and appealing features, spending more time on these pages and sharing them with friends.
At Open Air Homes, we’re transitioning towards wellness-focused amenities like cold plunges and infrared saunas. Not only do these features make listings more attractive, but they also tend to attract guests who prioritize health and well-being—think green juice enthusiasts over red wine lovers. Let’s face it, guests who start their day with yoga and meditation are generally preferable to those who might stay up late indulging in cocktails.
3. Collect Positive Reviews Early On
Your first few reviews can set the tone for your property’s future success. We recommend offering a special rate to your initial guests. Guests that feel they are getting a deal will typically reward you with private feedback on how to be better, and understand that your home is a new listing and that you are actively looking to get it right for all future guests. This strategy is essential for building credibility and increasing your listing’s visibility.
4. Achieve and Maintain Superhost Status
Superhost status is more than just a badge—it’s a significant factor in boosting your listing’s visibility and credibility. Properties managed by Superhosts often enjoy higher booking rates and revenue.
At Open Air Homes, we take pride in maintaining this status, which assures guests of a high-quality experience. For one, we never cancel reservations. We have it built into our service agreements with homeowners that confirmed reservations must be honored. This is the quickest way to lose your Superhost status.
5. Keep a High Acceptance Rate and Low Cancellation Rate
Declining bookings or canceling reservations can negatively impact your ranking. At Open Air Homes, we disable instant booking to ensure we vet all guests thoroughly, reducing the risk of cancellations and maintaining a high acceptance rate.
6. Make Your Listing Wishlist-Worthy
On the Rocks in Palm Springs, by Open Air Homes
Guests often save listings to their wish lists for future bookings. Increase your chances of being saved by offering unique amenities and competitive pricing. Features like a serene yoga space, infrared sauna or a stylish cold plunge can make your property memorable and highly desirable.
7. Optimize Conversion Rates
Your conversion rate—the percentage of page visitors who book—matters greatly to Airbnb. We focus on accurate market research and dynamic pricing to ensure our properties are competitively priced and convert well.
If your conversion rate is above 1%, you are doing pretty well. This means that 1% of the people who view your listing request to book. Our target goal is 2%, and a few of our homes have an even higher rate.
8. Maximize Dwell Time with Quality Content
The longer guests spend viewing your listing, the better it is for your ranking. High-quality photos, engaging descriptions, and detailed information about amenities can increase dwell time.
At Open Air Homes, we prioritize professional photography to showcase our properties in the best light. When we list a home, we think about all of the experiences a guest could have in your home so that they can truly envision their vacation, which oftentimes leads to them staying on the page longer and sharing the home with their friends (which is next on our list).
9. Encourage Page Shares
Page shares are a modern form of word-of-mouth marketing. The more your property is shared among potential guests, the better.
Larger homes are often booked by groups or families, and are sent around to the group prior to booking. How can you enhance your home so that more potential guests decide to share it?
10. Choose an Eye-Catching First Photo
Your first photo is your listing’s first impression. Make it count by choosing a shot that showcases the most appealing aspects of your property. This will entice potential guests to click on your listing and explore further.
What is the feature of your home that is most unique? For our home below, it’s that it has a great pool, beautiful architecture, but most importantly is positioned “On The Rocks” in Palm Springs.
On the Rocks in Palm Springs, by Open Air Homes
Outsmart The Algorithm, and Your Competition
In the competitive world of Airbnb, understanding and leveraging the algorithm is crucial for success.
At Open Air Homes, we go the extra mile to ensure our properties stand out. From optimizing pricing to investing in wellness amenities, we employ a comprehensive strategy to maximize bookings and guest satisfaction.
For a lot of homeowners, this is a lot of work if you only have one listing, and we understand that keeping up on the latest Algorithm changes can be a part time job.
We love partnering with homeowners that at first managed their own Airbnb listing, and then later decided that it was time to hand all of the work over to a company like ours. If you are managing your own home but ready for less work, we are now accepting homeowners that have a solid listing on Airbnb. We can do this simply through Airbnb’s improved “co-hosting” program, so that you keep your listing intact in case you ever want to manage in the future or transition to another company.
We are always striving to outperform the market. Our goal is for our homeowner partners to have less stress, have a higher occupancy rate, and achieve long term success renting your vacation home when not in use.
Interested in learning more about how we can optimize your property listing?
Contact us today to start your journey with Open Air Homes. Transform your property into a magnet for guests and watch your returns soar! Let’s unlock its full potential together, ensuring it stands out and delivers exceptional results.