AI use in short-term rental sector doubles in six months

A third of those surveyed say it saves them four days’ work a year

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.

The AI Report released by the provider of vacation rental property management software (PMS) revealed that AI use among property managers and owners had climbed 63 percent since November 2023.

Hostaway’s in-depth analysis of artificial intelligence adoption within the STR industry is enlightening, revealing critical data on the integration of AI technologies in their operations. 

Of the 500 respondents to take part, 35 percent reported that the use of AI resulted in substantial time savings - the equivalent to four additional work days per year.

The usage of AI is strategically varied, with the survey showing that 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.

When it came down to the most widely used AI tools, ChatGPT, both paid and free came out on top. 

As useful as AI is to the industry, a vast majority of participants (65%) expressed their concerns about its ability to foster genuine human connections, and 54% were sceptical about AI handling complex guest issues.

That being said, the sentiment around the technology’s future, 75% of property managers and owners are optimistic about AI, with 61% recognising it as a competitive edge in the marketplace.

Co-Founder and Chief Strategy Officer of Hostaway, Saber Kordestanchi, said there was no doubt Artificial Intelligence was rapidly transforming the short-term rental industry. 

“Our survey not only tracks this evolution but also helps property managers understand the practical benefits and limitations of AI,” she added. 

“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.”

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, go here.