The vacation rental industry has been hit hard by the labor shortage crisis, with many property owners and managers struggling to find and retain staff to manage their properties. In the years following COVID-19, the industry was faced with the highest rate of workers quitting in any industry due to the demand for higher pay and benefits, employee burnout, work environments, and more. One way to retain staff and improve your efficiency is by assessing your current tech stack. By investing in the right technology tools, vacation rental managers and property owners can improve efficiency, reduce costs, and ultimately attract more guests, even in the face of a labor shortage. In this blog, we’ll explore the steps vacation rental managers and property owners can take to assess their tech stack and identify the technology tools that are right for their businesses, ultimately helping them address the challenges posed by the labor shortage in the industry.
Vacation rental managers and property owners understand running a successful rental business requires a solid technology stack. However, with so many options available, it can be daunting to determine which tools are the right fit for you. It’s important to assess your tech stack regularly to ensure that you’re utilizing the right tools to manage and grow your business while considering how it will optimize your overall operations and benefit your employees and the guests’ stay.
Step 1: Evaluate your current tech stack.
Before you can make any decisions about new technology tools to invest in, you need to evaluate your current tech stack. Start by making a list of all the tools you’re currently using to manage your vacation rental business. This might include a property management system (PMS), a channel manager, a website builder, a payment processor, a digital guidebook, and more.
Next, evaluate how well each tool is meeting your needs. Consider the following questions:
- Is the tool easy to use?
- Will your employees use this tool?
- Does it integrate well with your other tools?
- Does it provide the features and functionality you need?
- Does it offer good customer support?
Based on your evaluation, determine which tools are working well for you and which ones are falling short. This will help you identify areas where you need to invest in new technology.
Step 2: Identify your business goals.
To determine which technology tools to invest in, you need to identify your business goals. If you are currently struggling with direct rebookings, for example, things to consider are how technology will lead to better guest satisfaction. One focus area could be to reduce the number of calls made by guests to you or your staff. To address this, you might provide guests with step-by-step video instructions on common amenities (remotes, hot tubs, etc.) using a digital guidebook or check-in app. This not only allows you to prevent guest frustration, it also gives back time to employees to focus on other important tasks and proactive efforts related to the guest experience versus dealing with mundane or repetitive questions.
Questions to keep in mind are:
- What are your biggest challenges that could benefit from automation?
- Will this technology enhance your guests’ experience?
- Will this technology streamline operations for staff?
- Is the technology easy to implement?
- Does it integrate with your existing technology?
- Is the technology scalable for your business?
- How long until your ROI is impacted?
Once you’ve identified your goals, you can start looking for technology tools that will help you achieve them.
Step 3: Research technology tools.
Once you know which areas of your business you need to improve and what your goals are, you can start researching technology tools that will help you achieve those goals. Look for tools that are specifically designed for vacation rental businesses and that integrate well with your current tech stack.
When researching technology tools, consider the following:
- Features and Functionality
- Integration
- Ease of use
- Customer support
Step 4: Determine the ROI.
Before investing in any new technology tools, it’s important to determine the return on investment (ROI). There are many factors that can affect the impact and timeframe of when your ROI is impacted, but here are a few key important factors to take into account.
Think about the needs of your guests
What types of technology would enhance their stay and make their experience more enjoyable? Consider amenities like smart home systems, keyless entry, and high-speed internet access. These features can not only attract more guests but also increase the likelihood of rebookings.
Assess the potential cost savings of implementing technology
Installing smart thermostats and energy-efficient lighting can reduce your utility bills over time. Similarly, using a property management software can streamline your operations and reduce the time and money spent on repetitive, manual tasks.
The upfront costs of implementing technology
Will the cost of installing and maintaining the technology be outweighed by the potential revenue generated? To make a well-informed decision, calculate the potential return on investment and evaluate the long-term benefits.
Taking these factors into account, you can assess the value of technology for your vacation rental property and make an informed decision about whether to invest in it. Remember to prioritize the needs and wants of your guests, while also considering the potential cost savings and return on investment.
Step 5: Test the tool.
Before making any final decisions, it’s essential to test the tool. Many technology providers offer free trials, so take advantage of this to ensure that the tool will work well for your business. Make sure to involve your team in the testing process to get their feedback and ensure that the tool will be easy for them to use.
The right technology tools can help vacation rental businesses weather the storm of the labor shortage crisis and ensure your business is well-positioned for the future. Whether it’s a property management system, a channel manager, a website builder, a payment processor, or a digital guestbook such as GuestView Guide, the right technology tools can make all the difference. Take the time to evaluate your current tech stack, identify your business goals, and research technology tools that will help you achieve those goals. By having an effective technology stack established, you are able to efficiently manage your vacation rental business, decrease expenses, and ultimately entice more guests, even amidst the current labor shortage crisis.
GuestView Guide is here to support your search for the right technology to benefit your employees, your guests, and ultimately your business. Don’t let the labor shortage crisis hold you back from running a successful vacation rental business. Take action today by evaluating your tech stack, identifying your business goals, researching technology tools, determining the ROI, and testing the tools.
With the right technology tools, you can future-proof your vacation rental business and ensure your guests have the best possible experience.
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