Experiences Boost Vacation Rentals and RevPAR Alike

Hotels still lead short-term rentals in offering curated extras, but new data shows hosts that embrace experiences quickly close the gap and earn more. Phocuswright’s latest U.S. STR report reveals 49% of rental guests feel hotels provide richer activity information and 53% think hotels give better non-lodging support. Meanwhile rising maintenance costs pressure hosts to find fresh revenue. Many already charge for pets, early check-in or late checkout, yet travelers want deeper, personalized perks—from private chefs to guided hikes—that hotels package so well.

Turneo, whose research links strong experience programs to a 55% RevPAR lift, scores brands on a 15-point Experience Index. Each added point adds roughly €2,500 in room revenue a year. Annie Sloan of The Host Co says today’s visitors crave one-on-one or in-home encounters: wine tastings, spa treatments, grocery pre-stocking. Airbnb’s new Services marketplace and relaunch of Experiences confirm that appetite. Yet many property managers remain stuck on fundamentals like cleaning and guest communication, or lack staff to pursue add-ons. Tim Choate at RedAwning notes small teams “barely keep heads above water” and fear guests will see upsells as nickel-and-diming. Sloan counters that framing extras as perks, not fees, mirrors hotel tactics: a minibar feels like indulgence, not markup.

Logistics also stall adoption. Hosts must list, price, collect payment and ensure delivery—whether stocking a fridge or securing a yoga instructor. Madison Rifkin of Mount says tech now removes friction by connecting rentals with vetted local vendors through TikTok-style feeds. Still, attribution is tricky; guests may hear about an activity from a host but book elsewhere, so hosts lose commission. Rifkin argues the bigger win is differentiation: better reviews, higher nightly rates and more bookings.

Profit pressures intensify need for diversification. U.S. management fees have fallen near 20-25% even as labor and supplies rise, squeezing margins. Choate calls ancillary sales “key to restoring profitability.” Hosts can monetize local knowledge—equipment rentals, family photoshoots, airport rides—while hotels cannot.

Regulation shapes strategy too. U.S. rules on junk-fee disclosure push managers toward optional, value-based services rather than mandatory add-ons. Airbnb’s off-platform fee ban nudges transactions into its ecosystem, complicating third-party integrations but encouraging standardized service quality. Rifkin says hosts can still recommend partners; the line blurs only if Airbnb limits sharing basic tips.

Choosing the right menu begins with guest intent. A mountain cabin might bundle ski passes or grocery delivery; an urban loft could offer cocktail classes. Unique offerings—goat yoga outside San Diego or volcano tours in Iceland—spark social buzz. As more rentals adopt curated experiences, traveler expectations shift and the reputational risk fades. List of Phocuswright predicts momentum will build because experiences tap spending guests already plan. Moving those dollars into host channels adds revenue without raising nightly rates.

Hotels proved decades ago that ancillary revenue drives growth. Vacation rentals that match their creativity in selling memorable moments can retain independence, improve guest satisfaction and boost RevPAR—all while narrowing the service gap that still nudges some travelers to book a hotel instead.

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Experiences Boost Vacation Rentals and RevPAR Alike

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