Hot take: Personal booking websites for your STR are overrated

Denver, Colorado
Short-Term & Vacation Rental Discussions
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Hot take: Personal booking websites for your STR are overrated

James Carlson
Real Estate Agent 路 Colorado | stan.store/JamesCarlson 路 Member since 2014 路 2k+ posts 路 2k+ votes

Headline says it: The recent emphasis on creating direct-booking sites for your STRs and MTRs is overrated. Prove me wrong.

Work/money not offset by savings
The amount of work -- and money -- to build a site and do proper SEO to get noticed is not offset by the small amount of savings from not paying booking fees on sites like Airbnb and Furnished Finder.

It's not how humans search
Direct booking sites ignore how people search for short-term rentals or medium-term rentals. I want a vacation rental for my family? I go to VRBO or Airbnb. Who else but Boomers are slow-typing into Google "V-a-c-a-t-i-o-n R-e-n-t-a-l T-a-h-o-e"? That ain't the future, folks.

Corollary to MTR-insurance relationship
This reminds me of @Erin Spradlin's take on the current emphasis in medium-term rental world on creating relationships with an insurance company. Can it be done? Sure. But why? You've got platforms like Airbnb, Zillow, Furnished Finder that reach millions. Why tether your success to one tenant stream?

Most cynical take
Another Erin take here: The over-complication of real estate only serves vendors who want to insert themselves between you and the STR money. You lose thousands of dollars to Airbnb fees without a direct booking site? Pay me thousands of dollars and I'll set up your website to fix that. 

Similar feelings here about the expensive courses and conferences targeted to first-time investors. Give me $5,000 to teach you how to buy a home and rent it out. That's $5,000 that could have gone toward a downpayment on the first investment, which is where you'll learn the most anyway.

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Ken Boone
Investor 路 Greenville, SC 路 Member since 2015 路 1k+ posts 路 1k+ votes
2y

So first of all, the large majority of direct booking websites will NEVER be able to compete with the big OTAs when it comes to SEO. Period. For heavy tourists markets where there are several STR management companies who have websites, most direct booking individual websites will not even be able to compete with that.

But if you work on your social media presence, social media ads, and routing return guest through your direct booking website, you are building a base of clientele which makes you less dependent on the whims and algorithm changes that the big OTAs have.  I have experienced top performing properties drop instantly to nothing, for no reason other than algo changes.  When that happens there is NOTHING you can do in the short term to resolve those issues. I have seen it happen a number of times.

But yes it does require work and it is a slow game not a fast one.  To me it's worth it, to not be as reliant on the big OTAs.  Right now I am about 10% direct, a year ago I was at 5%. Hoping within another year I will be at 20 - 30%.

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  • Brett Deas
    CO 路 Member since 2022 路 588 posts 路 426 votes
    2y

    I would agree, for most it is overrated. 

    The only part where it really helps us is our social media presence. We have our direct booking links attached to our insta pages, and most guests book direct from there. We save out on the 3% booking fee Airbnb charges and even charge more per night (we are still a few % lower than the OTA's with their fees all in), so we end up netting way more at the end of it. 

    And we already pay for our channel manager which has a direct book site option built in, so no real extra costs or headache to set up the site. 

    5Reply
  • James Carlson
    OP
    Real Estate Agent 路 Colorado | stan.store/JamesCarlson 路 Member since 2014 路 2k+ posts 路 2k+ votes
    2y

    @Brett Deas

    Good insight. And you see whatever you pay your channel manager as worth the savings/extra revenue from direct booking? 

    I do think the link-capability from social media is interesting. If you've got good skills on Insta and TikTok and can build a brand there, that's free, and then you can link directly to your site. Hmmm...interesting.

    2Reply
  • Glen Wiley
    Investor 路 Richmond, VA 路 Member since 2023 路 459 posts 路 474 votes
    2y

    Your post resonates with me. I really WANT the idea of direct bookings to work but I struggle to justify the time and expense given what I currently get off the 2 big OTAs.

    I suspect that once I retire from my W2 I will probably set up a direct booking channel since I'll have more time but for now I am accepting the risks of depending on the OTAs in exchange for the benefits.

    5Reply
  • James Carlson
    OP
    Real Estate Agent 路 Colorado | stan.store/JamesCarlson 路 Member since 2014 路 2k+ posts 路 2k+ votes
    2y
    Quote from @Glen Wiley:


    I suspect that once I retire from my W2 I will probably set up a direct booking channel since I'll have more time but for now I am accepting the risks of depending on the OTAs in exchange for the benefits.


    Yeah, if it was my full-time job to manage Colorado vacation rentals, maybe I'd take the time to do this. But I've got other things going on in life and want our rentals to be as easy as possible. (I think most of my STR investors feel the same.)

    You say the "risk" of depending on OTAs. I think that is minimal to non-existent. Airbnb and VRBO have millions in advertising dollars. Whatever risk of getting demoted in the algorithm for them exists as well on the web. 

    Where's your STR?

    2Reply
  • Ken Boone
    Investor 路 Greenville, SC 路 Member since 2015 路 1k+ posts 路 1k+ votes
    2y

    So first of all, the large majority of direct booking websites will NEVER be able to compete with the big OTAs when it comes to SEO. Period. For heavy tourists markets where there are several STR management companies who have websites, most direct booking individual websites will not even be able to compete with that.

    But if you work on your social media presence, social media ads, and routing return guest through your direct booking website, you are building a base of clientele which makes you less dependent on the whims and algorithm changes that the big OTAs have.  I have experienced top performing properties drop instantly to nothing, for no reason other than algo changes.  When that happens there is NOTHING you can do in the short term to resolve those issues. I have seen it happen a number of times.

    But yes it does require work and it is a slow game not a fast one.  To me it's worth it, to not be as reliant on the big OTAs.  Right now I am about 10% direct, a year ago I was at 5%. Hoping within another year I will be at 20 - 30%.

    7Reply
  • Bruce WoodruffPro Member
    Contractor/Investor/Consultant 路 San Diego / Phoenix 路 Member since 2021 路 12k+ posts 路 15k+ votes
    2y

    It's not just about saving money IMHO...it's also about getting out from under their (Air and VRBO) control, regulations, cumbersome and guest friendly customer service et al...

    4Reply
  • Monique P.
    Member since 2023 路 88 posts 路 62 votes
    2y

    I only list with VRBO (don't care for Airbnb) and of those bookings i've been able to capture 32% as repeat guests whom book direct.

    I don't have a direct booking website. After each guest checks out, i share with them how they can book directly with me in e-mail (Docusign rental agreement, zelle, venmo, personal check) to save on platform fees if they want to return. It seems to be working well enough, no complaints.

    My demographic is not on Tiktok or Instagram. Ha. I'm not too worried since VRBO launched in 1995 and spend close to 100M a year on advertising. It's hard to compete with that right. LOL. I'm just trying to work on getting my repeat guest to refer my STR to their family and friends more. One guest told me she didn't want to tell others because it would be harder getting her desired dates. ;-) I told her she could always have her dates, but to go ahead and tell her family and friends. ;-)

    Thanks for starting the discussion James, always eager to hear what others are doing and learning new strategies.

    3Reply
  • James Carlson
    OP
    Real Estate Agent 路 Colorado | stan.store/JamesCarlson 路 Member since 2014 路 2k+ posts 路 2k+ votes
    2y

    @Ken Boone

    All great points. Yes, when I type in "Vacation rental Denver" I can't scroll down far enough to find a direct booking site for a solo property. They're all corporate booking sites (Airbnb, VRBO, Booking.com, etc.) 

    But I am right here and now being swayed by the social media argument. It costs nothing to post your STR on Instagram and TikTok, and if you put in the time over months and years, I can see that paying off.

    But as someone who's developed a few different social media presences, it's also not as easy as posting once a week and hoping it does well. The social game is getting professionalized and like short-term rentals in general, you now have to bring your A-game.

    3Reply
  • Max Smetiouk
    Member since 2024 路 41 posts 路 25 votes
    2y

    Hi James,

    Excellent points!

    That's what i call critical thinking. Don't just eat up everything you read and hear.

    Start asking questions instead of taking everything for face value. 

    Because Google is never wrong 馃槅

    2Reply
  • James Carlson
    OP
    Real Estate Agent 路 Colorado | stan.store/JamesCarlson 路 Member since 2014 路 2k+ posts 路 2k+ votes
    2y
    Quote from @Bruce Woodruff:

    It's not just about saving money IMHO...it's also about getting out from under their (Air and VRBO) control, regulations, cumbersome and guest friendly customer service et al...


    I certainly support that. The beauty of Airbnb and short-term rentals is that it's one of the most democratized forms of small business, unburdened by barriers to entry. Do you live somewhere? You can rent it when you're not there. Boom. Money in the pocket. (STR laws, notwithstanding.)

    And if you can remove that one barrier of Airbnb or VRBO, then you've got an (almost) truly independent small business.

    1Reply
  • James Carlson
    OP
    Real Estate Agent 路 Colorado | stan.store/JamesCarlson 路 Member since 2014 路 2k+ posts 路 2k+ votes
    2y

    @Monique P.

    No shade on the anti-TikTok demographic. ;) 

    That's the old-school strategy right there. And probably the better for its simplicity. Nothing in advertising can beat word-of-mouth. That 32% repeat guests is incredible.

    If you've got disciples out there spreading the gospel of your vacation rental, then you're golden. 

    2Reply
  • Lauren Kormylo
    Rental Property Investor 路 Phoenix, AZ and Rehoboth Beach DE 路 Member since 2019 路 1k+ posts 路 1k+ votes
    2y

    The main reason to want direct bookings is NOT to save platform fees, but to have control over your bookings, as Ken says above.  Reasons that Airbnb can immediately shut down a listing: guest complains (wrongly) that there is a camera in the house, Airbnb finds out guests had a big party, a neighbor complains to Airbnb of a rental property that is noisy. And when they suspend your listing, they won't even tell you why.  You'll have to wait a week or more for them to email you, then you'll fight to have it reinstated.  Have you forgotten how Airbnb refunded everyone during the Covid years, despite it going against hosts' cancellation policies?  They refunded everyone who asked for it. 

    5Reply
  • Glen Wiley
    Investor 路 Richmond, VA 路 Member since 2023 路 459 posts 路 474 votes
    2y
    Quote from @James Carlson:

    Where's your STR?


     In Virginia's northern neck (on chesapeake bay). We have operated it for a few years now.

    1Reply
  • James Carlson
    OP
    Real Estate Agent 路 Colorado | stan.store/JamesCarlson 路 Member since 2014 路 2k+ posts 路 2k+ votes
    2y
    Quote from @Max Smetiouk:

    ... That's what i call critical thinking...

    My liberal arts degree had some merit, afterall.
    1Reply
  • Bruce WoodruffPro Member
    Contractor/Investor/Consultant 路 San Diego / Phoenix 路 Member since 2021 路 12k+ posts 路 15k+ votes
    2y

    I agree with @Monique P.. the best way to establish your own personal clientel list is to let them know to get in touch with you personally the next time around. A personal website to drive people to is a good idea as well, but it will take time to compete with the big boys.

    All of the above is the right choice IMO, and gradually (and patiently) develop your independence. Although why would you ever turn down any booking?

    But @James Carlson is correct in his assertion that they are over-rated.....just another tool in the box. I recall a poster on here a while back whose company specialized in just this though...driving your personal website to the top of the listings...

    3Reply
  • Bruce WoodruffPro Member
    Contractor/Investor/Consultant 路 San Diego / Phoenix 路 Member since 2021 路 12k+ posts 路 15k+ votes
    2y
    Quote from @Lauren Kormylo:

    The main reason to want direct bookings is NOT to save platform fees, but to have control over your bookings, as Ken says above.  Reasons that Airbnb can immediately shut down a listing: guest complains (wrongly) that there is a camera in the house, Airbnb finds out guests had a big party, a neighbor complains to Airbnb of a rental property that is noisy. And when they suspend your listing, they won't even tell you why.  You'll have to wait a week or more for them to email you, then you'll fight to have it reinstated.  Have you forgotten how Airbnb refunded everyone during the Covid years, despite it going against hosts' cancellation policies?  They refunded everyone who asked for it. 


    Yes, this^^^^ I still recall them pulling my Superhost status for over 6 months after they falsely claimed that I cancelled a guest. Even after I proved them wrong they didn't reinstate me. I don't want another business having that sort of control over my business.

    But they're the big dogs right now, ya gotta play the game until you figure a way out. I'd bet that within 5 years, there will be a new platform that combines the best of all worlds......

    4Reply
  • James Carlson
    OP
    Real Estate Agent 路 Colorado | stan.store/JamesCarlson 路 Member since 2014 路 2k+ posts 路 2k+ votes
    2y
    Quote from @Lauren Kormylo:

    The main reason to want direct bookings is to have control over your bookings ........  

    Fair point. And if you could get to a majority direct-booking, then this would be great. But direct bookings aren't suddenly going to fill in in the event the Airbnb algorithm glitches out. So while it's imperfect, Airbnb's also the behemoth in the room that we all have to deal with.
    0Reply
  • James Carlson
    OP
    Real Estate Agent 路 Colorado | stan.store/JamesCarlson 路 Member since 2014 路 2k+ posts 路 2k+ votes
    2y
    Quote from @Lauren Kormylo:

    Have you forgotten how Airbnb refunded everyone during the Covid years, despite it going against hosts' cancellation policies?  

    I didn't like Airbnb's decision to refund guests during Covid, either. They really showed where their loyalty lies -- with guests.

    But I'm also hesitant to draw broad conclusions from mistakes made in the early days of a once-in-a-century global pandemic.
    0Reply
  • John UnderwoodPro Member
    Investor 路 Greer, SC 路 Member since 2014 路 13k+ posts 路 17k+ votes
    2y

    I think there are good to direct your repeat guests to your direct booking site.

    1Reply
  • Andrew SteffensBusiness Member
    Tampa, FL 路 Member since 2022 路 3k+ posts 路 3k+ votes
    2y

    I agree for a mom and pop 1-3 unit operator. From a PM with 70 listings we are getting ROI from our site. We use Stayfi and put materials in the house and we are now getting 10-15% of our bookings through our site. This makes us the PM more money, the owner more money, and cuts our Airbnb and they arbitrary refunds etc out.

    [email protected]813-563-0877
    Vacation Rentals of Florida53 Reviews
    WebsiteView Page
    3Reply
  • James Carlson
    OP
    Real Estate Agent 路 Colorado | stan.store/JamesCarlson 路 Member since 2014 路 2k+ posts 路 2k+ votes
    2y
    Quote from @Andrew Steffens:

    I agree for a mom and pop 1-3 unit operator. From a PM with 70 listings we are getting ROI from our site. ....


     This makes sense to me. You can leverage your scale a bit more. 

    0Reply
  • Theresa Holl
    Investor 路 Minneapolis 路 Member since 2023 路 265 posts 路 162 votes
    2y

    Not only do people jump into these websites too quickly sometimes, but they're overpaying.  I've seen people spend $3K to $5K on sites that don't even have Google Analytics or GA4 tags for harnessing your web traffic and running targeted ad campaigns.  So much sloppy work out there these days for way too much money.  At least that's my recent observation.

    3Reply
  • Bruce WoodruffPro Member
    Contractor/Investor/Consultant 路 San Diego / Phoenix 路 Member since 2021 路 12k+ posts 路 15k+ votes
    2y
    Quote from @Theresa Holl:

    Not only do people jump into these websites too quickly sometimes, but they're overpaying.  I've seen people spend $3K to $5K on sites that don't even have Google Analytics or GA4 tags for harnessing your web traffic and running targeted ad campaigns.  So much sloppy work out there these days for way too much money.  At least that's my recent observation.

    IIRC - do you do websites for just this purpose?
    1Reply
  • Theresa Holl
    Investor 路 Minneapolis 路 Member since 2023 路 265 posts 路 162 votes
    2y
    Quote from @Bruce Woodruff:
    Quote from @Theresa Holl:

    Not only do people jump into these websites too quickly sometimes, but they're overpaying.  I've seen people spend $3K to $5K on sites that don't even have Google Analytics or GA4 tags for harnessing your web traffic and running targeted ad campaigns.  So much sloppy work out there these days for way too much money.  At least that's my recent observation.

    IIRC - do you do websites for just this purpose?

     Yes - we can do this if it makes sense for their business.  We do a bunch of refreshes/overhauls too, which is where I'm hearing what people paid for subpar work. It's crazy. 

    2Reply
  • Michael BaumPro Member
    Olympia, WA 路 Member since 2016 路 8k+ posts 路 7k+ votes
    2y

    I am on the fence. I have a site parked for direct booking but I haven't done anything with it yet.

    You can do it yourself with Wordpress and all the widgets and plug-ins for STRs.

    I see the biggest benefit is to drive return guests with a lower overall price for their future stays.

    No one can beat the OTAs in SEO. Takes millions to get that kind of traction.

    2Reply
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