Tourism is one of the fastest-growing industries in the world. In 2017, the global tourism market was worth over $1 trillion. The demand for tourism continues to grow, and cities are investing to make themselves more attractive as destinations. One such city is Paris, which has been seeing a decline in its population over the last few decades. However, that has changed in recent years with an uptick in tourists visiting the city. This change has had positive implications not just for hotels but also for private home rental services like Airbnb and HomeAway that offer alternative options to hotel stays. According to one study, around 425,000 visitors used these services when they visited Paris in 2017, representing an increase of around 10% from the year before. The private apartment rental service has become so commonplace that many real estate brokerages have started specializing in them exclusively.
How is Tourism Boosting Private Apartment Rental?
A large number of visitors to cities like Paris are international tourists. They arrive with their own schedules and preferences. In many cases, that means they are looking for cheaper options outside of hotels. The real estate industry is embracing this shift toward vacationing in apartments by expanding the number of properties available for short-term rental. The increase in tourism has meant an increase in demand for private apartment rental services like Airbnb. In 2017, the number of visitors to Paris from the United States increased by 11%. These visitors prefer staying in private apartments over hotels. Similarly, in Asia, an increasing number of tourists are opting for private rental apartments instead of hotels. This is also true for cities in South America and Europe.
Why Choose an Apartment?
Apartments have several advantages over hotels, especially when it comes to families. There are several reasons why families may choose to stay in an apartment instead of a hotel. For example, many families prefer to have more space in an apartment than they would in a hotel room. Many families also prefer to have kitchens in their vacation housing so they can cook their own meals. This is especially true for families with younger children who may be too young to stay in a hotel where there could be loud noises and other disturbances. Families may also prefer to stay in an apartment when traveling with pets, as many hotels either don’t allow pets or charge a pet fee. And, finally, families may prefer to stay in an apartment because they may be on a budget.
Airbnb and Tourism
Tourism has been significant in driving demand for private apartment rental services like Airbnb. According to one study, more than half of Airbnb users reported traveling for leisure purposes. And a recent survey found that nearly 90% of people who have used Airbnb did so for leisure travel.
Airbnb has also become more popular among tourists visiting Paris. In 2017, the number of visitors to the Paris region from the United States using Airbnb was an estimated 1.6 million, representing an increase of around 26% from the year before.
The number of visitors from Asia has also risen significantly in the last few years. The number of visitors from Japan using Airbnb in the Paris region increased from roughly 60,000 in 2016 to an estimated 80,000 in 2017.
More Options for Consumers and Residents
Tourism has also meant an increase in options for consumers who are looking for alternative vacation options. At the same time, this has had a positive impact on local residents who live in the city. Unfortunately, the traditional hotels tend to drive up the cost of living in a city, especially if there aren’t enough of them to accommodate the increased demand. This might lead to tourism outpricing residents, which can be problematic as a city’s core economy is based on the spending and revenue that comes from residents.
Residents have few options when it comes to housing, and real estate prices can rise due to the increase in tourism. At the same time, there are fewer options for businesses to survive.
Booking.com and Apartments
The rise in tourism has meant that booking services like Booking.com have also noticed an increase in demand for private apartment rental services. In 2017, Booking.com listed nearly 2,400 private apartment rental properties in Paris. The number of private apartments listed on Booking.com has been steadily increasing. In 2016, there were around 2,100 properties listed. In 2017, that number increased to 2,400.
Many visitors to Paris choose private apartment rental services like Airbnb and Booking.com because they want to experience Paris like a local. They want to stay in neighborhoods that are away from the major tourist attractions. They want to stay in older buildings that have character and charm. They also want to stay close to public transportation so they can easily travel around the city.
Tourism has been significant in driving demand for private apartment rental services like Airbnb. The growth in this industry has meant an increase in the number of visitors to cities around the world. And while this has had some positive implications for residents and businesses in those cities, it has also led to some challenges. Being prepared for the increased number of visitors to cities can help local residents and businesses. .