After two plus years of
exceptional growth fueled by booming pandemic-era demand throughout which period
vacationers skilled the class’s strengths and flaws, development of world
short-term rental bookings is slowing as important quantity shifts again to accommodations.
In keeping with Phocuswright’s newest journey analysis report on the phase Global Short-Term Rentals
2023-2027, the slowdown will be attributed to the next:

• Rebounding demand for
  accommodations, which have been hit tougher through the pandemic
• The restoration of
  enterprise journey, which tends to be hotel-centric
• A return to workplaces,
  leading to fewer individuals working whereas touring – a development which was conducive
  to STR stays
• Growing rules
  on STRs in lots of key markets

Phocuswright’s U.S. Consumer Travel Report
2023 highlighted the shift again to accommodations: The incidence of
lodge stays in the US was at parity with 2019 in 2022 (67% vs. 66%) after a dip in
the intervening years, whereas for U.S. STRs it remained decrease than 2019 (25% vs.
28%).

Europe was a barely
completely different story. Per the Europe Consumer Travel Report
2023, the UK tracked equally to the U.S. in that STRs did not
bounce again as strongly. However throughout France, Germany, Italy and Spain, STR
incidence was considerably greater in 2022 vs. 2019, spotlighting the
inconsistent dynamics of the lodge vs. STR markets in varied locales.