Big slowdown in bookings

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Pengman
Posts: 115
Joined: Mon Apr 22, 2019 4:54 pm
Location: Portland, Dorset UK

Big slowdown in bookings

Post by Pengman »

I’m now seeing a big slowdown in bookings here in the UK and it’s happened very quickly. In the spring I looked at bookings for the year ahead and in terms of numbers of bookings they were about the same as the last 2 years (which of course were very much staycation years due to Covid). But these were very much Spring and Summer bookings - when I checked recently I only had 14 bookings between early July and Xmas - well down on 25 for the same period last year. I have very few Autumn and Winter bookings over the next 6 months.

When I look at the possible reasons for this I come up with the following:

(1) In mid May I raised my prices by 15% - they hadn’t been increased in over 2 years and like everyone I was feeling the pinch. Furthermore, I wanted my new rates to be good for the next 2 years. And even with a 15% increase, I was still lower than the average prices for similar properties in my area. However, I still had the nagging feeling that my 15% increase had been over ambitious.

(2) Increased competition. In May, when I did my benchmarking, there were 27 new comparative properties in my area than when I last did this exercise 2 years ago. That said there were also 12 comparable properties 2 years ago that I couldn’t find listed this year, although of course some of these could have changed hands, been renamed and be included in the 27 new properties.

(3) The opening up of air travel and the return of foreign holidays - this could well attract those seeking winter sun and city breaks in balmy climates, which UK holiday lets simply can’t compete with.

(4) The general economic malaise - not so much free money around for autumn and winter breaks

Today I backtracked on my 15% increase and reduced my prices for autumn and winter (but not spring and summer) by 10%, so by my calculation my rates for this period are just 3.5% up on where they were before I increased them by 15%. However, although I’d love to be proved wrong, my gut feeling is that this won’t make much difference and that the other 3 factors together will conspire against me.

Anybody got any similar stats or views to share?

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I came, I saw, I bought it.
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CSE
Posts: 4414
Joined: Mon Nov 06, 2006 3:34 pm
Location: Galicia

Re: Big slowdown in bookings

Post by CSE »

and like everyone I was feeling the pinch.
I think you may have answered your own question there.
Maybe offer a free Lurpack Butter as in insensitive. :lol:
Never try to out-stubborn your guests.
Jemima Copping
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Joined: Fri Jun 21, 2013 5:22 pm
Location: Scotland
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Re: Big slowdown in bookings

Post by Jemima Copping »

I have had a similar experience. My self catering property for 2 people was, before Covid, booked solidly from the beginning of March to the end of October. I try to get bookings for 7 nights and have managed to do this successfully for 8 years, only offering last minute short breaks of 3 nights when I have a week unbooked.
I have so far had 8 weeks unbooked up to the 9th July, and a further 6 weeks to fill until the end of October.
This is almost half what I would usually have. It looked good at the beginning of the season, but slowed down completely by the end of April. We live in an area of high tourist numbers, but an awful lot of people come for only 1 or 2 nights. Everybody now seems to have a pod or Shepherds hut with minimal facilities, but charging an extortionate price, all listed as luxury accommodation.
However, there certainly are less cars on the road this year, so I think that the cost of getting here in the first place and the general downturn in the economy is taking it’s toll. Plus the weather this year has been abysmal since the beginning of June.
Better to be mutton dressed as lamb than mutton dressed as mutton!
Jonathan
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Joined: Thu Aug 14, 2014 10:17 am
Location: Warwickshire
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Re: Big slowdown in bookings

Post by Jonathan »

In the past few years our bookings have mostly come from Airbnb, typically 2 or 3 nights, but last year we had our best occupancy rate ever. More work but worth it.

Jonathan
Pengman
Posts: 115
Joined: Mon Apr 22, 2019 4:54 pm
Location: Portland, Dorset UK

Re: Big slowdown in bookings

Post by Pengman »

I posted this nearly a year ago now. Well, my 22/23 autumn and winter bookings improved, so much so that I sold 27 out of the 28 nights in February 23 and thought we were turning a corner. But then, another collapse and this one is far more worrying because it's been in the 'season' months of May, June & July 23 (just 10, 13 and 16 nights booked respectively for these months). In the past few years I've had over 80% occupancy for these months. Therafter I'm booked pretty solidly from late July to late September (interestingly mostly to giuests from mainland Europe), but then the next cliff edge looms.

Checking online there are quite a few articles in the press about the immenent death of the staycation etc. Personally, I should be able to hang on for this financial year, just achieve the 105 nights required to maintain my FHL status required by HMRC, and maybe turn a small profit. But with the high interest rates that wil increasingly impact homeowners coming off fixed rate deals over the next few years, will there be sufficient cash in folks pockets next year to keep us all in the manner to to which we have become accustomed?
I came, I saw, I bought it.
Helen25263
Posts: 2
Joined: Sun Jan 31, 2021 11:08 pm

Re: Big slowdown in bookings

Post by Helen25263 »

Definitely slower bookings and a few cancellations this year, I believe is purely because of the terror being published in the media and on TV about interest rates, property crashes, fuel bills etc.
I am hoping it's a case of 'wait and see' and there will be some late bookings
I've tried reducing the minimum stay, changing my prices structure, improving my photos etc, I just think people are waiting and not wanting to commit to spending.
In the longer term I am hoping staycations will become more popular again because of the hassle of flying anywhere and the significant rise in costs of flights.
I've decided to hold my nerve in the hope that I will get some late autumn and winter bookings , but this time last year I was almost fully booked up to Christmas so it is a bit concerning.
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