Once upon a time, the thought of choosing anything other than a hotel or B&B for your holiday or short break accommodation was virtually non-existent.
In recent years, however, the serviced accommodation sector has continued to grow from strength to strength. In truth, that progress shows no sign of slowing down anytime soon.
Information surrounding the growth of the industry is important for holidaymakers, landlords, and even those working in a more traditional hotelier business.
The Serviced Accommodation Sector
Serviced accommodation has seen a global growth, with HBAA confirming that the supply has grown by nearly 10% since 2011 while the sector growth has tracked above 17%.
In the UK, the Association of Serviced Property Providers (ASAP) reports (hat tip: the Caterer) that occupancy levels were at over 81.7% in 2017.
Meanwhile, Statistica shows that the first four months of the year – known to be slower than the peak summer season – climbed significantly too. The stats show a significant growth from 2017 to 2018;
January 54% → 63%
February 61% → 71%
March 64% → 73%
April 69% → 75%
As well as the supply and demand, the general market share has increased.
Serviced accommodation has become about more than merely renting a room, and with new concepts like HEAL (healthy eating, active living) making their way into the market, the quality on offer to holidaymakers is greater than ever.
Why Is The Sector Performing So Well?
The growth of the serviced accommodation sector should come as no surprise.
There are many different factors to consider, and they soon add up to paint a pretty clear image of why this is becoming a popular route for homeowners and holidaymakers alike.
Here are just some of the key points to remember:
- Times are changing. Up to 4 in 5 people are now prepared to book their own holidays and short breaks without the need for a travel agent.
- Serviced properties are shown to offer better flexibility in terms of duration, and a heightened sense of privacy.
- As per gov.uk, it is possible for homeowners to rent out a room (or property) and earn up to £7,500 without being taxed, which is why more and more people are doing it.
- Service property agencies make the process of listing a property and finding tenants for the available dates a particularly easy task.
- Longer stays at a serviced property are cheaper than the hotel equivalent. Moreover, laundry and other services become far cheaper.
Given the financial and practical benefits for homeowners and short-term tenants, along with the ease of booking the stays in this modern age, the popularity will only grow further as we approach the next decade.
The Final Word
The average holidaymaker taking a short break in the UK seeks accommodation that offers value for money, privacy, personality, and flexibility.
The serviced accommodation industry provides it in abundance, which is why people are responding in a positive fashion.
With hoteliers and homeowners acknowledging that there is money to be made from providing a class service in this field, there’s no wonder the service is growing from strength to strength.
Flexible Stays is one of the best platforms to let it happen.