Wire Weekly: Global short-term rental & hospitality news

SCALE Internship Week 5 WIRE Weekly

Intro:
This week’s headlines show that short-term rental success increasingly depends on understanding the true cost of doing business and responding more strategically to changing traveller behaviour. From rising platform fees and pet-friendly demand to AI-powered travel planning, direct-booking opportunities and smarter event pricing; operators are being challenged to protect profitability while delivering a more personalised guest experience.

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Airbnb’s host-only fee shift could materially change operator pricing

Despite seeing one percentage on Airbnb for a host-only service fee in Europe, hosts could be charged three percent more and over once VAT is added.

In plain terms, Airbnb is charging European hosts a 15.5% fee, but with VAT, this can quickly and easily become anywhere from 18.4% to 19.1%.

Those who are VAT-registered can generally reclaim the VAT, restoring the original fee. However, those who are not registered, which includes most individual hosts, will face these additional and unrecoverable expenses. This means many hosts may need to increase their rates simply to maintain the same payout they received before the fee change.

What this means for operators: Operators should calculate their true Airbnb commission based on their country’s VAT rate rather than relying on the advertised 15.5% figure. They will also need to decide whether to absorb the additional cost or adjust pricing across Airbnb, their PMS, or their revenue-management platform. Any rate increase should be made in only one system to avoid double markups, and operators should closely monitor how higher prices affect competitiveness, conversion rates, and overall channel profitability.

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Pet policies are influencing whether Americans travel at all

International travel is increasing in general, however there is one group that is wary about leaving home: those who live in the US and own pets.

Recently, PetScreening conducted a survey of 1,000 US adults. The findings were that 45% of pet owners have changed, limited, or canceled a trip because they could not find suitable accommodations for them and their pets. When looking specifically at Gen Z pet owners, this number rises to 57%.

Most people travelling with pets know that there will be a cost whether they take the pets with them or leave them, and would prefer easier access to rentals that can accommodate animals. These findings suggest that pet-friendly availability can directly influence not only where travellers stay, but whether they take a trip at all.

What this means for operators: Pet-friendly policies can be a meaningful demand driver rather than simply an added amenity. Operators that clearly communicate pet rules, fees, property restrictions and available features, such as fenced yards, nearby walking areas, or pet supplies, may be better positioned to capture travellers who are struggling to find suitable accommodations. Creating a simple and transparent pet-booking experience could also help operators attract younger guests, increase occupancy and differentiate their properties in competitive markets.

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Expedia says AI is both a threat and a growth opportunity

Expedia, one of the largest online travel booking companies, recently put out a statement surrounding the use of AI, especially in travel agents, advising the general public against the use of them.

While Ariane Gorin, Expedia’s CEO, acknowledges that AI can and is making it easier for travellers to compare options, book directly and sometimes bypass traditional online travel agencies, completely AI-powered travel agents take out the individuality of travel and planning trips. Gorin also explains that AI start-ups lack the trust and established reputations of the companies with real humans behind the scenes.

This all comes in a move to position the company against the threat of AI and encourage travellers to really put thought into their well-deserved trips and vacations to ensure it turns out to be exactly what they want. They agree that AI can enhance the process, but is unlikely to succeed in becoming reliable and replacing other businesses.

What this means for operators: Operators should expect AI to play a larger role in how travellers search for, compare and book accommodations. To remain visible, property information, rates, policies, amenities, and availability must be accurate and consistent across every booking channel. At the same time, operators should not underestimate the value of human service. Responsive support, trusted reviews, direct communication and help during cancellations or disruptions can differentiate established operators from fully automated booking tools. The strongest strategy may be to use AI to improve speed and personalisation while continuing to provide the human expertise and reassurance travellers still value.

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Direct-booking enquiries may be more commercially valuable than operators assume

Most travellers will call or enquire about a rental with seemingly general questions that are often quickly answered and brushed off by those managing the property. However, it is very possible that when people call asking about parking, pet policies, fees, capacity, amenities and other inclusions of a property, they are actively comparing properties and are trying to decide which is the best fit for them.

It is because of this that those answering the questions should put careful thought into what and how they answer, and make sure that they are doing what they can to convince the person to book, even if it is indirectly.

This requires high levels of professionalism within teams and high knowledge of both the properties being asked about and general sales tactics.

What this means for operators: Operators should train reservation teams to recognize buying signals within everyday guest questions. Instead of only providing an answer, staff should ask about the traveler’s dates, group size, priorities, and concerns, then recommend the property that best fits their needs. Encouraging teams to confidently ask for the booking, follow up with undecided guests, and review missed opportunities can help increase direct conversions without requiring additional advertising spend.

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Industry Briefs:

Hostaway fuels its next phase of growth by expanding leadership team with three strategic executive appointments

Hostaway recently expanded its executive leadership team with three new appointments as the company is entering a new stage of global growth.

Entering as Chief Financial Officer is Robert Goldenberg who will lead the company’s global finance and accounting strategy. Janis Rozenblats, serving as Chief Product Officer, will oversee product development and AI utilisation. The third, Darcy Kutz, is the Chief Marketing Officer, and will work to strengthen Hostaway’s global brand and accelerate customer growth.

The three of them bring their own, unique experiences in scaling technology and SaaS companies. All of this is following another milestone for Hostaway as they became the first PMS company to reach unicorn status in 2025. Together, the hires signal that Hostaway is preparing to invest more aggressively in product innovation, AI, financial infrastructure and international expansion.

What this means for operators: For operators using Hostaway, the leadership changes could lead to faster product development, deeper AI integration, and more tools designed to automate daily workflows. The company’s emphasis on scalable growth may also bring expanded support, stronger integrations, and broader global capabilities. At the same time, operators should closely evaluate new AI features to determine whether they genuinely improve efficiency, profitability, and the guest experience rather than simply adding more technology to existing processes.

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Kansas City tops the table: new KeyData analysis reveals which cities won the 2026 World Cup for short-term rentals

A new KeyData analysis has found that short-term rentals across the 13 cities in the US and Canada where the 2026 FIFA World Cup games were hosted saw strong revenue growth during the tournament. While this seems easy to understand, most of the increase came from higher pricing rather than significantly stronger occupancy with average daily rates rising about 20% year over year but adjusted paid occupancy only increasing by around 3%.

Within these metrics, Kansas City saw the strongest-performing market with its adjusted RevPAR rising 51%. Additionally, it was the only host city to record meaningful growth in both average daily rate and occupancy. Following Kansas City were New York, Newark, and San Francisco, although these followed the trend in increases due to higher prices. The data also suggests that many travelers booked short trips centered around specific matches as the average stay length declined across the host cities.

What this means for operators: Operators should not assume that major events will automatically produce much higher occupancy. The World Cup data shows that much of the revenue opportunity came from charging stronger rates rather than simply filling more nights. Operators preparing for future events should monitor booking pace, local demand, competitor pricing, and minimum-stay settings well in advance. They should also build pricing strategies around shorter, event-specific trips and avoid discounting too early, since disciplined rate management may have a greater impact on revenue than occupancy alone.

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Have a story the industry should be paying attention to? If you’re seeing regulation changes, market shifts, operator trends, new technology, or community-led initiatives across short-term rentals, serviced accommodation, or hospitality, send it to [email protected] for possible inclusion in a future WIRE Weekly roundup.