Q2 2023 Triumph: HomeToGo’s Financial Success Fueled by Services and Subscriptions

Key Takeaways for Vacation Rental Managers:

• HomeToGo, a vacation rental booking platform, has reported positive financial results for Q2/23.
• The company recorded its first ever quarter with positive adjusted EBITDA, with a profit of €1.4 million – a big improvement from the €6.4 million loss in the same quarter last year.
• HomeToGo’s revenues increased by 14% compared to last year, reaching €42.8 million. Their North American business grew by 65%.
• They earned €115.5 million from bookings in H1/23, up 29% from the previous year.
• Their services for vacation rental owners, primarily through the channel manager Smoobu, also did well, earning €9.1 million (85% more than last year).
• HomeToGo is confident in their FY/23 goals, expecting revenue growth of 13-19% and reaching a point where they cover costs.
• If you use HomeToGo’s services, these positive results suggest the platform is gaining popularity and improving profitability, which could lead to better exposure and more bookings for your rentals.
• If you’re not using HomeToGo, these results indicate that it’s becoming a more attractive option for potential guests, potentially widening your audience if you decide to list your rentals on their platform.

About HomeToGo:

• HomeToGo is a vacation rental booking platform, meaning users can search, find, and book a vacation rental directly on HomeToGo’s website without going elsewhere.
• However, they have an ‘onsite booking’ model. This means that even though users book on HomeToGo, the payment is often processed by the property manager. HomeToGo shares credit card details after bookings are made.
• Property managers maintain control over booking terms, including cancellation policies, and general terms, rather than these being dictated by the HomeToGo platform.

Uvika’s View:

• HomeToGo, often seen as a metasearch engine and booking platform, is unique in straddling both roles.
• Traditionally, it earned revenue similar to metasearch engines through Cost Per Click, etc; however, it has recently embraced an ‘onsite booking’ model, aligning it with booking platforms like Booking.com and Airbnb.
• Another noteworthy revenue source is HomeToGo’s services and subscriptions sector, contributing significantly to its total earnings.
• This approach is sensible as short-term rental operators using HomeToGo’s network usually require a Property Management System (PMS), with HomeToGo promoting Smoobu as the preferred PMS. This places Smoobu’s revenue performance in better context.
• In April 2022, we found that a significant portion of HomeToGo’s bookings stems from their ‘onsite booking’ methodology, and this still appears to be true.
• This sustained triumph underlines property managers’ inclination towards controlling their bookings—a feature that distinguishes HomeToGo’s model, even more vital in light of challenges encountered by managers on other OTAs, such as Booking.com and Airbnb, such as the ongoing payment issues currently being experienced by Booking.com users.
• In contrast, HomeToGo’s model, empowering property managers with booking control, emerges as an appealing alternative for those seeking greater command over their reservations.

Big Boostly Bash Event Slated for November 2023

Key Takeaways for Vacation Rental Managers:

• Boostly is preparing to host the inaugural 100% social-focused event in the short-term rental industry, the Big Boostly Bash, at York Racecourse on November 14th.
• The Big Boostly Bash is positioned as a unique event that moves away from traditional industry norms, providing vacation rental managers a platform to connect in a relaxed setting and celebrate their achievements.
• The format is a departure from traditional event formats, in that no workshops, panels, or presentations are to be expected, focusing instead on creating a sense of community and acknowledging hard work.
• The program includes live entertainment, Hospitality Community Awards, and other engaging activities.

About Boostly:

• Boostly is a direct booking website design platform and online training resource for short-term rental property owners and managers. The company offers a range of services including online training, content creation, WordPress website design, and CPD-accredited marketing services. Boostly Founder Mark Simpson also hosts a prominent hospitality industry podcast titled The Boostly Podcast.

Uvika’s Take:

• The Big Boostly Bash event marks a departure from conventional industry gatherings, embracing a relaxed and engaging atmosphere. It mirrors the industry’s evolving focus on fostering a sense of community and commemorating accomplishments.
• The event’s casual ambiance might make it particularly suitable for first-time attendees in the short-term rental sector, offering a less intimidating entry point into industry networking compared to other more formal conferences. 
• However, it remains an excellent networking opportunity, given its sponsorship by prominent industry tech and services leaders such as PriceLabs, SUPERHOG, Touch Stay, Host & Stay, Hospitable, Made by Evolved, and the expected presence of influential figures and educators. This networking occurs in a more laid-back setting.
• The event also aligns with the industry’s growing recognition of the importance of relaxation and entertainment, contributing to the holistic well-being of professionals within the field.

Angel Host Integrates INTO Guesty AI-Boosted Customer Service

Key Takeaways for Vacation Rental Managers:

• INTO Guesty, an AI-powered customer service solution created in partnership between INTO and Guesty, has been integrated into Angel Host’s operations.
• Angel Host, a revenue-maximization company with a tech-driven approach, has adopted INTO Guesty to enhance guest services.
• This integration aims to streamline guest inquiries, ensuring multilingual interactions for personalized guest experiences.
• The tool’s adaptive tone, aligned with the property’s brand, and emotion detection further elevate guest interactions.
• Additionally, summarized chat histories contribute to refining future interactions, ultimately enhancing overall communication efficiency.

About INTO and Angel Host:

• INTO focuses on AI integration and crafting advanced solutions for diverse industries, allowing businesses to utilize AI capabilities for a competitive edge.
• Angel Host operates as a marketing, guest communication, and revenue-maximization company. Headquartered in Montreal, Canada, it operates across seven countries in America and Europe.

Uvika’s View:

• INTO Guesty steps into a market flooded with AI tools for guest communication. What sets it apart is how Angel Host has cleverly integrated it, bringing together human support and AI’s efficiency.
• This means that while keeping that personal touch, INTO Guesty uses AI to make things smoother. It’s like a glimpse of how technology and personalized service can work hand in hand, giving guests a better experience.
• However, it remains unclear whether INTO Guesty will only be for Angel Host’s Guesty users or if rental managers using another Property Management Software can get in on it.