Overview
On May 6th 2024, Jonathan Crutchley completed the renovation of La Magnanerie de Pimaquet and aimed to reach a target of 120 days booked in the year, in compliance with local tourism laws. Starting from a standing start, we provided our Advanced Packages to ensure La Magnanerie de Pimaquet captured the attention of potential guests and achieved substantial bookings. Our strategy focused on maximising bookings during the summer months of July, August and September to meet Jonathan's goals.
Our services included:
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Website Design: La Magnanerie de Pimaquet
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Blog Setup
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Channel Manager Integration
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Airbnb Account Setup
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Booking.com Account Setup
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VRBO Account Setup
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Pricing Strategy Development
Key Stats during first four months:
55
Total Bookings
63%
Direct as % of Total
35
Total Direct Bookings
63%
Direct as % of Total
32
Total Direct Bookings
Key Insights
Booking Channels
The property received bookings from various channels including Airbnb and VRBO, diversifying income streams and reducing reliance on a single platform.
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Direct Booking Success
Over 63% of the total revenue was generated through the direct booking site, demonstrating the effectiveness of the website and direct marketing strategies.
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Occupancy Rate
Achieving an average of 13.75 nights per month indicates strong occupancy, aligning with the target of 120 nights per year.
Executed Strategies
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Competitive Pricing Strategy
We implemented a competitive pricing strategy to ensure that the direct booking site was both the cheapest and most profitable channel. By applying specific mark-ups that reflected the service fees of different platforms, we positioned the pricing as follows:
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Booking.com: 15% mark-up (due to 20% service fee)
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Airbnb: 9% mark-up (due to 14% service fee)
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VRBO: 3% mark-up (due to 8% service fee)
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Direct Booking Site: No mark-up (due to 0% service fee)
To ensure the property remained competitively priced across all channels, we conducted extensive research into the local vacation rental market in Provence and the South of France. This allowed us to set pricing that attracted bookings on all platforms, even with the applied mark-ups. This approach ensured equal profit margins across all channels while making the direct booking site the most attractive and profitable option for guests. By not inflating the prices to a level that would negate the benefits of direct bookings, this strategy not only increased profitability but also encouraged a higher volume of bookings through the direct booking site.
SEO and Marketing Efforts
To drive traffic and bookings through the direct booking site, we employed a multi-faceted marketing approach:
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SEO Strategies: Optimized the website for search engines to increase organic traffic.
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Email Marketing: Engaged potential and past guests with targeted email campaigns.
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Physical Resources: Distributed flyers and brochures in local tourist areas.
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Social Media Marketing: Leveraged social media platforms to reach a broader audience.
These efforts were instrumental in achieving a 63.2% share of total revenue from direct bookings.
Promotions and Rates
To further enhance booking rates and maximize occupancy, we implemented various promotional strategies and adjusted rates seasonally:
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10% Weekly Discount: Offered a 10% discount for guests who booked for a week or longer, encouraging longer stays.
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First Three Guests Promotion: Applied a 25% discount for the first three guests who booked, creating initial momentum and positive reviews.
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Seasonal Rates: Adjusted pricing based on demand, with higher rates during the busy summer months to capitalize on increased demand.
These promotional strategies were critical in driving bookings and maintaining competitive pricing across all platforms.
Results:
Example Bookings and Revenue:
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14 nights (Direct Booking) - August
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7 nights (Direct Booking) - July
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4 nights (Airbnb) - July
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14 nights (Direct Booking) - August
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11 nights (VRBO) - August
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2 nights (Airbnb) - June
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3 nights (Airbnb) - May
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14 nights (Direct Booking) - August
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Average Nightly Rate: €300
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Direct Booking Revenue: (63.2% of total revenue)
Revenue Breakdown:
Total Nights Booked:
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Total Nights in 4 Months: 55 nights
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Average Nights per Month: 13.75 nights
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Direct Booking Site Nights: 35 nights
Once guests are on your website, we can seamlessly integrate them into your community. Through newsletters, email marketing, and engaging blog content, you'll keep them informed, connected, and coming back.
Conclusion
Starting from scratch, Jonathan Crutchley's La Magnanerie de Pimaquet has shown remarkable progress in a short period. The strategic planning and execution of marketing and booking operations have been instrumental in generating the desired bookings and revenue. This case study exemplifies the significant impact of a direct booking site as a valuable addition to an Airbnb listing.
