It’s official: the big OTAs are not just back—they’re thriving.
In Q4 2024, Airbnb reported a 12% increase in booked nights, Expedia saw a 15% uplift, and Booking.com recorded an impressive 19% growth when compared to the previous year. Average daily rates (ADRs) also held steady or climbed slightly across key markets, relieving worries about post‑pandemic price softening.
For short‑term rental managers, these figures are more than numbers—they’re strategic signals. In a landscape reshaped by consolidation, evolving guest expectations, and rapidly updating platforms, knowing how to harness this OTA momentum is vital.
The property managers who succeed won’t be those who simply scatter their listings across every channel. They’ll be the ones who list smartly, automate effectively, and swiftly adapt to changes in guest behaviors, market trends, and platform algorithms.
In this article, we unpack the key platform shifts, highlight top regional growth opportunities, and lay out six strategic priorities that every STR manager should adopt in 2025.
What is OTA growth?
Between Q4 2023 and Q4 2024, the leading OTAs powered ahead: Airbnb, Expedia, and Booking.com each recorded a rise in nights booked of between 12% – 19%, and simultaneously, ADRs trended upward, with Airbnb averaging $158 per night and Booking.com reporting similar gains. This dual lift—in volume and pricing—underscores the resilience and profitability of the STR market, which should give property managers confidence looking ahead, as we reach the halfway point of 2025.
These performance metrics aren’t just corporate vanity; they’re directional beacons for property managers.
Airbnb’s expansion into Asia-Pacific—where cross‑border travel climbed 27% YoY—and Latin America’s 30% domestic surge highlight growing opportunities outside core US, UK, and European markets.
Expedia’s focus on loyalty members, who now account for over 50% of bookings, signals the need for managers to optimize for repeat guests.
Booking.com’s STR nights now constitute one‑third of total platform bookings, showcasing alternative accommodations’ growing mainstream appeal.
Importantly, growth is neither uniform nor guaranteed. Platform algorithms increasingly reward listing quality, responsiveness, and guest satisfaction metrics over simple availability. Generic, untargeted distribution strategies are giving way to nuanced, platform‑specific optimization.
To succeed, you must therefore decode each OTA’s evolving priorities—whether that’s Guest Favorites on Airbnb, performance scorecards on Vrbo, or Genius tiers on Booking.com.
Overall, 2024’s OTA rebound reflects years of investment in mobile UX, personalization, and loyalty schemes. STR managers who internalize these strategies, and align their operations accordingly will be best positioned to capitalize on sustained travel demand.
Platform-specific opportunities
Airbnb
Airbnb continues to sharpen its competitive edge by combining effective quality controls with seamless booking experiences. In Q4 2024, the platform removed over 400,000 substandard listings and promoted high‑performing properties via its “Guest Favorites” badge. For STR managers, this means that maintaining stellar review scores and rapid response times is no longer optional—it directly influences search rankings and booking volume.
Simultaneously, Airbnb has revamped its checkout process to reduce friction, shortening the path from browsing to booking. Mobile checkouts now load 30% faster, and pre‑filled user preferences streamline the flow. These enhancements drive higher conversion rates, particularly among first‑time and late-booking guests.
International expansion remains a cornerstone of Airbnb’s growth strategy. APAC booked nights rose by 20% YoY, with Brazil and emerging Southeast Asian markets reporting the strongest gains.
In these emerging markets, localization features such as language toggles, regional payment methods, and culturally tailored content, are essential tools for managers seeking to make consistent conversions.
Expedia and Vrbo
Expedia Group (now led by Vrbo) is doubling down on loyalty and quality within the short‑term rental market. Over half of Expedia’s bookings now originate from Expedia Rewards members, and Vrbo’s introduction of a performance scorecard incentivizes hosts to maintain good scores in cancellation rates, communication speed, and guest feedback. Hosts who meet or exceed these metrics receive preferential placement and promotional boosts.
Expedia is also piloting “Flex Filter” options that highlight flexible cancellation and rescheduling policies. Listings that prominently feature these options experience lower cart abandonment and higher overall booking values.
Booking.com
Booking.com’s strategic pivot toward STRs is paying off, big: alternative accommodations now account for 33% of the platform’s total booked nights. Its Genius loyalty programme drives more than half of these bookings, rewarding repeat and high‑spend travellers with tiered discounts and perks. Properties that meet Genius criteria report 25% higher conversion rates in target markets.
To support mobile users, Booking.com has revamped its host tools, enabling in‑app messaging, dynamic pricing suggestions, and one‑click promotions. Urban markets (particularly European capital cities) have seen STR supply grow by 8%, compressing price bands but expanding overall booking volume.
For STR managers, mastering Booking.com now requires more than registering listings; it demands active engagement with platform initiatives, from joining Genius to implementing flash deals timed around major events.
So what are the key takeaways? Each OTA is transforming into a distinct marketplace with unique algorithms and guest demographics. You now need to treat Airbnb, Expedia&Vrbo, and Booking.com not as generic listing portals, but as specialized sales channels, optimizing your listings to best suit each platform’s evolving priorities.
Navigating regional variations in the short-term rental landscape
The markets are up–but not all markets have grown equally. APAC and Latin America led the way in Q4 2024 with over 20% YoY increases in booked nights, while Europe and the U.S. posted a steady 10–12% growth., according to Airbnb.
Understanding regional nuances is key. Booking.com dominates in European urban centres, whereas Airbnb’s strongest gains came from Brazil and Southeast Asia, where it is supported by local payment options like Pix and region‑specific tariff structures.
Guest preferences also vary: German travelers prioritize free cancellation, while Japanese guests value multilingual support and detailed amenity descriptions.
Maximize your success by tailoring listings to each audience: translate property descriptions, set currency preferences, and adjust cancellation policies to match your target audience’s expectations.
Rentals United facilitate these customizations at scale, ensuring that regional markets receive optimized, culturally relevant offers that boost conversion and ADR simultaneously.
The investor perspective: growth for the short-term rental market
The markets have spoken: investors are bullish on short‑term rentals. In the days following the announcement of Q4 2024 earnings, Airbnb’s shares jumped 15%, and Expedia’s rose 17%.
Analysts highlighted each OTA’s progress on mobile bookings, loyalty programes, and pricing resilience as catalysts for value creation.
This investor enthusiasm indicates how to adapt your rental strategies to maximize value.
The same metrics that drive stock performance (guest retention, ADR, and premium listing visibility) should underpin your operational priorities. Now is the time to invest in technology that enhances these metrics.
This is no longer discretionary; it’s essential.
Fortunately these tools are readily accessible. Rentals United’s data‑driven distribution ensure that managers can transform STR portfolios into institutional‑grade assets.
Short Term Rental Strategies: 6 actionable tips for success
In 2025, agility and platform mastery will define market leaders.
Here are six strategic initiatives—each powered by Rentals United—that you can implement right away.
- Dynamic pricing. Use real‑time pricing engines to offer variable rates tailored to guest profile, length of stay, and booking window.
- Multi channel niche distribution. 2025 is the year where smart distribution really matters. Rentals United connects you to 90+ OTAs, so make the most of these channels by selectively enabling platforms aligned with your property’s unique selling points. You’ll increase visibility among high‑value guests, while improving your conversion rate.
- Loyalty programmes. Capitalize on the growing importance of guest loyalty: over half of Expedia and Booking.com conversions come from programe members. Optimize your listings for Genius discounts, Expedia Rewards points, and Airbnb’s Guest Favorites. Invest in instant booking options, and flexible cancellation policies to maintain premium placement on these OTAs, and attract repeat guests with high long-term value.
- Smart guest communication. This is an important one, especially if you are scaling your business. Personalized touch points drive higher satisfaction scores, and this leads to positive reviews–which are absolutely essential.
- Performance monitoring. Vrbo’s performance scorecards and Booking.com’s Genius metrics set new quality monitoring standards. Use these insights to boost your performance by updating photographs, refining descriptions, or revising house rules to secure higher visibility within your target guest groups.
- Regional localization. The international markets are growing fast, so be sure to customize your listing for regional audiences. Rentals United automates messaging translations and local currency display. Adapt your content to reflect cultural preferences; you can highlight EV chargers in Northern Europe or beach equipment in the Caribbean! Enable local payment methods like Pix in Brazil, or Alipay in China to lower friction, enhancing guest satisfaction and earning you more repeat bookings.
Conclusion
Strong OTA growth in 2024 indicates two things; a booming demand and rising complexity.
OTA platforms are refining their algorithms, increasing quality standards, and rewarding guest-centric listings.
What does this mean for you? A huge opportunity to optimize your business to this new landscape.
How to get started? Use the best tools for the job. Rentals United give you the extra boost you need with unparalleled distribution–all through a single, integrated service with a unified inbox to keep things convenient from your perspective.
Whether you manage a handful of properties or scale your business across continents, these tools give you the power to be present on all relevant OTAs, and optimized for each individual platform you use.
Get started with your distributiuon strategy with Rentals United today