Asia-Pacific vacation rental market size was valued at USD XX billion in 2022. The vacation rental industry is anticipated to expand from USD XX Billion in 2023 to USD 1700 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 5.80% during the forecast period (2024 - 2032). The expanding expenditure on travel, vacations, and accommodation among millennials, increasing awareness regarding services and offerings, and increasing availability of vacation rentals are major market drivers driving the vacation rental market in Asia-Pacific.
Source: Secondary Research, MRFR Database, Primary Research, and Analyst Review
The Asia-Pacific vacation rental market CAGR is expanding due to the increasing trend of transformational travel. Travelers in the region seek more immersive and meaningful experiences, driving a preference for vacation rentals over traditional accommodations. This shift aligns with the desire for personalized and culturally rich experiences, allowing travelers to engage with local communities and customs. Vacation rentals offer the flexibility and authenticity desired by those pursuing transformational travel, contributing to the market's growth as it caters to evolving consumer preferences in the dynamic Asia Pacific travel landscape. Additionally, the rapid growth in the travel and tourism sector globally is a major contributor to the expansion of the global vacation rental market. Consumer expenditure on tourism activities is growing rapidly. The need for vacation rentals among travelers is rising rapidly owing to its conveniences and low costs.
Furthermore, key players offer new services, exotic locations, and amenities to gain major market shares. For instance, in January 2020, Golightly was introduced, a vacation rental platform operated by women and only available for female guests. The firm owns more than 350 properties globally. Integrating vacation rental listings with different distribution channels, including online travel agencies (OTAs) and metasearch engines, opens recent avenues for reaching a broader audience. Operators can extend their reach and visibility via partnerships with platforms like HomeToGo, Expedia Partner Solutions, and TripAdvisor, attracting a larger pool of potential guests. This expanded exposure leads to higher booking rates and increased occupancy and drives the vacation rental market revenue.
The Asia-Pacific vacation rental market segmentation, based on the accommodation type, includes homes, apartments, resorts/condominiums, and others. The home segment dominated the market due to the high popularity of homes among travelers due to safety, space availability, and access to amenities. Home rentals offer a personalized and comfortable environment, attracting tourists who prioritize space, privacy, and local authenticity. The convenience of booking whole homes or apartments through online platforms contributes to the market's popularity, delivering a wide range of options for individuals and families looking for a home away from home in diverse destinations across the Asia Pacific region.
Figure 1: Asia-Pacific Vacation Rental Market, by Accommodation Type, 2022 & 2032 (USD Billion)
Source: MRFR Database, Secondary Research, Primary Research, and Analyst Review
The Asia-Pacific vacation rental market segmentation, based on booking mode, includes online and offline. The online segment dominated the market due to the increasing prevalence of online platforms. The overall adoption of online booking and property management platforms facilitates the rental process, delivering travelers convenient and transparent booking experiences. Digitalizing vacation rental services facilitates efficient communication, closed transactions, and real-time availability checks. This online accessibility improves the market's reach, delivering a seamless connection between property owners and travelers, thereby contributing significantly to the development and accessibility of the Asia Pacific vacation rental market.
The Asia-Pacific vacation rental market thrives due to a growing preference for individual and personalized travel experiences associated with the flexibility and cost-effectiveness of vacation rentals, which is a significant factor. Advanced internet penetration and the rise of online platforms simplify booking processes, improving accessibility. A rising middle class with disposable income also fuels travel aspirations, leading to a more significant demand for alternative accommodation. Government initiatives encouraging tourism and the development of infrastructure further expand the market. As travelers seek diverse and culturally immersive experiences, the Asia Pacific vacation rental market is poised for sustained development, reflecting evolving consumer preferences in the travel industry. Key service players in the country are taking initiatives and broadening the accommodation destinations by partnering with or enlightening the owners.
Figure 2: ASIA-PACIFIC VACATION RENTAL MARKET SHARE BY REGION 2022 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Leading market participants invest heavily in research and development to extend their product lines, allowing the vacation rental market to grow even more. Market participants are also undertaking numerous strategic activities to extend their footprint, with significant market outcomes including new product expansions, contractual agreements, mergers and acquisitions, more elevated investments, and collaboration with other organizations. The vacation rental industry must offer cost-effective items to enhance and survive in a more competitive, expanding market climate.
Major Participants in the vacation rental market are attempting to expand market needs by investing in research and development operations, including Airbnb Inc., Booking Holdings Inc., Expedia Group Inc., 9flats.com Pte Ltd., Hotelplan Holding AG, MakeMyTrip Pvt. Ltd., Oravel Stays Pvt. Ltd., TripAdvisor Inc., NOVASOL AS, and Wyndham Destinations Inc.
Asia-Pacific Vacation Rental Industry Developments
June 2019: Peng Tao, president of Airbnb China, declared that the firm undertook to introduce educational initiatives to educate landlords in second and third-tier cities in China. This initiative expanded the quality of the company's listings, consolidated online reviews, and encouraged brand-building.
| Report Attribute/Metric | Details |
| Market Size 2022 | USD XX Billion |
| Market Size 2023 | USD XX Billion |
| Market Size 2032 | USD 1700 Billion |
| Compound Annual Growth Rate (CAGR) | 5.80% (2024-2032) |
| Base Year | 2023 |
| Market Forecast Period | 2024-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Market Competitive Landscape, Revenue Forecast, Growth Factors, and Trends |
| Segments Covered | Vacation Rental and Region |
| Region Covered | Asia-Pacific |
| Countries Covered | China, Japan, India, Australia, South Korea, Thailand, Vietnam, Malaysia, Indonesia, Singapore and Rest of Asia Pacific |
| Key Companies Profiled | 9flats.com Pte Ltd., Booking Holdings Inc., Expedia Group Inc., Hotelplan Holding AG, Airbnb Inc., MakeMyTrip Pvt. Ltd., NOVASOL AS, TripAdvisor Inc., Oravel Stays Pvt. Ltd., and Wyndham Destinations Inc. |
| Key Market Opportunities | The expanding expenditure on travel, vacations, and accommodation among millennials |
| Key Market Dynamics | Key players are delivering numerous unique services, exotic locations, and amenities |
Frequently Asked Questions (FAQ) :
The Asia-Pacific vacation rental market size was valued at USD XX Billion in 2022.
The market is expected to extend at a CAGR of 5.80% during the forecast period, 2024-2032.
The key players in the market are Airbnb Inc., 9flats.com Pte Ltd., Booking Holdings Inc., Hotelplan Holding AG, Expedia Group Inc., MakeMyTrip Pvt. Ltd., Oravel Stays Pvt. Ltd., TripAdvisor Inc., NOVASOL AS, and Wyndham Destinations Inc.
The home category dominated the vacation rental market in 2022.
The online category dominated the vacation rental market in 2022.
Research Analyst Level II I have about two years of experience working in the consumer goods and retail industries and i am a biotech graduate.a tech-savvy analytically focused professional with a strong capabilities in identification, concept generation, and strategy evaluation. i can produce data-driven solutions while fusing unusual viewpoints with original concepts. i have been extensively working on business case studies, competitive & comparative analyses, and strategic reports. my primary areas of experience include client management, financial analysis, supply chain evaluation, market entry strategy evaluation, and estimating and forecasting market size.
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