In a world where some of the most unique destinations are just a click away, which stand out and which are starting to shine? Looking back at 2022, we discovered what the highest and lowest-ranked destinations are based on supply and revenue performance. In order to determine this, the specific metrics used to analyze destination popularity over 2022 were:
- Highest and lowest-ranked destinations by supply growth
- Highest and lowest-ranked destinations by revenue growth
- Countries with highest ranked median rates
If there’s interest, we have additionally covered separate articles on the highest and lowest-ranked European and US property managers (PMs) over 2022 based on property count, review score, and occupancy rates.
Highest and lowest-ranked destinations by supply growth
In our research, we focused on 2 bedroom entire home apartment property count in 20 countries, whilst measuring supply and revenue growth. The United States accounted for 19% of the total supply with the highest count of over 175,000 properties. This is expected due to the sheer size of the country.
Furthermore, this has inspired us to break down the US regionally and to compare a country’s percentage of STRs, with the number of their total households. We will save this for a future post.
With slightly more than half of the countries on this list garnering between 5000 and 10000, the European countries Italy, France, and Spain were counted to have the next highest amounts, with around 103,000, 97,000, and 92,000 properties respectively.
Something interesting to note is that these countries cover North America, Latin America, Europe, and Oceania.
In the chart below, the same twenty countries are ranked by which had the highest percentage growth in supply since 2021. Encouragingly, Poland enjoyed a supply count of approximately 23,000, having grown the most by 111%. Moreover, all examined destinations grew between November 2021 and 2022. Further, the vast majority of countries, 15 out of the total 20 to be exact, grew by 10%-30%.
Highest and lowest-ranked destinations by revenue growth
The ranked destinations whose STRs showed the highest revenue growth was Rwanda, with 112%. In addition, Belize & Thailand followed with 93% growth, as illustrated below in the chart. As you'll notice, the list trends toward two market types. The first is islands or archipelagos like Fiji, Cuba, St Lucia, Indonesia, and Mauritius. Following, the secondary dominating market type is coastal–Belize, Thailand, Uruguay, and Argentina.
Uzbekistan, Ethiopia, and Iceland on the other hand have the lowest numbers, at -42%, -32%, and -29%.
Countries with highest ranked median rates
Finally, in our review of the highest and lowest-ranked destinations, let's look closer at revenue. Median revenue is a great tool for understanding the central tendency of revenue in different countries. In other words, it shows a good representation of typical revenue flows not flawed by exceptionally high or low values.
Notably, Australia ($26,700), the United Kingdom ($23,900), and the United States ($23,700) show off the highest median revenues. While the majority of this list of 20 countries fall into median revenues between $10,000 and $15,000.
Additionally, taking those same twenty countries, we’ve applied ranking to percentage growth or decline over 2022 of median revenue.
Argentina enjoys the highest median revenue growth, at 54%. Most countries saw between 0% and 20% growth, with 13 out of the 20 countries landing in this space. Morocco, Germany, and France all fall below 0%, at -18%, -2%, and -2% respectively.