When you’re an Airbnb host, cancellations can be a huge headache. Not only do they mean that you’re losing out on potential income, but they can also be a major hassle to deal with.
In this blog post, we’re going to give you some tips for dealing with cancellations and minimising the damage they can cause to your business.
AirBnb Cancellation Policy
First and foremost, familiarise yourself with Airbnb’s cancellation policy. Airbnb has different cancelling policies for different types of bookings.
Generally speaking, there are four categories: Flexible, Moderate, Firm and Strict.
Knowing which kind of policy applies to your booking is the first step in minimising the impact of a cancellation on your business.
You can select any category four property depending on your comfort level, but as a host you should know that the Strict cancellation policy is more beneficial for you. This policy provides maximum protection and income stability for your business since it requires guests to pay the full accommodation costs even if they cancel their booking.
How to Deal With Airbnb Booking Cancellations?
If you’ve been hit with a cancellation, you don’t have to panic, there are some steps you can take to minimise the damage.
1. Communicate with Guests
Firstly, make sure you stay in communication with your guests. Ask them to provide an explanation for the cancellation and make sure that they understand the implications of their decision. Additionally, be willing to work out a deal with them if possible so that both parties are satisfied.
2. Understand Why Cancellations Happen
It’s important to understand the reasons why cancellations occur. That way, you can be better prepared for future bookings and avoid potential issues.
Common reasons for Airbnb cancellations include guest emergencies, double bookings, or cancellation requests due to a change in travel plans. Being aware of these reasons can help you manage cancellations more effectively.
3. Be Flexible with Cancellations
When a cancellation does happen, it’s important to remain flexible and understanding.
Check if the guest is eligible for a refund according to Airbnb’s policy. If they are, contact them and inform them that they may be able to get their money back, this could potentially save you from having to bear the full cost of the cancellation.
4. Enforce Your Cancellation Policies
Once you’re familiar with the Airbnb cancellation policy, make sure you enforce it. This will help ensure that your business is protected and potential disruption to your schedule or bookings is minimised.
5. Incentivize Early Cancellation Requests
If you want to avoid cancellations altogether, one way to do this is by incentivizing early cancellation requests. You can offer discounts or other incentives to guests who provide notice of their cancellation at least a few days in advance. This will reduce the chances of unpleasant surprises down the line and help you manage your business more effectively.
By following these tips, you can minimise the impact that cancellations can have on your Airbnb business. With some careful planning and an understanding of Airbnb.