Vacation Rentals - Albania

Albania

Highlights

Albania is expected to witness a rise in revenue in the Vacation Rentals market, with a projected revenue of US$14.58m in 2024.
This revenue is expected to grow annually at a rate of 4.65%, resulting in a projected market volume of US$18.30m by 2029.
Additionally, the number of users in this market is predicted to reach 503.40k users by 2029, with a user penetration of 15.3% in 2024 and a projected increase to 18.0% by 2029.
The average revenue per user (ARPU) is expected to be US$33.67.
By 2029, 84% of the total revenue generated in this market will be through online sales.
It should be noted that in a global comparison, United States is set to generate the highest revenue in this market, with a projected revenue of US$20bn in 2024.
Albania's Vacation Rentals market is rapidly growing as tourists seek out its stunning beaches and historic cities.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Vacation Rentals market in Albania has been experiencing significant growth in recent years, attracting both domestic and international travelers seeking unique accommodation options.

Customer preferences: Travelers in Albania are increasingly seeking authentic and personalized experiences, leading to a growing demand for vacation rentals over traditional hotels. Tourists are drawn to the flexibility, privacy, and local charm that vacation rentals offer, allowing them to immerse themselves in the culture and lifestyle of the destination.

Trends in the market: One notable trend in the Albanian vacation rental market is the rise of online booking platforms and digital marketing strategies. This trend has made it easier for property owners to reach a wider audience and for travelers to discover and book vacation rentals with convenience. Additionally, the increasing popularity of eco-friendly and sustainable travel practices has influenced the market, with more travelers opting for environmentally conscious accommodation options.

Local special circumstances: Albania's unique geographical features, including its stunning coastline along the Adriatic and Ionian Seas, as well as its rich history and cultural heritage, make it an attractive destination for vacation rentals. The country's diverse landscapes, from pristine beaches to picturesque mountain villages, offer a wide range of options for travelers seeking memorable experiences. Additionally, the warm hospitality of the Albanian people and the affordability of vacation rentals compared to traditional hotels contribute to the market's appeal.

Underlying macroeconomic factors: The growth of the vacation rentals market in Albania is also influenced by macroeconomic factors such as increasing disposable incomes, improved infrastructure and transportation networks, and government initiatives to promote tourism. As the country continues to invest in its tourism sector and enhance its overall attractiveness as a travel destination, the vacation rentals market is expected to further expand and evolve to meet the changing needs and preferences of travelers.

Data coverage:

The data encompasses B2C enterprises. Figures are based on bookings, revenues, and sales channels of vacation rentals.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on a specific rationale for each market. As a basis for evaluating markets, we use financial reports, the Global Consumer Survey, third-party studies and reports, data from industry associations (e.g., UNWTO), and price data of major players in respective markets. To estimate the number of users and bookings, we furthermore use data from the Statista Consumer Insigths Global survey. In addition, we use relevant key market indicators and data from country-specific associations, such as country-related GDP, demographic data (e.g., population), tourism spending, consumer spending, internet penetration, and device penetration. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, ARIMA, which allows time series forecasts, accounting for stationarity of data and enabling short-term estimates. Additionally, simple linear regression, Holt-Winters forecast, and exponential trend smoothing methods are applied. A k-means cluster analysis allows for the estimation of similar countries. The main drivers are tourism GDP per capita and respective price indices.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change.