Vacation Rentals - Madagascar

Madagascar

Highlights

Madagascar is expected to witness a rise in revenue for the Vacation Rentals market, with a projected revenue of US$47.92m in 2024.
The market is expected to grow annually at a rate of 7.16%, resulting in a projected market volume of US$67.70m by 2029.
The number of users in this market is also predicted to increase, with an estimated 2.13m users users by 2029.
The user penetration rate is expected to increase from 4.9% in 2024 to 6.1% by 2029, while the average revenue per user (ARPU) is expected to be US$31.50.
It is also predicted that 73% of total revenue in this market will be generated through online sales by 2029.
In comparison to other countries, United States is projected to generate the highest revenue in the Vacation Rentals market, with a revenue of US$20bn in 2024.
Madagascar's Vacation Rentals market is experiencing growth due to the country's unique wildlife and stunning natural scenery.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

Madagascar, known for its unique wildlife and stunning landscapes, has seen a growing trend in the Vacation Rentals market.

Customer preferences: Travelers in Madagascar are increasingly seeking authentic and immersive experiences, leading to a rise in demand for vacation rentals that offer a glimpse into the local culture and lifestyle. Tourists are drawn to accommodations that provide a more personalized and flexible stay compared to traditional hotels.

Trends in the market: One notable trend in the Vacation Rentals market in Madagascar is the increasing popularity of eco-friendly and sustainable properties. Travelers are showing a preference for accommodations that prioritize environmental conservation and support local communities. This trend aligns with global efforts towards responsible tourism and sustainable travel practices.

Local special circumstances: Madagascar's unique biodiversity and rich cultural heritage present opportunities for vacation rental owners to differentiate their properties. From treehouse lodges in lush rainforests to beachfront bungalows overlooking crystal-clear waters, the diversity of landscapes in Madagascar allows for a wide range of vacation rental options. This diversity caters to different traveler preferences, whether they seek adventure, relaxation, or cultural immersion.

Underlying macroeconomic factors: The growth of the Vacation Rentals market in Madagascar can also be attributed to the increasing connectivity and accessibility of the country. Improved infrastructure, such as upgraded roads and expanded air travel options, has made it easier for tourists to explore different regions of Madagascar. Additionally, government initiatives to promote tourism and foreign investment have contributed to the development of the vacation rental sector.

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.