“Projections from different studies tell us that online sales of short-term rentals will grow by 40% over the next three years, and at Despegar we want to capture a large part of that market and be a leading provider in Latin America,” Iván Marenco told Forbes.
In addition to card payments, they accept transfers, cash payments and even offer financing; this is how Despegar began its entry into the short-term rental market, thus competing with the giant Airbnb business.
Forbes Mexico magazine interviewed Iván Marenco, Vice President of Vacation Rentals at Despegar, who referred to the new modality of the company that until recently was dedicated to offering flights and hotels.
“People are now very familiar with remote and hybrid work, and that made us at Despegar start to become interested in this segment of vacation rentals,” Marenco told Forbes Mexico.
Despegar's offerings focused on hotels and flights, as well as packages combining both services. However, according to the personalization tools, the company revealed a growing demand for longer stays and family trips, not just for couples.
The executive explained that Despegar previously did offer some vacation rentals, but these were mixed with the hotel room offerings.
How to differentiate themselves from Airbnb
“Projections from different studies tell us that online sales of temporary rentals will grow by 40% over the next three years, and at Despegar we want to capture a large part of that market and be a leading provider in Latin America,” said Iván Marenco.
When asked how they will differentiate themselves from the service Airbnb offers in Mexico, the Vice President of Vacation Rentals at Despegar explained that one of the added values that will distinguish them from competitors is that, in addition to card payments, they accept transfers, cash payments, and even offer financing.
“We also have customer service in the local language,” he adds.
In Mexico, the Airbnb platform is one of the main players in the rental accommodation market, with nearly 40,000 properties available in the country.
With just a few days highlighting its temporary rentals, Despegar already has 14,000 properties for vacation rental in Mexico.
About Take Off
Despegar is the leading travel company in Latin America. For 22 years, it has been revolutionizing the tourism industry through technology, and, with its continued commitment to the sector's development, it has become a consolidated group that includes Best Day, Viajes Falabella, and Koin, making it one of the most important companies in the region and capable of offering a personalized experience to more than 29 million customers, according to its official website.
“Despegar operates in 20 countries, accompanying Latin Americans from the moment they dream of traveling until they are sharing memories. With the purpose of creating experiences that enrich people's lives and transform the purchasing experience, it has developed alternative payment and financing methods, democratizing access to consumption and bringing Latin Americans closer to their next travel experience.”.
