Airbnb and private rentals hurt cheaper Dutch hotels

Some 40% of Dutch hotels report facing competition from private citizens who rent out their homes or rooms to tourists using Airbnb or similar services, according to a report by KPMG.

‘Hotels with three stars and those with rooms of up to €65 a night are experiencing most competition,’ researcher Jos Sweers told Nos television. ‘Occupancy rates and average room prices fell last year.’

The average price of luxury hotels also fell, although the occupancy rate rose slightly, KPMG said.

‘It is not only students,’ René Bornmaan, general manager of the five-star Dylan hotel on Amsterdam’s Keizersgracht, told Nos. ‘Our target group, the better-paying tourist, would also appear to have discovered Airbnb. Our bookings for July and August are down on last year.’

Rules

Amsterdam city council recently agreed new rules for private holiday rentals. Owners have to pay tourist tax and cannot rent out their home for more than 60 days a year.

There are some 11,000 homes and rooms in the Netherlands currently on Airbnb, up 77% on a year ago. By comparison, the Netherlands has 117,000 hotel rooms.

In a statement, Airbnb said there is no evidence that its hosts are creating unfair competition for hotels, Nos reports.

The average price of a hotel room in the Netherlands fell to €87 from €92, KPMG said. The occupancy rate rose to 65.2%. KPMG carried out its research on 250 hotels with more than 20 rooms.

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