Human Nature Is Now Kicking In

Shaun69
Level 10
Hurstpierpoint, United Kingdom

Human Nature Is Now Kicking In

Hi Fellow Hosts,

Over the last four days we are beginning to see multiple bookings for July and August as the UK public starts to believe they can go on a "staycation" for the summer holidays. Thats great but the downside is that we have a "moderate cancellation policy" which having talked to a number of potential guests will be clearly abused by those who are covering multiple options. Please could fellow hosts give your opinions regarding the cancellation policy and if it is now time to go for a "strict" policy for this summer. I know that this subject is awkward and BNB company policy would disagree but it is clear to me that I need to be very careful regarding bookings as we come out of the lockdown on 4th July hopefully!!!!!

BE SAFE AND BE HAPPY Shaun

14 Replies 14
Elena87
Level 10
СПБ, Russia

@Shaun69 

 

How about experimenting with the non-refundable option for this unusual season.?

 

https://www.airbnb.com/help/article/2600/whats-a-nonrefundable-option

Mike-And-Jane0
Top Contributor
England, United Kingdom

@Shaun69 Even with a moderate cancellation policy the guest will lose their Airbnb service fee if they cancel so you should be secure unless there is another lockdown in which case, under English law, you would have to fully refund the guest anyway.

I don't agree with @Elena87 as even with the non-refundable option it is refunded if the guest claims Extenuating Circumstances!

Lisa723
Level 10
Quilcene, WA

@Shaun69 what is "awkward" or contrary to Airbnb company policy about a strict cancellation policy? This is just a business decision: will a moderate or strict policy be better for your bottom line? Experience has taught us that strict is better for our vacation rentals and moderate is better for our at-home guest suite.

Ian-And-Anne-Marie0
Level 10
Kendal, United Kingdom

@Shaun69 

Go strict. Guests don't check cancellation policies, but if they do and they want to query what they might be able to get refunded because of any Covid cancellation, state clearly "...that you will happily reschedule their dates, but should none be mutually agreeable - provided there is a government travel restriction in place preventing them from travelling, you will refund all your cancellation fees to them once they are received from Airbnb". Remind the guest that; "Airbnb hold all the guests money until after check in and you are not in control of any of that", and; "They will most likely lose any Airbnb service fees in any cancellation they decide to make, because that is Airbnb policy".

 

Despite evidence that Airbnb are not adhering to their new booking contract policy - that bookings after 14th March will not be subject to Corvid EC cancellations...  you can only assume the stated policy is legal and binding and adhere to that. 

 

If you then get a Covid cancellation based on those criteria, you will be entitled to add that cancellation to your other arbitration cases and receive a full payout, because the Airbnb policy had not been correctly followed and administered.

@Shaun69 

I've always had a strict cancellation policy and never thought anything was "awkward" about it. It is one of several options provided by Airbnb, for hosts to choose as appropriate for one's own listing and situation.

 

Airbnb has always *promoted* flexible because Airbnb has nothing to loose.

Airbnb will keep the guest's service fee, even when HOSTS provide a full refund of the nightly fees from a cancelled booking. If the guest ends up needing to cancel due to covid and it meets the conditions to be an EC, then regardless of what cancellation policy YOU (host) chose, Airbnb will refund the guest. 

Shaun69
Level 10
Hurstpierpoint, United Kingdom

Thank you @Jessica-and-Henry0 @Ian-And-Anne-Marie0 @Lisa723 @Mike-And-Jane0 @Elena87  for taking the time and trouble to reply, all of your points have been noted and will be considered before we make a decision regarding our summer 2020 cancellation policy. However I must say that a "strict" policy is begining to look attractive for us!

Be happy and be safe Shaun

@Shaun69  Most guests don't pay enough attention to the cancellation policy when booking. The Strict policy gives you the most options - don't forget, if you feel that the situation merits a greater refund, you're still free to grant it on a case-by-case basis.

Shaun69
Level 10
Hurstpierpoint, United Kingdom

Point noted @Anonymous , however the main issue that is concerning us is that it looks like a number of UK guests are trying to book in UK to cover if a Foreign holiday option fails to materialise. They will accept the fact that BNB fees will be payable regardless but know that a "moderate cancellation policy" means that minimum notice is required to avoid paying the host. A number of potential guests have been quite honest with us and I must say that if I was in their shoes I would probably do the same thing!  The deeper I look into this issue and consider the comments of fellow hosts  it looks like we will be opting for a "strict" policy this summer.

Be happy and be safe Shaun

As ever @Anonymous has provided a balanced assessment of this situation. I think he is right and would agree that you should switch to a Strict policy. That is exactly what i have done, but i also have decided that any future lockdown will mean i will refund guests in full. Some guests have checked this with me before hand and i have agreed this. Sadly there are some guests who will take advantage of a soft cancellation policy and cancel at the last minute. I'm not yet confident that travellers are 100% about going away and i fear that some may book and then get cold feet closer to the time. A strict policy means that they need to be absolutely sure.

Yadira22
Level 10
London, United Kingdom

Hi @Shaun69 , 

For private room bookings we have a "flexible/moderate" cancellation policy but for whole spaces we use "strict" only, as one is easier to find a replacement booking for compared to the other. 

Given COVID-19 and the points you mentioned above, I would strongly recommend you use a "strict" policy as you still have to pay your mortgage, utility bills and so forth, and its not fair if someone holds your calendar blocked for months and then leaves you to find a replacement booking within days. However, as mentioned by @Anonymous you can always refund according to your personal choice, if you feel compelled to do so.

Hope this helps. Good luck!

Yadira 

Trevor243
Level 10
England, United Kingdom

@Shaun69We always use strict policies on every OTA. AirBnB strict is very poor for hosts, compared with other OTAs. Last year, with strict policies for all properties on all OTAs, we were full up through summer. This year is different of course, but we're not changing from strict.

Shaun69
Level 10
Hurstpierpoint, United Kingdom

@Trevor243 @Yadira22 Thank you for your comments, all points have been noted, for information we are being inspected by our local council next Wednesday to confirm  that we have complied with COVID secure protocol. We are a comercial buisiness so I have no issues with this inspection, but I must observe that if the rules were to apply to home lets then it must be a nightmare to comply!

Be safe and happy. Shaun

Trevor243
Level 10
England, United Kingdom

@Shaun69Please let us know how the inspection goes!

 

I took part in a semilar with Isle of Wight Council and Visit Isle of Wight. IWCC regulatory team (Environmental Health) etc were there too. They said they'll be coming out and checking on compliance but also trying to be supportive. They gave their interpretations of some of the (very vague) government guidance and what they would expect us to do - it was very much "err on the side of caution", but some parts were more relaxed than we expected. Overall it was clear that they want to help us comply. They're aware that risk assessments / processes / government guidance will change .....

 

Huma0
Level 10
London, United Kingdom

Strict, strict, strict. Definitely for me, anyway. I switched from moderate to strict a long time ago because I was fed up of flaky guests. Now, of course, guests may have a very valid reason to cancel, but if they do, they should do so under the EC policy.