Airbnb up nearly 1,000 bookings for Ironman World Championship

KAILUA-KONA — Be it a high-end beach resort, a cozy inn or a living room couch, visitors to the Big Island have a wide variety of options when it comes to where they rest their head at night.

That was especially true earlier this month, when athletes, spectators and vendors flocked to Kona from around the world for the 2016 Ironman World Championship.

And, according to data recently released by Airbnb, the popular online homestay website that allows users to rent out a room or entire house, more people are taking advantage of the opportunity to live like a local, while helping local families make some extra money.

Cynthia Wang, public policy director for Airbnb, said the company saw a 90 percent increase in arrivals in West Hawaii for the weekend of Oct. 7 – 9, when Ironman took place. Airbnb defined “West Hawaii” as the area running from Waimea to South Point.

This year, she said, the company recorded 1,900 arrivals, compared to 1,000 last year.

For Kailua-Kona alone, she added, the company saw an increase of 78 percent, up to 500 arrivals from just 270 for Ironman 2015.

Those numbers translate to big money for the area’s economy.

“With an average daily spending estimate of $274 per Airbnb guest, these guests and hosts are generating substantial economic benefits for the island’s local businesses and community members,” Wang said.

That estimate includes lodging as well as food, entertainment and transportation purchases.

In total, the company reported, they estimated over $1.2 million in economic activity for the island based on daily spending estimates.

The income Airbnb brings in also benefits local families, who keep 97 cents of every dollar charged to an Airbnb guest.

Those include families like April Nelson’s who’s been hosting guests at her Honalo home for the past year and a half.

Nelson said she wanted to rent out a portion of the house to help cover the mortgage but was initially torn on whether to go with a long-term rental or try Airbnb.

She eventually settled on Airbnb, which allows users to rent out anywhere from a shared room to an entire place to short-term visitors, often on vacation.

She said Airbnb, even without the commitments guaranteed by a long-term rental, seemed to be the better opportunity, especially given the fact that they could simply black out availability for the rental if they had family visiting.

So far, it’s been a big success, she said.

“For the most part, it was full 95 percent of the time,” she said.

That’s been a big help for her finances, bringing in up to $2,000 a month, which pays for the mortgage on the house. She said a long-term rental might only bring in half that amount.

Nelson said Ironman is a great opportunity not only for hosts, but also for guests looking to get something different out of their stay.

“Guests are always looking for an insider perspective,” she said.

Furthermore, she said, Airbnb offers an affordable alternative to hotel stays.

“I think some of these people, they may have decided not to fly over,” she said.

“I think it’s a different person that wants to stay at a resort,” she said later, noting that options like Airbnb are a “more affordable option.”

Nelson says she keeps an eye on what other Airbnb hosts in her area are charging, in order to keep her prices competitive.

“If it were to get too high, I’m sure people would stop booking,” she said.

High-profile events, she said, allow her to charge 10 to 20 percent above her normal price.

And guests’ contributions to the economy extends beyond accommodations, as indicated by the data released by the company.

“They’re eating in restaurants, spending money on souvenirs,” said Nelson.

In that respect, renting out part of the home is a “win-win” for the host and guests.

For Ironman this year, she hosted four grad students from Argentina. They’re studying on Oahu.

“They flew in just for the weekend to watch Ironman,” she said.

Nelson said other common guests include travel nurses who come over from Hilo and regularly stay at her rental.

Altogether, she said, it’s an opportunity to make some friends and some money, particularly as a new mom currently on maternity leave.

“It works out nice,” she said.

Other families also seem to be catching on to the economic opportunity Ironman offers.

Wang said 31 percent of Kailua-Kona hosts who were booked during this year’s event were hosting for the first time ever.

But Airbnb hosts aren’t the only ones benefitting from visitors who are looking for a more homey experience during their stay on the Big Island. Vacation rental companies also experienced full houses, including C.J. Kimberly Realtors.

C.J. Kimberly has been in the rental business since 1972 and started C.J. Kimberly Realtors in 1980.

“I would say the vacation rental market has grown tremendously,” she said.

Kimberly said she has between 40 and 45 vacation rentals, all of which were booked for Ironman.

She didn’t have a firm number on how many people that translated to, saying each unit can accommodate several people.

Compared to very slow months like September, she said, Ironman weekend “compares very favorably.”

Furthermore, she said, her company is able to charge more because of the numbers coming in.

“They do pay high season rates because there’s a lot of demand at that time,” she said.

Those guests include not only athletes, but also athletes’ families and spectators who come from all over to see the championship 140.6-mile, swim, bike, run triathlon.

“It really is nice to see all the people that come to support them,” she said.

Kimberly wasn’t able to provide her typical rates, saying they aren’t standard across her properties and vary by location. Even though all of her rentals were full though, she said business has changed in the last couple years.

But rather than a drop in guests, she said, it seems those guests aren’t staying as long. She said she’s not sure why that’s the case. Whereas before guests would stay for as long as two weeks, now they might only stay seven to 10 days.

“I really don’t know why they’re not staying as long,” she said, adding that it’s something she just noticed this year.

However, she noted, several guests this year did come in to extend their stay.

Similar to Nelson, Kimberly said cost is a major factor for why many choose a vacation rental over a hotel.

“A lot of them have to be on a budget,” she said.

Rentals such as hers also include cooking and laundry facilities, as opposed to hotels, where guests often have to eat out every day.

“These businesses do benefit grocery stores and restaurants,” she said. “It seems to me a lot of people benefit.”