The short-term rental industry is not short on solutions. It is short on alignment.
Over the last decade, growth accelerated across markets, geographies, and business models. With that growth came an explosion of software.
Operators now manage complex tech stacks made up of dozens of point solutions. Each promises efficiency. Few deliver simplicity.
Fragmentation has become so common that many treat it as inevitable.
Investors see something else.
Across travel, hospitality, and enterprise software, fragmentation is often a transitional phase. One that precedes consolidation, category leadership, and long-term value creation.
The noise in STR is not a warning sign. It is a signal.
STR Global Unlocked Podcast | Episode 11
EPISODE 11 WITH WOODY MARSHALL, GENERAL PARTNER AT TCV
Few industries have grown as quickly as short-term rentals.
In a short period, the space moved from classifieds and printed brochures to a global, multi-billion-dollar marketplace.
One area seems to have failed to keep pace: The industry tech stack.
Rapid growth widened the gap between operational needs and available technology.
Operators adopted more software, not stronger systems.
Fragmentation became so common many now accept it as part of the industry. Uneven product quality persists. True category leaders remain rare. Woody Marshall refers to this as noise. Contrary to popular belief, he sees opportunity inside that noise.
Woody serves as General Partner at Technology Crossover Ventures (TCV). His investment history includes Expedia, HomeAway, Airbnb, Netflix, and Spotify. He has watched entire categories form, consolidate, and shift as technology and consumer expectations change.
Simon Lehmann, CEO of AJL Atelier, sat down with Woody for a direct conversation on why large-scale investment has not flooded the STR space. A fragmented tech stack slows investor confidence.
Many investors still want to help shape the solution.
The question becomes what drives that shift. Woody believes AI will change the rules of the industry. Operators who adopt AI early lead the next phase of growth.
In this conversation, they discussed:
Why today’s STR fragmentation mirrors the early days of hotel tech, and why consolidation follows this pattern.
How HomeAway and Airbnb each became category leaders through different strategies.
What Vacasa’s rise and decline signal about investor confidence in the STR space.
Why AI is becoming essential for STR, reshaping distribution, personalization, and guest acquisition.
PMS and operations platforms must unite and provide a consolidating tool, instead of what currently exists: point solutions. .
Watch our episode here.
“As long as three quarters of the revenue is not coming from Europe, we’re not an international business.”
Key STR Trends
INDUSTRY CHECK-IN
Is the 90-night cap the magic number? Many European countries are betting on it as they tighten rules around short-term rentals.
The list keeps growing. The United Kingdom and Italy rank among the most recent to join the push for stricter regulation. Governments respond to rising housing shortages and costs, the impact of tourism on local communities, and broader social unrest tied to the sector.
Source: Traveler and Tour World
For several countries, the solution is a 90-night cap. This applies to the United Kingdom, especially London, parts of Berlin, and Vienna. Other Berlin districts follow a stricter 60-night limit.
Other cities go even further. This article explains how major tourism hubs are reacting and offers a different perspective. These decisions might reduce access to reasonably priced accommodations for travelers.
Founding Partners of STR Global Unlocked
As STR Global Unlocked continues to take shape, three partners join the show as Founding Member Sponsors.
They are here because they are actively shaping how this industry operates, prices, and scales.
Eviivo joins as our Founding BMS Partner.
A well-respected platform supporting more than 28,000 operators across short-term rentals, hotels, B&Bs, and alternative accommodation. By bringing bookings, payments, deep OTA connectivity, guest communication, and automation into one unified system, eviivo reflects the kind of integration this industry is moving toward.
PriceLabs joins as our Founding RMS Partner.
Trusted by property managers operating at scale, PriceLabs focuses on automation powered by transparent data and deep market intelligence. Their approach mirrors a theme discussed in this episode: pricing decisions improve when systems replace guesswork and teams gain full visibility and control.
Breezeway joins as our Founding Operations Partner.
Built around the work that happens behind the scenes, Breezeway coordinates the operational service touchpoints that define guest experience. Their focus on execution and standards aligns with a core insight from this conversation: growth only works when operations can keep up.
These partners are part of the foundation of the show this season. Not as advertisers. As contributors to the conversation.
Weekly News
WORTH A READ
Want to stay on top of the industry? Each issue brings key insights, major headlines, and the latest tech shaping travel and short-term rentals.
TravelAI makes massive acquisition
Vancouver-based TravelAI acquired OwnerDirect’s parent company, expanding its North American footprint.
Airbnb backs regulation
Airbnb supports stricter short-term rental rules in New South Wales tied to housing affordability.
Maui’s rental ban could backfire
The Realtors Association of Maui warns a proposed phase-out may push housing costs higher.
CLOSING THOUGHTS
Fragmentation defines the current state of the STR industry. It does not have to define its future.
Growth alone is no longer the differentiator. Leadership now depends on consolidation, execution, and reducing complexity rather than adding to it.
The next category leaders will not win by offering more tools. They will win by helping operators do less, with greater confidence and control.
The industry does not lack innovation. It lacks integration.
And for those willing to address that gap, the opportunity remains wide open.
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