Adjusting your price and settings to meet local demand
Responding to changes in demand can be key to success as a Host. It’s important to understand how seasonal shifts, special events, and other factors shape local travel trends so you can make the most of them.
Is your listing in a ski town or beach community where tourism fluctuates throughout the year? Do big conferences or festivals happen in the area? Making your space available on popular dates and adjusting your price during the low season can increase your earnings.
To help you spot opportunities and attract more guests, we put together these top tips and tools, along with a few savvy suggestions from Hosts.
Get to know your marketplace
A little research can go a long way towards meeting local demand. You can start by searching Airbnb for local listings similar to yours to better understand your marketplace.
Paying close attention to how and when other Hosts adjust their prices can help you learn what works in your area. Some key factors to consider include:
1. Daily trends
Demand can change with the day of the week, particularly for shorter stays. Fridays and Saturdays tend to be popular with guests visiting for leisure, while Sundays to Thursdays may appeal to guests travelling for business.
Location can affect demand, particularly in places that draw crowds at certain times of year. If you plan ahead, hosting in peak season can help you earn more.
3. Special events
Conferences, festivals, and other big events can create major demand. To keep tabs on local happenings, connect with your tourist information centre, join social media groups, and register with a few event ticketing sites. Local news outlets and universities can also be a great resource.
Customise your price settings
Once you have a good sense of local trends, you can set custom pricing for weekdays, weekends, and holidays – or adjust your rate when a big conference or event is coming to your area.
Stand out by offering discounts
During periods of low demand, many spaces in your area may go unbooked. Try attracting guests to your listing by adopting a promotion or dropping your price.
- Early-bird discounts. Opening up your calendar and adding a discount for booking in advance can entice guests who plan ahead.
- Weekly and monthly discounts. Encouraging longer stays by offering them at a lower price can eliminate time gaps between shorter bookings.
- Last-minute discounts. Reducing your price as the check-in date gets closer can boost bookings and reduce cancellations.
Turn on Smart Pricing
Searching for an easier way to make adjustments? Turn on Smart Pricing. The tool automatically updates your nightly rate based on the settings you chose and other factors that influence price, from seasonal demand to the number of positive reviews your listing has earned.
If you use Smart Pricing, keep in mind that you are in charge of your price and can set a minimum price that your nightly rate will never fall below. You can set a maximum price too.
Try these savvy Host suggestions
Knowing what to charge when can be a bit of an art. Here are some favourite tactics Hosts have tried:
- Planning ahead. “We usually get bookings for New Year’s Eve as early as August, so be careful and set your holiday prices early.” – Branka and Silvia of Zagreb, Croatia
- Using minimum-night requirements. “I price the holidays with a 4-night minimum, with New Year’s Eve being the highest rate.” – Letti of Atascosa, Texas
- Making Smart Pricing work for you. “You can always set custom prices yourself for specific dates or periods to overrule Smart Pricing.” – Emiel of Leeuwarden, Netherlands
- Finding value in the slow periods. “I suggest lowering the prices for low seasons to even them out a bit. Or use the time for improvements or maintenance as it will no doubt get busy again and there will be no time.” – Sandra of Daylesford, Australia
- Expecting some trial and error. “Your best guide is whether you’re getting bookings and good reviews.” – Jeff and Jess of Durham, North Carolina
With these tips and tools, and a little practice, you can make the most of your pricing every day of the year.
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