Pricing may seem like a dark art to many, not going too low so it becomes a financial burden or not too high so it fends off potential bookings, finding the right balance is tricky, so we will share some of our top tips to ensure you have the perfect pricing!
1) The Neighbours:
Firstly, the most important aspect of pricing is to look at your local area and what other listings are priced at, this is a great way to see the ‘competition’ and what is likely to be achievable, of course property size, spec and amenities available will affect the pricing so be sure to check for similar properties to yours. Don’t forget to check out hosts with 5* reviews as this can be a benchmark to see what is needed to achieve great reviews, as properties with 5* reviews typically achieve higher nightly rates.
2) Local Events
What’s on in your neighbourhood? Local events, gigs, shows etc are all something that you should keep an eye on this when pricing your home. As your home could be in demand so make sure you price accordingly. Local social media accounts and local newspapers are an easy way to keep up with what’s going on and also helps when marketing your property, so if there is a local food festival this weekend, why not highlight your fabulous kitchen to attract those foodies to stay!
It’s always best to play the field and holiday lets are no different! Why advertise on just one platform when there are a number of reputable companies out there (Airbnb, Tripadvsior, Homeaway etc) a price might not be the right for one guest on one platform, but perfect for one on another. Not only will this help to broaden your market and reach, it can also help to attract the right guest at the right price.
4) Weekly Rates:
One way to help guests book is by incentivising their stay by offering discounted rates for greater stays. Weekly rates are a small change that can make it more appealing for guests to book with you and justifies the rate chosen.
The key factor with setting rates is being able to justify why your home is worth that much, whether you can offer something unique or a in a fabulous location. There are a number of different things to factor when setting your rates to maximise your income.