Smart Pricing

Tia14307
Level 2
Los Angeles, CA

Smart Pricing

Hi community, 

Has anyone used the 'smart pricing' option offered by Airbnb? If so what do you think? I'm trying to tweak my prices to boost reservations.

4 Replies 4

Hi @Tia14307 . Don't let your skin be sold cheaply. This place deserves to be expensive, great location and good interior. I would set a minimum price for two people in the off-season, introduce an additional fee (small) for additional guests above two. I would launch professional hosting tools, introduce sets of rules from -25% to +50% and control prices in this way. I would give bigger discounts for 7-day, 14-day, 21-day and monthly stays. Good luck.

Alex
Community Manager
Community Manager

Hi @Tia14307!

 

Hope everything is going well. Thank you for leaving your question in the community. Did you check Marcin's answer? It might clear your mind. 🙂

 

I'm also tagging some members into the conversation to see what do they think about you question: @Jason2680@Wade32 and @Linda-and-Peter0. 😄

 

Thank you everyone beforehand and hope this help Tia!

Alex

Jason2680
Level 3
Franklin, TN

I’ve always used a combination of two things to manage pricing:

1) Check competitors regularly

2) Pricelabs

@Tia14307 

Some Hosts do use Smart Pricing, but I usually never recommend Host clients use it. Keep in mind it is an Airbnb product and hence we find it usually underprices the listing and it doesn't work well for properties that get booked 6months or more in advance. 

 

Professional Photos

Your photos do not do your listing justice. Simply hiring a professional photographer to really show off your property for a few hundred dollars, will pay for itself in one or two bookings. You can also normally deduct the cost as a business expense. It is by far the best bang for your buck for the return on investment. Airbnb says listings with professional photos generate 20% more bookings (at a minimum). Many guests will make a booking decision on photos alone. Several of your competitors don't have your view, but have professional photos. Take a look at their listings photos and you'll see what I mean.

 

Your Pricing

I do think your prices are a bit too high for off season. Other comparable listings are much lower and some offer more amenities (hot tub, sauna). The key to your listing is that view! and your photos aren't really highlighting how fantastic your property is. Other listings can't really offer what yours does, but your photos aren't telling prospective guests that. There are plenty of ways to lower prices, get visibility for future bookings and encourage longer stays using Professional Tools/Rule Sets and custom promotions available on Airbnb. That said, professional photos would seal the deal for sure.

 

PriceLabs

I would also recommend PriceLabs as a better alternative to Smart Pricing and most Hosts who use it love it. It does however, require some work up front to get the pricing correct and then tweaks after a few months. Most Hosts who use it love it and it would give you the flexibility to do way more than you'll probably ever need; it's very comprehensive.