New Upfront Pricing is BAD

[Sean119]

This is a bad idea.   There is actually LESS information for the guest to see charges and how they relate. AirBnb will see less bookings as a result.  In a recent survey AirBnb asked "what would it take to solely list with AirBnb"...this is perfect reason why we currently DON'T.  Our listing will get more bookings @ $299/night versus the new "upfront" price listed @ $398.  

[Jan248]

Airbnb keeps telling us that they are collaborating with hosts and yet things are changing with no warning.  

I guess hosts are suppose to take solace that every host is experiencing the same rules related to pricing....

 It just makes Airbnb less competitive with other platforms and hotels...

Luckily we get many direct bookings and repeat guests.... 

How does one get Airbnb to listen??  So far no one from Airbnb has explained the change in the pricing and so far NO ONE has felt it is a good thing.  

[Sean119]

I'm glad my season is wrapping up for 2021...if it was just beginning, and AirBnb was my only hosting platform, I'd be beside myself.  Hopefully they figure it out sooner rather than later.  Until then, don't put all your eggs in one basket.

[Helen427]

@Sean119 @Tierra-And-Yasmin0 @Christie-and-Clint0 @Jan248 @Brian2036 
Here in New Zealand we have the Commerce Commission who I understand are responsible for ensuring fair upfront trading.

The wider community had complaints about the lack of transparency of prices shown with advertising and may be this is in part why our prices now show, when they show, the total price.

Having a scan on others listings, one must now click on dates to source prices in general.

I've not checked it for prices btwn say $100-150 per night or similar if that makes it any easier to choose a property within one's budget.

[Jan248]

Helen,

My thought is that pricing use to show the entire breakdown... each item was separately listed: price for the unit, extra guest fee, cleaning fee, and Airbnb Fee; then taxes if applicable.  Now they have one UPFRONT fee that doesn't include tax... Before the full price was always shown to the guest.  I don't see your argument that the new pricing method  is "fair upfront trading". It is actually hiding information that before was disclosed.  

[Sarah977]

@Jan248  Guests still see the breakdown when they enter dates, number of guests, etc.

[Jan248]

Sarah:

Airbnb SuperHost Support told me:  " Once the reservation has been booked or once the dates have been submitted they will see the price breakdown."  

I just tested it with a booking for a upcoming trip we want to take and the breakdown was not shown to me... 

[Sarah977]

@Jan248  I see. Interesting.

[Laura2592]

@Sean119 this is an AWFUL idea, I agree. 

Did you also notice you can't see any prices until you punch in dates? That makes it really hard for me to see what others in my market are charging. Maybe that is the idea...ABB is always recommending much lower prices. 

[Sean119]

ABB is like a real estate broker in that sense...they'd rather have a % of something than nothing, so they always suggest us to rent for half what we list, and book, for lol.

[Stephanie]

Hiya @Sean119,

Thanks for flagging this here on the Community Center.  I have a bit of information I can share on this, which you can read more details of in this Resource Center article: Why your nightly rate may look different

The highlights of which are:

• We’re testing new ways to show prices in Airbnb search results

• The goal is to identify whether other formats can boost bookings
• The trial does not affect guest payment amounts or Host payouts in any way

It's great to gather all of the Hosts feedback on this topic so I do encourage you all to continue to share your thoughts on this!

Thanks,

Stephanie

[Jerry250]

I've read the briefing note sent to hosts. I'd already noticed the price experiment in the UK (although I assumed it was a permanent change). Ideally we would have been informed earlier.

UK consumer travel pricing already required the final nightly price to be shown including all charges and tax from the outset, but the breakdown between what the host's price was and the Airbnb service fees was also clear from the outset.

Now in the UK you have to click 'reserve' before you see the breakdown of host charge and airbnb service fee. 

What also seems to be also much less clear - as displayed today in the UK (I realise this is a dynamic experiment) - is the host cancellation policy. That may help some hosts but it isn't any help to consumers who may find that information with fewer clicks elsewhere. I would have thought cancellation policy should be right up front.

[Yvette263]

can i opt out of the trial ? i dont understand why airbnb think this is a good idea? 

can you answer what the criteria is that has been set to determine whether bookings are boosted please? what is the sample figure being used in comparison and from where is it derived? that way we can check ourselves if THIS change has been effective ?

[Jan248]

@Yvette263 @Jerry250 @Stephanie @Sean119

Airbnb is not answering any questions.... they say they are testing but as Yvette mentioned how are they doing that and quantifying the results and a test like that would have to run for a long time to verify the results...  I am booking my high season right now and am worried I will loose bookings when my $125 a night casita shows up at $166 per night.  I have written SuperHost Support and was told:    Once the reservation has been booked or once the dates have been submitted they will see the price breakdown.

Stephanie, UPFRONT PRICING may not affect what we as hosts are being paid at the end of the day but it makes our properties look less competitive with other platforms and hotels that advertise the base rate before fees and taxes.  

Please if you are unhappy with UPFRONT PRICING and feel it is not an advantage to guests or hosts (and only to Airbnb) please write: to https://www.airbnb.com/help/feedback

[Sean119]

Like I said earlier, glad my season is over because this definitely did not boost my final weeks bookings...at least through ABB.  

[Janeliz0]

Here in South Florida, the pricing and competition this time of year is key. Someone said it earlier in the thread, a person is more often going to land on the lowest price, regardless of fees. By incorporating the fee schedule into the display price, you're deterring guests from the platform altogether unless your pricing is marginally lower. 

Are other platforms doings this to?