Hi Rachel,
Congratulations on your successful start with Airbnb hosting! It sounds like you're doing a fantastic job, especially with securing consistent bookings and earning top-notch reviews.
Adding extra guest fees is indeed a common practice among hosts, and it serves multiple purposes. It allows you to price fairly based on usage since fewer guests generally mean less wear and tear, utilities used, and cleaning required. This strategy can make your listing more attractive to smaller groups or couples who otherwise might not consider a larger space due to cost.
By displaying a lower base rate, your listing may appear more competitive in initial searches, drawing more viewers. Most seasoned Airbnb travelers are familiar with the concept of additional fees for extra guests. However, it’s crucial that these fees are clearly disclosed in your listing description to avoid any surprises that could lead to dissatisfaction and potentially negative reviews.
Since local hosts are using a tiered pricing model, it might be beneficial for you to consider a similar structure. You can set a base rate for 1-2 guests and then add incremental fees for additional guests. This can help keep your initial rates competitive while also covering costs associated with larger groups.
Make sure the pricing breakdown is clearly communicated in your listing. Highlight the value provided for the extra cost, such as additional amenities, space, or services that come into play with more guests. Consider running promotions or adjusting your extra guest fees based on seasonality, demand, and feedback from your guests. Tracking the impact of these changes on your bookings and reviews can help refine your approach.
For guests who inquire before booking, consider using Airbnb’s "Special Offer" feature. This lets you adjust the price based on their specific needs and can be a great way to secure a booking directly. Keep gathering feedback from your guests regarding your pricing structure. Direct insights from them can guide you in making your listing as appealing as possible.
By considering these aspects, you can maintain a competitive edge while ensuring your pricing structure meets your business goals and guest expectations. Keep up the great work, and I hope your hosting continues to thrive!
All the best,
Upfish Management
