Discounts for other Hosts

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Brian3665
Level 2
Tampa, FL

Discounts for other Hosts

Hello community-

we are new hosts to Airbnb and since May have had about 12 bookings which is good for our area!

 

Recently had an uptick in folks asking for discounts and just last night a host in Maryland is coming to our city for a funeral and asked for a discount or exchange to use hers. 

First, I would never have occasion to use her Airbnb so that’s a no- but secondly, don’t other hosts understand that this is a business and for some a means for income that (not in my case) may be a primary source of income?

 

Secondly, I am hesitant to say “yes” and for myself- would NEVER ask for a discount. After reading other comments on discounts I feel the necessity to just say no and move on- would love your thoughts as well! Thank you in advance.

Top Answer

Hi @Brian3665 ,

 

Your instincts are spot on. I agree with your thoughts on this issue. No need to provide a discount for this example. Here's some thoughts:

 

- in general we are a 'no' to discount requests UNLESS I am in fact already considering lowering the price.  There are no price police to come and say what is high/low/discounted and I have a range that I feel really comfortable with and often tweak within this range anyway.

 

- we have also been asked to do some sort of property swap from other hosts. It's an odd request as all have been places that would not suit us at all and didn't represent even a close to equivalent swap. Weird to ask. 

 

- Uptick in asking for discounts - on our end we noticed a significant increase in this when AIRBNB changed how it represented pricing, with all fees, including the AIRBNB fee wrapped up into our nightly rate. It is extremely misleading and really looks like hosts have lost their minds. Previously each fee was a separate line items and it was easier for a guest to justify the pricing structure (nightly rate, cleaning fee, AIRBNB fee). Now it is marketed as an all encompassing host nightly rate.  (and before anyone tells me this structure is better, I am not suggesting that hiding fees is the answer, just suggesting that prior to this it was separate and guests could understand better).

 

- and finally there is a class of people who just always ask for a discount! We have a family member who is shameless about this. She is proud of her ability to cajole discounts where there was none. 

 

- and another twist on all of this. When someone asks for a discount and I really don't want them to book at full rate either, because I feel like my 'no' will be used against me, I just block the calendar and say, oh sorry those dates are no longer available. Thanks. We are listed broadly and the majority of our business is not on this platform so it doesn't affect our sales. Alternatively, I may also change the calendar settings to a longer minimum night stay to try and avoid. 

 

Hope that's some food for thought. Good luck!

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3 Replies 3
Joelle43
Top Contributor
Cannes, France

Hello @Brian3665 

 

I seem to have had more than usual the number of guests telling me what their budget is and could I reduce my price to fit their budget - all this in peak season!!  Yeah right - as if I would give them a 40% reduction 🤣  No can do is what I reply (nicely though) and suggest that they use the filters to search for listings more in their budget range.

I have read too many accounts of hosts lowering their prices to be accommodating but haven't necessarily been rewarded with a 5* review and those that want to negotiate the price are the hardest to please so my answer is no every time.  I might make an exception for a returning guest though but even they haven't asked for a discount when they've come back but as you say, it's all the more surprising that it's another host asking.  Some will tell you that hosting other hosts is also not always easy.

 

I think there must be a You Tube or an Instagram thread telling guests that it's OK to do this😂 but more seriously I think it has probably a lot to do with the current economic climate and the fact that there is so much competition that guests think, it might work.  It probably does as well but not with hosts who know their worth and who have good reviews.

All the best Brian,
Joëlle

@Joelle43 Thank you for your thoughtful response! I appreciate it!

Hi @Brian3665 ,

 

Your instincts are spot on. I agree with your thoughts on this issue. No need to provide a discount for this example. Here's some thoughts:

 

- in general we are a 'no' to discount requests UNLESS I am in fact already considering lowering the price.  There are no price police to come and say what is high/low/discounted and I have a range that I feel really comfortable with and often tweak within this range anyway.

 

- we have also been asked to do some sort of property swap from other hosts. It's an odd request as all have been places that would not suit us at all and didn't represent even a close to equivalent swap. Weird to ask. 

 

- Uptick in asking for discounts - on our end we noticed a significant increase in this when AIRBNB changed how it represented pricing, with all fees, including the AIRBNB fee wrapped up into our nightly rate. It is extremely misleading and really looks like hosts have lost their minds. Previously each fee was a separate line items and it was easier for a guest to justify the pricing structure (nightly rate, cleaning fee, AIRBNB fee). Now it is marketed as an all encompassing host nightly rate.  (and before anyone tells me this structure is better, I am not suggesting that hiding fees is the answer, just suggesting that prior to this it was separate and guests could understand better).

 

- and finally there is a class of people who just always ask for a discount! We have a family member who is shameless about this. She is proud of her ability to cajole discounts where there was none. 

 

- and another twist on all of this. When someone asks for a discount and I really don't want them to book at full rate either, because I feel like my 'no' will be used against me, I just block the calendar and say, oh sorry those dates are no longer available. Thanks. We are listed broadly and the majority of our business is not on this platform so it doesn't affect our sales. Alternatively, I may also change the calendar settings to a longer minimum night stay to try and avoid. 

 

Hope that's some food for thought. Good luck!

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