Discounts

[Doddy1]

Could anyone tell me if it is better to have discounted rates or have a rate below the average rate in your area? I am new to Airbnb

[Guy991]

Hello @Doddy1 ,

I’m not sure I fully understand the question, but let me ask you one. Imagine you’re buying a new TV. One TV is originally priced at 800 USD but is on promotion for 500 USD. Another TV, with no promotion, is also priced at 500 USD. Which one would you choose? This is a marketing question. Also, make sure not to use smart pricing because, at least for me, discounts don’t work when it’s enabled.

[Jim-and-Caroline0]

Hello @Doddy1,

Congratulations on your listing and we wish you the best of luck. We suggest you try one for a certain amount of time. See what the responses is and if you’re not happy with it revert to the other. 

Every Market is different , depends on time of year, what’s on in your market & the competition, etc👌🏼

You will get to know the type of market that your property attracts by the different requests you get , you will get to know if their price sensitive and / or what your business unique selling point is by the review process.

As you are doing here now👌🏼

Grow your knowledge by engaging with the Airbnb community & also by hosting successful bookings you gain the confidence to build your business on your terms & strengths.

Be patient , learn the business, let guest experience & your experience with Guest be part of your learning curve. Enjoy it & be service oriented & genuine with your guests.. We believe this will ultimately lead to a positive & successful experience for you and the guest.

respectfully / Jim &  Caroline 

[Cheri354 · Accepted solution]

@Doddy1 

Hi & Welcome !

There are lots of factors to determine pricing:

location, views, beach, mountains, entertainment..

convenience to nearby places/events/shopping

lovely, clean home with newer appliances and fresh paint

amenities like washer & dryer, pool, outdoor grill, off-street parking

pet-friendly rental space

no-stairs for easy access

quaint town with things to explore (shopping, eating, hiking, biking)

It's fine when you're new to set a price for a while and then adjust/change it. Some regularly change with seasons due to nearby attractions or weather conditions 🙂

I would suggest researching similar airbnb rentals in your locality. Make a list of what they offer and how much they charge. How many beds, do they have A/C, is the location in a good part of town ?

See how your rental compares in several categories. You can even have a friend help you; get their honest opinion of your space and what you have to offer. Then you will be able to see some comparable places and their prices.

It's tempting to start out real low, lower than others nearby, just to get that first flush of bookings~ But don't sell yourself short. Be reasonable in your price but know that often keeping a slightly higher price will draw a better renter. It's been our experience that the higher price adds respectability and renters have left our place in good shape. We live on the property and do our own cleaning and only charge a $50 cleaning fee as it's not terribly inconvenient. It's a real turn-off to see inflated cleaning fees that are higher than the price per night but some people do that.

Start out a little lower than comps in the area just to get noticed but then raise it a bit once you've hosted a few times 🙂

Anyway, that's my two-cents. Best wishes~

[Bhumika]

Hi @Doddy1 ,  Welcome to the Community Center 🌻 

Experienced hosts @Cheri354 @Jim-and-Caroline0 @Guy991 have shared pretty detailed advice for your questions😍 

Do you have any follow up questions or doubts that you wanted to clarify with them?

How are you progressing with managing the rates for your listing?