How often do you raise your rates?

[Laura2592]

Just curious.

As I have mentioned in a few threads, we started out too low and so we raised our rates pretty aggressively this year. As we are still booking without people batting an eye on value I am thinking of raising them again in 2020. We keep our cleaning fee low and just spread the cost over the nightly fee as we have heard guests complain about paying a cleaning fee at all, but with all this COVID stuff it looks like that might be something to adjust as well. 

Do you raise your rates based on demand for your space or some other factor? Do you do this annually or more often? How about your cleaning fee?

[Anna9170]

The specifics of my apartment is that I am in a very resort location, where renting is the main source of income for most residents. This is a very popular place in Spain and Catalonia, and in summer any **bleep**, pardon, can be rented for 120 + euros per day. In low season, this price can be 30. So being queen and only raising prices is a great thing, but not for my town. Usually I put reasonable prices and fully booked, but now in the post-covid era, no one risks to make long plans.
Last year, by January, I was fully booked from May to the end of September, haha.
Now I prefer not to open my object much further, I will wait for the full opening of the borders and then I will decide on the prices. There is no point in raising them when the government has issued an inhuman decree and shut you down without the possibility of movement.
In the low season I have a philosophical attitude to lowering prices, I imagine that I pay for a cool PR promotion, because the prices that I offer at the highest level of service is just a 5-star estimate that will allow me to take high prices in the high season. Not even in high season, as long as the borders are open...

P.S. Returning to the direct question - I adjust prices every day, my morning begins with a cup of coffee and this work.
Depending on the free days and prices of competitors (we have a hell of a density, the whole city earns only this way), I can in some day to reduce, in some lift.
And at the same time, it is an important tool to ensure that the object was in the top of the search. When there are no editing changes, the object goes further to the search pages...

[Anna9170]

And about the price of cleaning, it is such a strange question for many, which requires a separate topic. I have a lot to say about it if someone wants to make a separate thread.

[Elisabeth40]

Hi dear all,

I am experiencing a huge problem. I cannot get any guests for even the actual rental price of my place. And I am fighting about it for over 2 month now. I mentioned if I lower pricing to $42 per day, this is where I get a booking right away, I cannot even get a guests for $45. I seriously tested it. Something seems to be off here. How is airbnb thinking about it. My question is, why would I keep up longer with doing airbnb if airbnb cannot even cover  a regular market price of the real estate? Does someone else here has the same problem as me? I think for this type of situations airbnb should at least provide and protect us, I mean it's probably nice for them if their platform is build on places where people like me pay guests to stay at my place but that's not right. I would rather move and find myself a cheaper place and stop doing airbnb if they cannot provide me with guests who cannot pay the actual rental price.  And it's not true what news say, the real estate market is still the same as before. And in my building the prices are still the same as before. I recently listened to the CEO of airbnb and he claims that airbnb recovered already in May from covid, In June I had $0 made here. I do not feel like airbnb has recovered and I am paying for airbnb's guests to stay at my place. It's time that someone speaks up and explains it.

[Dale-and-Dustie0]

Hi Elizabeth, 

I think that the market has endured a temp market change due to Covid.  People who are traveling to my area, seem to want space as they have been cooped up.  I would give it some time as we pass thru this. 

I am in Florida and our summer months have been quite active for what is considered to be our "Off Season"  because of them being cooped up.  We have has a LOT of local guests who are traveling by car.  I notice you are in NY which from my understanding  has been the slowest to re-open.   I think things will turn around for you IF you just hang in there.  I am beginning to see travelers booking who are arriving by air, but since our launch on July 4th, we have had mostly local Floridians who just want the larger space. 

Your places look lovely and very inviting, but when you are dealing with people who have been in lock down in small spaces, they are tending to rent bigger spaces so they can have small get togethers & get away from their smaller restricted living conditions.  

Hang in there as I  think this should turn abound for you!  

Dustie 

[Elisabeth40]

It has nothing to do with covid. people are traveling anyways. I do not understand why I need to pay for guests to stay at my place and why this platform is not capable of achieving the actual rental costs of the market. you basically saying I am giving people presents because it's covid, but I need help too. I seriously want someone to explain to me why I am suffering myself and need to give people low pricing and this platform doesn't understands that. Covid is not an excuse.

[Dale-and-Dustie0]

Sorry for the misunderstanding in my response.  I obviously did not understand your question/concern. 

Apologizes, if I offended you in any way

[Debra300]

@Laura2592,

We started off too low also, and first changed the rates to reflect the market.  Then we've made rate increases after each significant update in furnishings and amenities.  We are doing a significant renovation in the guest suites now, and will raise the rates accordingly.