Price tips - how reliable / effective are they?

[Javier1092]

Hi! I always wonder how effective are the Airbnb price tips per night for your listings...

It really boost some bookings but my question is, is it working because it's way underpriced? 

Does anyone have more inputs about this?

Thanks

JAvi

[Huma0]

@Javier1092 

You will find lots and lots of conversations about this on the community pages. Just enter price tips into the search field and see what you can find.

My impression is that most hosts do not think the price tips are useful as they are usually way too low. I also ignore them. I know my listings are already great value as I have researched others in my area.

One of the problem with Airbnb's  price tips is that they are comparing your listing to others in your area that aren't similar at all. I don't want my large, expensively decorated, room compared to a basic box room with a flat pack bed. It doesn't make any sense.

[Javier1092]

Thanks @Huma0 ! Yes that’s what I used to do at the beginning, compare with other similar listings around... but I stopped doing that so thanks for reminding! 

I guess my point was, if price tips can at least be taken as a reference to set prices, like increase them systematically by, lets say, 15%, or if it’s completely randomized by Airbnb based on low conversions per dates.
Wanted to hear inputs from you guys.thank you ! 

[Mike-And-Jane0]

I think he price tips are useless and should be ignored. We have had recent bookings at £70/night when the price tips suggested £40. I guess you would get more custom at the price tips but will likely get no more revenue overall.

[Javier1092]

Wow that’s a 75% increased. Was it a one time thing or have you always had bookings with such a big increase % compared to price tips? Thanks for your reply @Mike-And-Jane0 

[J-Renato0]

@Javier1092 

My experience - For holidays (special dates), high season, I usually ignore the price suggestions.

During low season, once in while I check the price suggestions (the ones that appear on the calendar when you select a range of dates and click on "price suggestion").

[Javier1092]

Thanks @J-Renato0 . Yes I have kinda been doing that too so far. Or when dates get closer and I have no bookings...

[Yulianna0]

@Javier1092, as many others I’ll agree that price tips are not up to the task. I have seen ridiculously low suggestions for Christmas and now they are suggesting higher prices! 

[Javier1092]

Yeah ! They probably wanted to make huge conversions on Airbnb to take advantage over hotels etc... they suggested super low prices for me that I’m in New York... 

thanks for your comment @Yulianna0