Smart Pricing and changing the price

[Kendra19]

Hello everyone, I stated hosting in October 2017 and at that time I chose to use Smart Pricing because I knew it was late in the year for vacations and figured it was better to make a small amount on the listing (full house with everything supplied, in the country) than none at all. I have found now looking that the Smart Pricing has the same $100 a night up until August of this year. In my area May - September are the busy months and I  I understand that it fluxuates with demand and all that but my problem is people booking now for June - August will be getting a very good deal.  When I go in to change the price the pop ups make it seem like it is a very bad thing to do.  Could someone please direct me in this? Thank you all, Kendra

[Matthew285 · Accepted solution]

@Kendra19 what do the pop ups say?

If the pop ups are saying that raising your price will make it harder to get bookings, then I suppose that is true. But the purpose of hosting is not to get lots of bookings; the purpose is to make lots of money.

In an extreme example: if you set your price to $10/night, you would probably fill your calendar in a matter of days -- lots and lots of bookings. But in a month you would only earn about $300.

If instead you got a single 4 night stay at $125/night, you would earn $500.

You know your market and you know what your listing is worth. All hosts are making educated guesses about how to price. There's nothing wrong with trying out what you think is right for a few weeks to see how it goes.

(Of course, it makes sense to look at what similar AirBnB listings in your area are doing for summer pricing.)

[Kendra19]

Thank you for your response and time.  Yes, that is basically what the pop ups say.  Like I said if people are booking the house (that sleeps 7) now for the prime vacation time, then I will be losing money.  I agree with your thought that more bookings are not the best thing for prime season.  Thanks again, Kendra

[Branka-and-Silvia0]

@Kendra19 I would never use smart pricing. I adjust my prices myself according to big events, season and prices of my competition in the area.

@Matthew285 is right 100%

[Kendra19]

Thank you for taking your time to respond to me. I feel I need to adjust the pricing now and not wait till closer time of vacations, if people book now at $100 per night (sleeps 7 by the way) then I am lossing money in the future.  Thanks again. Kendra

[Jeanette14]

I also manage my multiple listings by doing last-minute price changes and adjustments to length of stay... I REALLY liked the Smart Pricing Tips that you used to be able to see for a range of dates on the Multi-Calendar and it's no longer there.  I loved being able to select a range of dates and seeing what price was suggested... now I can ONLY DO THIS for a single listing in the APP...   it no longer shows me price tips on the regular Browser full desktop version.  I am running a Mac with Sierra 10.13.5 and using Firefox as my browser.  It's great I can do this multi-date smart pricing change for a range of dates on the App - but sometimes I really do prefer to work on my Desktop when I am doing daily price adjustments to 13 listings... 

[Joanna309]

Hello well smart pricing has not worked for me.  Not knowing how this works fully i just believed that the smart price would give what is good for the guest and the host. 

My smart price started lowest at 58 pounds per night and the highest 160 pound per night. 

Today i have just received a booking for 35 nights what would have been from the set calendar price originaly at  £85 a night for 30 nights and £160 for 5 nights bringing a total of ££3430 pounds. 

But the booking i have received for the peak weeks has been set at £58 per night for 35 nights at a total of £2030 - this is a loss of £1,400 (pounds) - airbnb have taken the lowest of the smart price and applied it right through the month of June and one week in July. 

I just cant afford to give the house for £398 for 6 guests in peak weeks.  I need to cancel this booking but i can only choose i am uncofortable with this booking - but that means that the guest is not the right guest, when in fact i mean i am not confortable with the price that airbnb have set. 

how do i cancel without penalty. 

[Kimberly268]

I am a very new Airbnb host and am trying to learn the best way to manage my vacation rental, and I have had the exact same thing happen today. 

I turned on Smart pricing because I believe it raises your ranking and I was hoping to get some last minute bookings for this weekend.  (February is the slowest time of year in Galveston, TX)  I got two bookings in less than two hours but they were closer to peak times and way under market.   I turned it off immediately!! 

Now the calandar is giving me suggestions based on my average weekend pricing that is not even mathmatically correct.

The three short weeks that I have had an active listing I have secured five seperate bookings and the average nightly rate is $124.75.   

This makes no sense, and it is just WRONG.