We use it and love it. It has increased our booking price on average of 7% and we're booked 92% of the time. While I used to agonize over the price and if I would get a booking, now I let smart pricing do it for me. I do watch for the weekends I know Smart Pricing might not catch an event or special occassion in town (especially those dates further out than the 4 month max). Plus, they are willing to lower the weekend price earlier than I would - so December weekend prices are starting to go down already but I'm not ready to list lower just yet - so I override the prices when I think I can still get a premium even if Smart Pricing does not. I do this for holiday weekends too, when I don't "really" want a guest but I'm not blocking the date either - like Thanksgiving. I artifically inflate the price in case there is someone willing to pay, but if not, I'm not upset that I didn't book.
My minimum is set at $43. Smart Pricing's closest "low" has been and is for $51 on a Wednesday in December. However, I have seen the opposite - prices rising into the $100s for high-traffic weekends. To me, that's a recipe for disaster as anyone booking my guest room for over $100 is probably going to have an expectation that is not realistic. That being said, we are already booked for those high-traffic days almost a year in advance (at $100/night - our max). Maybe Smart Pricing would have been a Smarter option.
Of course, we also like Instant Book as well and find the kind of guest who uses this feature is 1 of 2 types - (1) lazy and doesn't read the listing at all and then cancels immediately when you start pointing out that there is only one bed or dogs cost extra or we aren't located inside the Blue Devils stadium [read - annoying whether they use IB or not!] or (2) fantastic, high-quality, experienced guests. Luckily for us, the VAST majority are in the latter category.
With both IB and SP on, we find Airbnb to be a pretty agreeable system.
Hello Jean, I have used it and I've been unimpressed. I no longer use it. If you do use it, make sure you set your minimum at a price you're comfortable with. Stay far far away from airbnb suggested minimum pricing as the suggestions are absurd. Smart pricing really misses the mark and you will rarely get much of an increase from your minimum unless you set the minimum REALLY low as they suggest.
I dont use smart pricing,but airbnb have charged my guest $39 instead of $150 and I can't get hold of airbnb, Iam so angry. It a long term booking,so I have decided to acce- it, is there a phone number for airbnb?
This is exsactly my opinion too, after using the smart pricing tool for over a year and going along with the lowest price suggestions. The tool itself is a nice idea, but probably, just guessing, has absolutelly no information about the actual rental prices in certain cities/ city areas. Or maybe the tool is set up for the wold market and people in new york competeng with some lower prices in other cities. Using the smart pricing tool, I realized, I am getting low quality guests, who can be unhappy but even not able to afford the actual rental price of my place probably. Why would I torcher myself, provide, jump, service for even not a rental price on top of it being judged by people who do not value that? I do not recommend the smart pricing tool, I feel after a year I lost on my personal value too.
Hi Elisabeth, I have IB and have had SP on for 2 months just to see how it worked. Up until my last booking, I was quite happy as I was getting more per night than what I had on the listing. SP is now OFF after Airbnb gave a 15% discount for a 7 night stay. I've accepted the booking but I'm not really happy about it. Since then, I have upped my nightly rate because quite frankly I feel used by some guests who don't even bother to leave a review or to even have the courtesy to say thankyou. Considering my place is extremely competitively priced for what it is and the heap of extras I supply, I feel that if potential guests don't like the price then I'm not turning myself inside out to please them anymore. I hope you've turned off SP. In my opinion, you're much better off setting your own prices. Good luck with your future bookings.
Hello I'm not sure if you know the answers but hoping someone might know..
why my nightly rates are calculate significantly low when booking is for 7 days or more? It is concerning and would like to resolve ASAP.. help please
@Jean92 @Diane440 @Zack40 @Steve553 @Josee6 I now use smart pricing on all my listings - but I set the minimum at my base price $185 on one for example I think the suggestion is $125 a few times I got an extra 5 or 10 bucks - but for the most part I get my base. I’ve remained stead fast and I’m booked- I offer the level of accommodations to match my price - so I know my base is fair, and bookings are telling me it’s fair.
Nothing to lose by using smart pricing- can only help you in the algorithm- just ignore the suggestions (pay no mind) Never lower your price to a desperate level - because then you will quickly get desperate bargain hunters. And that’s never good.
I just joined hosting. I have had to increase my minimum pricing several times. We have a 3200 sq ft home with 5 bedroom and 2.5 bathrooms. It keeps wanting me to drop my minimum to 82/night. What would you recommend?
@Penny187 The most important thing about Smart Pricing is what others above have noted - don't use Airbnb's suggested minimum.
Why don't you just double or triple that minimum and see how it goes? And never pay attention to any suggestions to lower your price. Just Say No lol.
Ignore it. Your best guide is whether it's booking and you're getting good reviews. You'll need to start off lower to begin with because you don't have many ratings, but once you're well-reviewed, just keep raising the price until you see bookings tapering off.