Airbnb...Your Push To Lower Our Rates Is Attracting The Worst Guests

[Martin280]

I've been a host for five years now and I have to say this past year I have had the worst guests of any of the previous years, bar none! I've felt like this push the last year to "promote your discounted rates" and "reduce your price and get a strikethrough presentation" "let guests book with only a verified profile" are all a push for airbnb to be cheaper and more accessible to more people. These tactics drive volume up for Airbnb but I think it's caused people to just think of airbnb as a cheap hotel substitute, especially those who've never used it, and show less respect for the fact it's our homes. I've had more damaged items, disrespectful guests, had to call the police for the first time on one, given more "I wouldn't recommend's" then ever and it's generally been the most difficult I've had as a host. I'm DREADING this January and February when rates are at their absolute lowest and I feel like it'll be awash in people thinking for $50 they own my apartment. I have held steadfast to my strict cancellation policy and I'm not partaking in bargain basement pricing strategies for my apartment and opening myself up for even more hassle for less money. I don't know what they can really do because they're running a business, but I wanted to share this and see if others were feeling similarly.

[Veronique271]

Totally agree...

[Sarah977]

@Martin280  So sorry you are getting some bad guests who just don't get the concept of home sharing.. And yes, all the push to lower prices is insulting. So I pay zero attention to it. 

I want to say I love your listing description. It's so real and so personal. I find that many descriptions just read like a real estate ad, extolling the virtues of the place in an impersonal way.

And I had to laugh about what you said about the dishes. I also want my guests to clean up after themselves in the kitchen, and I have to say almost all have been great about that. But if I'm by myself, I can let the dirty dishes pile up for  day or two if I'm busy. I always think nothing ruins a good meal like jumping up and washing the dishes.

[Martin280]

Thanks, I had fun writing it. 🙂

[Anonymous]

@Martin280  You always have the option of ignoring price suggestions, making your own choices about pricing, and being selective about guests rather than using Instant Book.  It may drive down your occupancy rates, but in return for that you get less anxiety, less potential for damage or neighbor issues, better reviews, and greater overall enjoyment of the job.

The happiest hosts are the ones who run their listings fully on their own terms, without letting themselves feel subservient to their listing service or held hostage by anxieties about reviews or search rank.

[Martin280]

I think that's a tad simplistic though when of course, if I wasn't full all the time I'd have a much lower anxiety level but that would be offset by the bills that couldn't get paid from the lost revenue. It's always true that we're happiest getting most of what we want but that so rarely happens for us for more than a brief moment. 

[Anonymous]

@Martin280  Well, nobody forced you to be an Airbnb host either. If hosting in a way that makes you happy isn't generating enough income to pay the bills, it might not be the right occupation - at least not for the specific circumstances you're in. Of course, Airbnb is just a tool you use for your own business, it's not your life coach.

[Lilly28]

@Anonymous 

I am not happy when I have a bad review.

I am not happy when I do not see my listing in the fisrst or at least the third sueching page.

I am not happy when I feel that I am alone - withought any support, I depend on the service of airbnb and I am always happy when I read something which helps me to reconsider the price or anything else.

I am not happy when I am not booked for a long time.

But I have to say - I am always happy when I have a first-time user who is saying me good-buy with a smile, pleased with his stay! Yes, I agree @Martin280  - first-time users are difficult, but I think it is up to us - the hosts, to make them feel so welcomed and relaxed as they would have been in a frind's house. I agree that my little flat with a classical and timeless design is a cheap substitute of a hotel, but I try my best to become more than that - and reviews are the only way I can see if the stay had been a next victory or a failure.   

[Anonymous]

@Lilly28 All of these causes of unhappiness have been carefully engineered by Silicon Valley to have this effect on you, because that makes it easier to modify your behavior. Similarly, those Tips are not designed for your benefit. 

In contrast, the pleasure you get from a positive human connection and a guest genuinely appreciating your hospitality is a real and timeless thing.

[Donna240]

@Martin280 

I can only wonder why you lower rates when suggested by Airbnb. You're in one of the best markets for tourist and business guests. Sometimes a lower price does not indicate good value, but makes the potential guest wonder what might be wrong with your property, if you are content to receive a low rate. Set a fair price and don't make them second guess.

I'm reminded of the British host who lowered her rates each time it was suggested, all the way to 16 pounds per night, and had to pay the cleaning person more. So she was losing money, even though airbnb was making it on their commissions, because her property kept getting booked.

I think each of us must assess the competition in our immediate area and come up with our own plans. I think the rush to the bottom starts when our expectations require full booking all of the time. You can bring in more money with less hassle by setting a 3 night minimum, instead of trying to book 3 one night stays. I've set a personal policy for myself; I have the same rate all year long, a 4 night minimum, and raise prices by  $5 each time Airbnb suggests that I lower them. I base prices by looking at hotels in the area and stay much lower than them, then I check the immediate competition on Airbnb and only if they are comparable do I adjust up or down. I booked a 4 nighter within an hour of raising my rate... in December. It was a business client who selected my property because it fell into the business criteria for price and reviews said it was comfortable, clean, and quiet.

@Anonymous Your advice is excellent. I couldn't agree with your more.

[Martin280]

I adjust my rates almost daily. Supply in NYC is WAAAAY up from when I began. For example, the stats for last week in my calendar often said "15% fewer guests, 32% more homes available" or something similar. And two years ago I'd be booked solid two months in advance. Now we're lucky to be booked for two weeks solid in advance. The saturation has dropped prices and driven guests to book later because of no fear of availability. At least that's what I'm seeing.

I don't lower my rates to airbnb's suggestions all the time. Probably 25% of the time its pretty close though. I also found I do much better with a 1 day minimum 5 day maximum. Cleaning fees add up and bring the average up I find. And you get more reviews which I think psychologically also helps for guest confidence when they see the number beside your profile...especially as a minority.

The raised rates is interesting. I think I could if I was a solid 5 star but I've not seen any listings around me that have as many reviews and still maintain that high an average. After hosting thousands you just realize there's a percentage you just can't make happy unless your waiting on them like a servant. But thanks for the feedback. 

[Laura2592]

Ignore pricing suggestions. Mine want me to rent my entire cottage for $35 a night. That doesn't even cover the cost to pay the cleaners. 

We started at $50 a night because honestly we had no idea what our market would bear. It was a mistake. Our early guests who were attracted to the budget rate treated the accommodation like a budget location (not all of them, but many.) We have been slowly raising our rate over time with another increase set for the beginning of 2020. Airbnb messages regularly tell me I am overcharging but we have bookings all the way into July. 

[Martin280]

I agree. I find I'm near their suggestions now only 25% of the time and that's usually only when it's day before or day of and the room is still unoccupied. 

[Libuse0]

I absolutely agree! Lowering the price to this all times low may attract the wrong guest! Sometimes it’s nerve wracking to ensure you have high occupancy, but most of the really low low price guests  are the most demanding ones;( 

[Martin280]

One thing I should have said here too is that my welcome message after people are confirmed has really helped. It's much more "professional" and "here is how the apartment is run and I expect it to be followed" and I think that's tampered down some of the guests who would have been even more unruly. I'd suggest that for everyone.