Dissappointed by Non-refundable Marketing

in
Seattle, WA
Level 10
1,422 Views

In the low season, I thought I would try Airbnb's new "Non-refundable" option, allowing for a 10% discount for choosing the non-refundable option.

It makes administration more complex, but I thought it would be an easy was to discount.

I have now discovered that this option is not marketed to prospective guests. It is only offered at check-out.

I does not give me a competitive edge over other hosts who do to choosed this offer 😞

I have now simplified and rescinded this offer.

Why does Airbnb do it this way? Airlines reel you in with restrictive fares first. Why is Airbnb marketing this option later in the process? I usually think Airbnb are smart marketers, but ....

Anyone have a theory? Am I missing something?

9 Replies

Re: Dissappointed by Non-refundable Marketing

in
Florence, OR
Level 10

My hypothesis: Airbnb is half-assed about the idea so they rolled it out in a half-assed way. Perhaps they have not heard that old adage: "Half measures avail us nothing."

Re: Dissappointed by Non-refundable Marketing

in
Jersey City, NJ
Level 10

@Paul154  Wait what?  So the guest, get to choose the option of getting a 10% discount AFTER they have already stayed, so obviously,  they don't need a cancellation refund?  Instead of using it as a marketing tool to get them to book?  I must be misunderstanding you.

 

I would actually use their discount feature except the discounters are always huge,- 27%, they're never just 10%...and that makes the discount too large for it to be worth it.  I do the same work, so I'd rather get  no money than 2/3 of the fee. 

Re: Dissappointed by Non-refundable Marketing

in
NY, NY
Level 10

@Mark116 There are two discount features:  one where they get a 10% discount if they choose the non-refundable option, and one where you set a discount (as you say, as high as 27%) for a certain period in the near future.

 

The latter discount offer is sent out to people looking in your area during those dates.  I do it in the off season, but it's usually 10%-15%.  I've had a few bookings from the discount offers sent out, but I think the greater value is that it gets more eyes on the listing and brings it up in the rankings.  However, I only do it when the discount seems reasonable - not 27% - and of course I've been known to raise the price first and THEN send out the discount offer ... 🙂  

Re: Dissappointed by Non-refundable Marketing

in
Jersey City, NJ
Level 10

@Ann72   I had thought about trying that, but I assumed a change in the base price would make the discount go away.  I'll try it next time I get that pop up on offering a discount.

Re: Dissappointed by Non-refundable Marketing

in
Leeuwarden, The Netherlands
Level 10

@Mark116 

It is offered at check-out on the booking form (so not at end of stay, it would be useless anyway...)

Re: Dissappointed by Non-refundable Marketing

in
Jersey City, NJ
Level 10

@Emiel1  Thanks, still seems stupid, because by then the person has already decided to stay, they've picked the listing and booked it, why give them a discount at that time, rather than use the discount as a lure to get them to book in the first place.    

Re: Dissappointed by Non-refundable Marketing

in
Leeuwarden, The Netherlands
Level 10

@Mark116 

The guest is offered a choice: book with the cancellation policy attached, or no refund at all when cancelling and get 10% discount on the booking. But cancellation due to "extenuating circumstances" can still overrule the "no refund" option, so it is not 100% secure the host will allways get the money.

But indeed, implemented in this way it is not a marketing instrument, that is exactly what @Paul154  brings to our attention.

Best regards,

Emiel

Re: Dissappointed by Non-refundable Marketing

in
Toronto, Canada
Level 10

@Paul154 

 

How did you turn this off.  I clicked accept to it sometime back but I have noticed my revenue has decreased year over year, I want to turn this feature off now but I don't know how.  Where did you find the option to turn off the feature?

Re: Dissappointed by Non-refundable Marketing

in
Vancouver, Canada
Level 2

It's in the Policies section. It doesn't show up unless you click to edit.

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