I've found that Smart Pricing with Airbnb is not as aggressive about making you profits as some other software. However, you can play the algorithm game and use it for the first month of bookings. You may find that it will help boost your listing. But I wouldn't keep it. I would convert to a better software.
Airbnb's tool is all about bookings more than it is about profits. They want every night filled (and the more bookings Airbnb gets the more commissions they get), but if you lower the price too much, then you'll still lose money even though you're booked 100%.
I use PriceLabs, but I also have my own pricing strategy that I use in tandem with PriceLabs. What you really want is a strategy that uses Dynamic Pricing. This means the prices will increase with demand and decrease when demand is low.
As you get into this business you'll become aware of slow seasons and having the right pricing strategy to charge more during peak season and less during slow season will help you float those slow months, and maximize profits for the year.
Airbnb is an "interest algorithm". So, whatever is going to get your listing the clicks necessary to bump your listing up is what you need to focus on. Good quality photos are the # 1 thing in my opinion followed by one-night minimums. Play by the rules to get "super host" status, and utilize a strategy that gets you usually fully booked and earn another badge called "Rare Find". This will also bump the listing up and create curiosity. All ways to help boost your listing.
Increase your prices for one night so as to detour one-night bookings unless they really want to pay the premium prices. Then start giving discounts the longer they book. This will keep your calendar open for longer stays, and if anyone does book one night, then they'll pay a premium for screwing your calendar up and blocking the availability for longer stays.
My PriceLabs dynamic pricing software made me an extra $1,500 in one weekend just on one listing. It was sooo worth the $20/month. Now I have 4 listings and PriceLabs dynamic pricing is killing it.