One of the most important factors of renting out your vacation home is setting an appropriate price.
Pricing yourself too low could result in a fully booked reservation calendar but unfortunately, you could lose out on income. Pricing yourself too high is also problematic, expect minimal bookings and don’t be surprised if you find yourself with an empty vacation rental.
The best way to determine what kind of price you should set is by doing some competitor research. Find listings similar to yours and check out their pricing and availability calendars. Once you have firmly found your pricing ground, enable dynamic pricing according to seasonal offers, last minute deals, group specials etc.
Want to know more about how dynamic pricing will maximize your bookings and stay one step ahead of your competitors? Here’s some benefits of implementing a dynamic pricing system for your vacation rental website:
By taking into account seasonal changes, public holidays etc. and planning your prices in advance, you can keep your availability calendars up to date. That way when your guests are looking to book one of your vacation rental properties, they can see exactly how much their vacation will cost. Leave no confusion on the cost for your guests to stay in high or low season.
If you are noticing gaps in your availability calendar, offer your guests last minute deals or early bird specials. With the use of a channel manager you can make any last minute price changes and they will update your multiple portal/agency listings. Ensure that you get the most out of your vacation rental listings and maximize bookings whenever possible.
Promote Special Offers
If you want to create special offers based on length of stay, number of guests or advertise package deals, you can do so by adjusting your property’s pricing accordingly. Email marketing is a great tool to notify your previous guests of any special offers to encourage them to book again. Creating a newsletter including your seasonal offers increases booking chances.
Your guests don’t have to see the differing costs between your high and low season prices. Along with a fully functioning availability calendar, organising your pricing in advance will mean that you maintain professionalism and credibility.Your guests are less likely to feel like they are getting a good deal if they see the price comparison between high and low season.
We hope we have given you a greater insight into the benefits of including a dynamic pricing system on your own vacation rental website. Please feel free to share this post and share your thoughts in the comment section below:
If you are in the market for a new vacation rental website or better vacation rental software to manage your pricing, inquiries, bookings and marketing, consider using Kigo. You can contact one of our vacation rental software experts at [email protected] or on the phone (Spain) +34 512 702 105 ‧ (France) +33 1 84 17 04 18 ‧ (USA) +1 (786) 292-0030