Dynamic pricing: how to set it up
Which rules work for a holiday home, which limits to set and how to see whether it pays off.
What dynamic pricing does
Your price per night moves with demand: down when a night looks like it will stay empty, up when you are almost full. Hotels have done it for decades. For a holiday home, four rules are enough.
The four rules
Last-minute: a discount when arrival is within 7 or 14 days and the night is still open. An empty night earns nothing. Early-bird: a small surcharge for those who book far ahead in high season; that guest knows what they want. Occupancy: a surcharge when the month is more than 70 percent full. Gap nights: a discount on a single night or two between two bookings that would otherwise stay empty.
Limits
Set a minimum price that covers your costs (cleaning, energy, wear) and a maximum that guests still find reasonable. A price you set yourself on a day stays.
Measuring
After three months, look at revenue per available night, not the average price. More nights at a slightly lower price is often more revenue. Change one rule at a time.
In Houslr
Under Website → Smart pricing you switch the rules on and see your base price next to the smart price for the coming weeks. The smart price goes to Airbnb and Booking.com too.
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