CASE STUDY: Dynamic Pricing
In the past, vacation rental managers used to set prices for their properties on a month-to-month or week-to-week basis, which is known as Set Pricing. This meant that the same price was set for many dates, regardless of the level of demand. For example, July would be priced at one point, while December would be priced differently. As the vacation rental market grew, managers learned to capture demand more profitably by pricing holidays differently.
How to price in a competitive market
Hygge Hospitality Partners uses our years of pricing experience to implement and build Dynamic Pricing to deliver higher returns to their homeowners. After selecting the correct pricing system for your business (i.e. PriceLabs, Wheelhouse, Beyond Pricing, etc.) the real opportunity is in adjusting your pricing and managing it in real-time. By determining to overprice the market on holidays, underprice on shelf seasons, and much more returns can be increased many fold.