Is pricing really that complicated for Short-term Rental Hosts?
Of all the things that we as hosts do, what is the hardest? Let’s list out some of what we have to think about:
- Available Days
- Instant Booking
- Listing across different platforms?
- Minimum/Maximum Stays
- Guides to my place
- Guides to the neighborhood
- Extra sheets/shampoos/tea/coffee/etc.
- What kind of experience do I want to create for my guests when they just come in?
This is just the start…there are dozens of other things that we have to do and think about. But out of all of these, which is truly the hardest?
A quick snap back in time. When I just started out as a host, the biggest issue on my mind was where do I post, how do I explain my place, and what should I provide to my guests during their stay. Wine? Coffee? A thank you letter?
Once that is out of the way, and a few bookings later, I start looking at the metrics on Airbnb. How many views am I getting? How many more can I get by changing around my images? Maybe the title of my listing isn’t catchy enough…should I say “Look here! Best Airbnb place ever!”. Too spammy?
So many things to look at, and so little time…I mean I had a job as well. Nonetheless, there was one thing that constantly glared back at me: that pesky dollar sign.
Apparently I wasn’t the only one with this question either. After hundreds of conversations with other fellow hosts, I found the problem I ran into most was the same problem others ran into over and again. How do I price?
Even when Airbnb came out with recommended prices, they just seemed too low at times. And this makes sense, as they also have users to think about. So back to square one…how to price?
After talking with the guys over at Roomdots, who are pricing genies, it all became clear. Turns out that picking the perfect price is quite difficult, and requires a serious amount of tech chops. Thankfully, I don’t have to worry about that, as they take care of all of that for me auto-magically. And guess what!? Turns out Airbnb almost lost me $101,000.