EP202: Behind the scenes at Get Paid For Your Pad
Summary
This article discusses revenue management strategies and operational insights for short-term rental hosts. It emphasizes the importance of scheduled revenue management, analyzing booking behavior, and understanding the unique challenges of STR pricing compared to hotels. Hosts should focus on building routines, analyzing data, and recognizing the differences in STR markets.
Key Insights
- •STR pricing is significantly harder than hotel pricing due to factors like product uniqueness (each listing is its own 'mini hotel'), hyper-fragmented demand curves, and operational constraints.
- •Smaller markets like Kansas City, Boston, Seattle, and Philadelphia may outperform larger cities during events like the FIFA World Cup.
- •Booking windows and pacing strategies are critical in STR revenue management, and early bookings can indicate underpricing or upcoming events. Analyzing booking behavior reveals pricing and demand signals.
Action Items
- ✓Schedule revenue management reviews, not just reacting to pricing. Implement daily and weekly pricing workflows.Effort: lowImpact: medium
- ✓Review every booking to reveal pricing and demand signals. Pay attention to early bookings and the impact of minimum stay rules.Effort: lowImpact: medium
Tools & Resources
- →Freewyld Foundry: Learn more about Freewyld Foundry(https://www.freewyldfoundry.com)
Common Mistakes
- ⚠Don't overcorrect pricing too quickly. Small daily price changes can increase exposure on OTAs.
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Curated by Learn STR by GoStudioM