How to develop a revenue management mindset (Ep 617)
Summary
This podcast episode discusses revenue management for short-term rentals, emphasizing that it encompasses more than just pricing. It highlights the importance of analyzing all aspects of the business, including property characteristics, marketing, and operational efficiency, to maximize revenue. Hosts should consider a holistic approach to revenue management, evaluating every part of their business and not just relying on pricing tools.
Key Insights
- •The article references the importance of having five-star reviews and Superhost status to drive more revenue.
- •The revenue management approach should include the property itself (location, characteristics, and amenities), marketing (photos, descriptions), and pricing strategy.
- •The speaker grew gross revenue by 37% by taking over a listing and focusing on revenue management, with the gross revenue increasing by over $20,000 year over year.
Action Items
- ✓Evaluate listing descriptions and photos to ensure they effectively market the property's features.Effort: lowImpact: medium
- ✓Assess the property location, characteristics, and amenities to understand the revenue potential.Effort: lowImpact: medium
Tools & Resources
- →PriceLabs: The guest mentions using PriceLabs.
- →Wheelhouse: The guest also mentions using Wheelhouse and Beyond Pricing.
- →Cashflow Mastery: The guest also mentions using Cashflow Mastery.
More from Pricing & Profitability
This article discusses Kansas City's high occupancy rates compared to other World Cup host cities, raising questions about the effectiveness of efforts to increase short-term rental availability. It implicitly touches on market trends and the impact of major events on the STR market. The article likely explores whether increased rental supply can meet demand while analyzing the city's approach to STRs.
Realtor.com's report on best mountain towns for Airbnb returns reveals key locations for STR investment. The analysis likely includes data on occupancy rates, ADR, and RevPAR to identify profitable markets. Understanding these trends helps hosts optimize pricing strategies and choose lucrative destinations.
Airbnb is offering a $750 incentive for some hosts in Georgia during the FIFA World Cup, potentially boosting occupancy and profitability. This program seeks to capitalize on increased demand from the international event, offering financial benefits to participating hosts. Learn how to qualify and leverage this incentive for your STR.
Curated by Learn STR by GoStudioM