Pricing Tools Don’t Think: Human Strategy Wins in STRs
Summary
This article from Get Paid For Your Pad highlights the importance of human strategy in STR revenue management, emphasizing that pricing tools alone aren't enough. It covers key metrics like MPI, booking windows, and minimum stay flexibility. Hosts should prioritize consistent revenue management routines and a strategic approach to pricing.
Key Insights
- •Occupancy is misleading; Market Penetration Index (MPI) is the real metric to focus on.
- •Pacing and booking windows reveal demand signals most hosts miss.
- •Flexible minimum night stays can actually increase long bookings.
Action Items
- ✓Review every booking to reveal pricing and demand signals.Effort: lowImpact: medium
- ✓Consider small daily price changes to increase exposure on OTAs.Effort: lowImpact: medium
Tools & Resources
- →Freewyld Foundry: Freewyld Foundry (Revenue & Pricing Management service) and VRMA Pricing Power Skills Lab are mentioned.
Watch Out For
- ⚠Pricing tools can’t replace human strategy and market insight.
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