Should You Discount Your Airbnb Nightly Rates?

Airbnb Hosting and Short Term Rental TipsJul 26, 202214m 8s2.0K viewsScore 85
Pricing & Profitability
intermediate
discounting strategy
cost per reservation
off-season pricing
revenue management
occupancy rate
M

Summary

AI-generated

This video teaches short-term rental hosts how to effectively discount their nightly rates by first understanding their cost per reservation. It guides hosts through calculating both variable and fixed expenses to determine a baseline cost, enabling informed decisions on when and how much to discount, especially during off-seasons or for longer stays.

Key insights

  • Knowing your cost per reservation is crucial for effective discounting, as you cannot arbitrarily pick a discount number without covering your property's expenses.

Mistakes to avoid

  • Relying on generic discount percentages (e.g., 10% off, 30% off for monthly stays) without first calculating your cost per reservation can lead to unprofitable bookings.

Tools & resources

  • Numbers Hubtool

    The 'Numbers Hub' is a spreadsheet provided within a membership that helps hosts list and calculate all potential expenses to determine their cost per reservation.

Frequently Asked Questions

Curated by Learn STR by GoStudioM · Summary & key insights generated by AI · Reviewed by editorial