How are the price recommendations calculated?

Our algorithm considers a number of factors – some inputs and settings that you can control, and our data-driven analytics layered on top of it. When you review prices for a listing for the first time, we estimate a base price for the listing you based on it’s attributes and current performance. We then apply historic demand trends (seasonal, weekend vs. weekday), future looking supply and demand data (occupancy levels and prices for vacation rentals and hotels for future dates), and how far a date is (last minute discounting, far our premium, etc.). Reducing or increasing the base price will reduce or increase the price recommendations. In addition, you can also set your own lowest price (our recommendations won’t go below this), highest price (our recommendations won’t go above this), last minute discount/premium customization, as well as date specific overrides (for example, to further increase prices for New Year’s eve by 20%). You can read about our pricing algorithm in more detail in our Revenue Management Starter Kit.

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