How to price smart in three simple steps
To help our customers make the very most of their accommodation, we will be running fortnightly clinics with eviivo’s very own B&B and hotel expert. This week’s topic is how you can set your room rates in an efficient way to get your property noticed on websites and earn you more money. There are three simple things you can do in order to make sure you are getting the most out of your B&B or hotel.
1. Setting your rates: You should adjust your rates for the following:
- Events: set your rates higher when you know a local event is happening.
- Weekend vs weekday rates: If Friday and Saturday are busier days, your price should reflect this.
- Sunday night: If this is one of your quieter days you should consider lowering your rate.
- Seasons: You need to work out when your high and low seasons are and adjust prices accordingly.
You need to match supply and demand! When demand for your rooms is high, prices should be higher but when demand is low, your prices should be too. We advise that you take 10 minutes, every month to review your pricing and check out how you fare against the competition.
2. Promotions: When you offer a discounted rate, it may seem like you’re losing money but you’re actually influencing the customer to book with you by giving them a good deal. It’s best to see it less as a discount and more of a tool to maximise your revenue on every room, every night. For example:
- Offer cheaper rates for longer stay’s to encourage guests to stay for an extra night longer.
- Give early bird discounts to get confirmed bookings into the diary in advance.
- If you usually have a 2- or 3-night minimum stay, still offer a one-night price but at a higher rate .
- Offer single occupancy rates so you can still sell an available double to a single guests rather than have it remain empty.
- Fully refundable deals sell your rooms more quickly but non-refundable deals are great to lock in bookings.
3. Know what affects your online listing: It’s important to be online with the different channels, but it’s also important to perform well on them. Simply knowing what the channel listing favours will help your property get noticed and put you ahead of the competition. As well as good content and available rates, you need to consider these three simple factors:
- Load your rates at least 12 months in advance.
- Keep your rates competitive
- Remove your ‘minimum length of stay’ restrictions unless they are essential. Having these in place all the time means you don’t get seen by the one night booker at all
eviivo can help! Our My Personal Expert service gives you tailored advice and support. Click here to find out more. Time’s up for today’s appointment. Dr B&B will follow up in two weeks’ to talk about how your online content affects your bookings. See you then!