Knowing the price you should set for your home as a vacation rental is tricky. If you list the price too high, people will book elsewhere. But, if you price it too low, you’re leaving dollars on the table.
Hotels use sophisticated software to automatically price their rooms. As demand rises, so does the price of a room. That's why you can get a deal on a hotel near a convention center when there's no big conventions in town.
brought their service to Denver this week, to give Airbnb users the same level of pricing sophistication as hotels.
Beyond Pricing's service is pretty straightforward. Attach your Airbnb or HomeAway account, and the service will take care of pricing. If they see a spike in demand, or if they anticipate a big event, they'll increase the price. If demand is low, your space will automatically be set to a lower price to draw attention. Just like a hotel.
Denver's Airbnb Marketplace:
Because the company deals in so much data, they were able to provide some pretty interesting insights into Denver's Airbnb market.
There are only 2,800 Airbnb listings in Denver, a fraction of the area's 43,000 hotel rooms. Of those, the majority are located in the Five Points and Capitol Hill neighborhoods.
The Great American Beer Festival, the Five Points Jazz Fest, Labor Day and New Years all cause spikes in demand. Interestingly, the biggest single spike in demand last year came from the Cannabis Cup.
Beyond Pricing is based in San Francisco, and launched in 2013. They just brought their service to Denver last week, and plan on expanding across the state soon. They don't have anyone on the ground in Colorado yet, but plan on hiring someone to manage the region in Denver or Aspen.
Images via Beyond Pricing
