Making more money. Supply & Demand

[Ken Latchers]

There seems to be an improper focus on occupancy. I can put a place out there at a dollar a night and get 100% occupancy. I can put a long-term rental apartment out there at 30% off and be occupied all the time. It doesn't mean it's good.

high-occupancy usually represents an underpriced unit. High-occupancy usually means more wear and tear on the unit and the owner. And more maintenance needs. High-occupancy is nothing to brag about.

An understanding of supply and demand means that you know what the price should be for each unit everyday both near and far. That is what things like Beyond pricing, pricelabs, and other dynamic pricers can do automatically. Not perfectly, you might want to monitor at some in your area to see if they reflect reality.

an understanding of supply and demand means you want to be listed in every major location that can bring you good paying guests.

the major online listing sites include Airbnb, VRBO HomeAway, booking.com, TripAdvisor FlipKey

and using the Sync features available on any of those to avoid double bookings in or perhaps something like free to book or smart B&B or owner res or another channel manager

a good website can capture people who look at these sites and see if they can book direct without paying commissions. Research indicates that about 7% of people will look at one of these and if you're easy to find will book with you instead.

you want to be on any travel sites that perhaps your hotel taxes pay for. Here there are things like 800 Poconos and visit PA. Com. Your location also probably has things like that and you should be on them. traffic coming to your website.

back to occupancy. It is not about being full, is about getting as high a price possible with reasonable occupancy. Raise your rates and see what happens to your occupancy. It's still high, raise your rates again. Of course this interacts with seasonal factors.

Thoughts?