Automated pricing for the Smokies

[Josh Good]

Hi everyone! We bought our first STR in the Smokies back in May after hearing @averycarl on episode #364. I've been thrilled with the performance thus far. Early on I started using Beyond Pricing to help maximize revenue and for the first few months it was great (averaged 90%+ vacancy) but now we're starting to see more vacancies.

Beyond Pricing recommends not to be booked more than 50% 30 days out and no more than 25% 90 days out. I tweak our pricing weekly to try and hit those numbers. But I'm wondering if their formula even applies to this market since according to Airbnb most people are booking more than 30 days out for the Smokies? I'm thinking we may be too high and sacrificing vacancy for ADR?

Also, we have a 2-night minimum like many and around holidays I have been going up to 3 or 4. But for a few holidays (like Thanksgiving) we have had guests book just 3 nights and it may leave us with 2 or 3 high-dollar nights vacant. What types of rules or minimums do you set with your pricing tools?

Our cabin is a 4/3 with great views. 

Love to hear what others are doing with pricing in this market to help minimize vacancies and maximize ADR.

[Luke Carl]

@Josh Good 4/3 should gross 100k and have 80% occupancy so just do the math.

Cleaning fee=150x7x12=$12,600

Gross Minus Cleaning Fee = $87,400

365x80%=292

$87,400/292=$299 Average price per night over a one year period.

Simple as that :)

Just keep tweaking and growing and don’t over analyze :)

**Typed on a iPhone of the top of my head