It's the end of the year and New Years Eve is only days away. I had a last minute cancellation of a guest for NYE. I took this as an opportunity to increase my price for this night and after having done so it was booked again within an hour for a 50% higher price. Clearly there is a last minute rush to find a room and that is when you can really get that extra profit.
Spring is in the air in London and I'm fully booked. I occasionally raise my prices on days where I would prefer to not be full (to give myself a bit of a break) but even these slots were booked up. After 3 months of cold weather and horrible rain it looks like the weather in London is about to improve. Better weather usually mean more guests so it could be very busy over the next six months.
How much should I increase my prices during the summer?Although I do increase my prices during the summer it's not by much. Only a few extra pounds per night. Part of the reason is that I don't want disappointed customers who rate my listing less than five starts for value. If I put my price high then there is a certain expectation to live up to that price. A lower price has much less expectation - "at least it was cheap." [caption id="attachment_269" align="aligncenter" width="511"] Make your price correct as guests will rate you on value for money[/caption] I did notice this on my listing for the first time. "This is a rare find - Richard's place is usually booked." Being a 'rare find' must be some sort of special Airbnb host badge. It does at least create this extra impetus to buy for potential guests - If Richard is usually booked then he must be good. I have no idea what it takes to become a rare find but I have had over 300 guests and I'm usually full so maybe thats it. My strategy is simple - stay booked all the time. If I have to lower my price I will. The way I see it Airbnb wants good hosts who will take bookings at any time. If your a reliable host they will reward you with more business (hopefully). Being too choosey on what price your willing to take and which type of guests your happy to accept will reduce your future bookings. [caption id="attachment_274" align="aligncenter" width="299"] Guests putting you on your wish list helps your rankings[/caption] The more guests you've had the more guests you will have. It's all about being a safe bet. Most of your guests will be from out of town and will not know your area and will judge on your pictures firstly and secondly on your reviews. A good looking picture helps a lot but it's the reviews that make the sale. A long list of great reviews will put someone at ease and be confident they are getting what they see in the picture. To get those reviews you need lots and lots of bookings which means taking almost anyone who wants to stay and at the times when it doesn't always suit you. Thats business.
Its December in London and the weather has been unusually mild for this time of year. Bookings have dropped off since the autumn and I've reduced my prices again for the new year. I'm now charging £28 a night for a double room for two people - this time a year ago I was hoping to be able to charge £35 a night by now, so its very disappointing. I have 200+ reviews and most of them have been positive but my five star review rate is still languishing at 64% and has been for about a year. I have noticed more listings in my area and they are mostly double rooms at prices barely above the price of a single. Airbnb has been around a little while now in the UK but I'm seeing some very obvious mistakes with some listings such as:
- Messy rooms in the pictures especially the cover image
- Not using a real picture of yourself in your airbnb profile (hiding your identity on a website built on trust is not clever)
- Unrealistic prices
Airbnb price tips are handy if your not sure what price you should be charging but I don't find them very useful. The obvious problem is that if everyone is using the airbnb price tip then you will all be charging the same and therefore have as much chance of being booked as everyone else. I like to be full at all times even if this means selling at a discount (I would rather lose £2 than £20). I see an empty room as money lost so any sale is a good sale.I would say on average most of my guests are very nice. They tend to be young, employed, and most come from Western Europe but occasionally from Brazil, USA, and East Asia. Surprisingly many are female which might say something for the level of safety I provide in my accommodation (lockable rooms and live-in hosts). Over the Christmas period I do have airbnb guests staying at my house. I still had my usual family Christmas and the guests were out of the house most of the time. I did have to explain to some of them that Christmas day meant that there would be no public transport in London which they found surprising for some reason. I did get some guest enquires about arriving on Christmas day which I had no problem with but I quickly explained to them that getting from Heathrow airport to my house on Christmas day would mean a taxi and and a very expensive one at that. It makes no sense saving money on a airline ticket because it arrives on Christmas day only to loose all your savings on the taxi trip from the airport.