Dynamic Pricing
What is Dynamic Pricing?
Dynamic Pricing is an intelligent pricing strategy tool that helps you set competitive rates based on actual booking data from similar properties in your region. Instead of manually adjusting prices for each season, Dynamic Pricing analyzes what guests have paid for comparable accommodations and provides you with a recommended price curve for the next 14 months.
When you activate Dynamic Pricing, the system generates price recommendations that you can review and apply with a single click. As market demand changes, Holidu continuously updates its recommendations, giving you the flexibility to adjust prices manually or enable automatic price optimization to have prices adjust automatically within your specified limits.
Key Benefits of Dynamic Pricing
- Market-based pricing: Set rates based on actual completed bookings from similar properties in your area, not guesswork
- Time-saving setup: Receive a complete 14-month price curve instead of building prices season by season
- Continuous optimization: Get fresh price recommendations as demand changes in your market
- Flexibility: Choose between manual price adjustments or automatic optimization
- Full control: Edit prices at any time, including individual dates if needed
How to Set Up Dynamic Pricing
Step 1: Access Dynamic Pricing
Log in to your Holidu Host Account and navigate to the Pricing tab. If you have a new listing or no seasons configured yet, you'll see an empty state with a "Get started" button. Click this button to launch the guided setup wizard.
Step 2: Choose Your Tier Category
Select the pricing category that best represents your property's market position:
- Budget: Priced like the most affordable 15% of similar properties in your area. Choose this if you want to compete on price and attract budget-conscious guests.
- Comfort: Priced around the average rate for similar properties. This is the middle-ground option for balanced competitiveness.
- Premium: Priced like the top 15% of similar properties in your area. Select this if your property offers superior amenities or location.
When sufficient booking data is available for your property type and region, Holidu highlights the best-fit category with a "Recommended for you" badge. This recommendation is based on completed, non-cancelled Holidu Homes bookings from properties with the same maximum occupancy in your focus region—not listed prices from other platforms.
Step 3: Configure Your Season Rules
The guided setup automatically groups your 14-month period into four season types based on local demand patterns:
- Peak Season: Highest demand period
- High Season: Above-average demand
- Mid Season: Moderate demand
- Low Season: Lowest demand period
For each season type, you can set:
- Minimum stay requirements
- Weekend markup percentage
- Check-in and check-out day preferences
These settings apply automatically to every date within that season, eliminating the need to configure each day individually.
Step 4: Review and Apply Prices
Before applying any changes, you'll see a detailed preview comparing your new recommended prices against your current rates. This side-by-side comparison shows you exactly what will change. Review the preview carefully, then click "Apply prices" to implement the new pricing structure.
Important Note: Applying Dynamic Pricing will overwrite your existing prices and season settings, including any manual adjustments you've made to individual days. The preview clearly shows the new versus current prices before you confirm, and you can still fine-tune any date afterwards if needed.
Step 5: Fine-Tune Your Prices
Nothing is permanent with Dynamic Pricing. You can reopen the tool at any time to adjust your overall price level or seasonal effects. You also have the option to edit specific dates, individual prices, and minimum-stay rules directly in your pricing calendar without using the full setup wizard.
Keeping Your Prices Current and Competitive
Weekly Data Updates
Holidu refreshes the underlying booking data from your comparison group every week. This means your price recommendations gradually reflect what's actually happening in your local market, helping you stay competitive as conditions change.
Regular Price Recommendations
As demand patterns shift, Holidu surfaces new price recommendations in your account. You can review these and apply them with a single click whenever you're ready.
Automatic Price Optimization
If you prefer not to review and apply recommendations manually, enable "Automatic Price Optimisation." This feature allows you to:
- Set a minimum price floor and maximum price ceiling
- Let Holidu automatically adjust your price level within these limits as market conditions change
- View every price change in your detailed price history
- Switch back to manual pricing at any time—you're never locked in
Note: If the Dynamic Pricing feature is not visible in your account, there may not be enough booking data available in your region yet. The feature becomes available once sufficient comparable property data has been collected.
Frequently Asked Questions
Will my existing prices be overwritten when I apply Dynamic Pricing?
Yes, applying Dynamic Pricing replaces all your current prices and season settings, including any manual adjustments you've made to individual days. However, you'll see a clear comparison of your new versus old prices before you confirm the change. After applying, you can edit individual days manually at any time if you need to make adjustments.
What do the pricing seasons (Peak, High, Mid, Low) mean?
These are demand-based groupings that organize your year into distinct pricing periods. Peak represents the highest demand times, while Low represents the quietest periods. High and Mid fall in between. The system assigns dates to these seasons based on historical booking patterns in your region. You can adjust the settings for each season type before your final prices are applied, and you can modify them later whenever needed.
Can I still control my minimum stay requirements?
Yes, you have complete control. Dynamic Pricing suggests minimum stay rules based on demand patterns, but you can edit these settings manually at any time—whether during the initial setup or afterwards in your calendar view.
Can I adjust my prices after setting up Dynamic Pricing?
Absolutely. You can return to Dynamic Pricing at any time to adjust your overall price level, change your seasonal effects, or modify specific dates and price ranges. Nothing is locked in, and you maintain full control over your pricing strategy.
What's the difference between Budget, Comfort, and Premium tiers?
These categories define which group of similar properties you want to compete with in your local market. Budget positioning means your prices align with the more affordable end of the market. Comfort positioning keeps you at the average market rate. Premium positioning places you among the highest-priced properties in your area. Your choice helps you compete effectively with properties at your chosen market level.
Are cleaning fees or taxes included in these Dynamic Pricing recommendations?
No, the suggested prices represent nightly base rates only. Cleaning fees, taxes, and any other additional charges are managed separately and are not affected by Dynamic Pricing. These charges remain under your independent control.
What if I want to return to manual pricing management?
You can switch back to manual pricing management at any time. Dynamic Pricing is designed as a helpful starting point, not a permanent commitment. If you prefer to manage your prices without using the Dynamic Pricing tool, you can do so through your standard pricing calendar.
Is the Minimum Price setting an absolute floor for all bookings?
The Minimum Price applies to your nightly base rate only. If you have active discounts (such as a 10% weekly discount or a 15% last-minute deal), these discounts are calculated on top of your nightly rate. This means the final price a guest pays could potentially be lower than your "Minimum" setting when discounts are applied.
Will Dynamic Pricing change the price of bookings I've already confirmed?
No, your existing confirmed bookings are completely unaffected. Any reservation that is already booked remains at the price it was confirmed at. Dynamic Pricing only updates rates for nights that are currently available and unbooked.
Why don't the similar properties' prices match what I see on Airbnb or Booking.com?
The price comparison in Dynamic Pricing is based on actual completed bookings within Holidu's own portfolio, not the listed or asking prices advertised on other platforms. Since listed prices often differ from actual booking prices due to discounts and negotiations, some variation between platforms is expected and normal.
Can I adjust the comparison area or radius used for Dynamic Pricing?
No, the comparison area (your focus region) is fixed and determined by your property's location and category. You cannot manually adjust this comparison zone. However, you can fine-tune your own pricing position within your selected tier category using the Price Level slider in the wizard.
How does Dynamic Pricing handle extra-guest surcharges?
Dynamic Pricing calculates prices based on the full number of adults your property can accommodate. If you charge a base rate for fewer guests than your total capacity (for example, a rate for 4 adults when your property fits 6), you should lower your price level in the setup wizard accordingly to account for this difference. The pricing is calibrated for your property's full guest capacity.
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