Hi Everyone,
I have noticed that many owners (in forums, I hear on podcasts, and clients) say that when they lower their prices, they get lower quality guests. I’m taking a poll. How many of you have had this experience? Thanks for your feedback. 
We have put our prices up considerably. Not always but on occasions when we were cheaper we found you attract the “youth hostel set” which were very cost focussed tended to be home more. We generally didn’t enjoy the experience. We have been hosting now for over 2 years and have got the balance of price versus gust right. P.s we are absolutely full most of the time😀
3 Likes
I have only been hosting for a month, but I have found that low cost + accepting longer term reservations + a large weekly discount (AirBnB’s recommended 15%) combined was attracting people who were just looking for the cheapest place in town and not what I actually offer. I decreased the weekly discount and capped the maximum stay to two weeks, and have attracted the guests I want so far. I actually want the types who would stay in a hostel because I’m that type of person myself. 
1 Like
RAISE YOUR PRICES EVERYONE! The goal of air is to get us all to be rock bottom.
10 Likes
When I first opened my prices were very low - I had an airbed and bedding I’d had around, and old school desk for an end table, etc.
My guests were amazing. Very few nuts in the salad. I kinda miss those days because I wasn’t worried about my furnishings being damaged. Everyone was so happy to find a comfy place at a great price.
I still am enjoying hosting, it’s just more stress because now I’ve invested in it and it’s a real business instead of a hobby.
But, I’m still enjoying my guests! Most of them, that is… Then there are THE OTHERS!
9 Likes
I actually think it’s the newcomers that are trying to drive down prices, like Flipkey, Booking.com and Wimdu, etc. I mean, when I put up my listing on those sites, I was encouraged to use flexible cancellation, 24-hour checkin, low, low starting prices, etc. I have a listing up on VRBO, but as I’ve said many times, the users of that site are all looking for the lowest prices possible at high season (sigh) and so now I only use Airbnb. I put a lot of work into my two rentals and no way am I going to undercut myself because these new competitors are trying to get a leg-up in the market.
5 Likes
What does AirBnB gain from us having cheap rentals? Can’t they charge a larger service fee for more expensive rentals? Is it that more people use the site instead of a hotel or hostel? I believe you because I’ve seen their suggestion I rent my room (which is pretty much a whole floor in my house, in a major city!) for as low as $34 a night! I am just curious what Air gains from us being cheap.
Speaking of: I raised my “base price” so I look more expensive if any new competitors open in my neighborhood. When I opened last month I just searched for my neighborhood and didn’t put dates in, so I saw some places much cheaper than I wanted to charge, but they were actually unavailable in December (full or blocked off) or had manually entered higher prices into the calendar for December. I made the mistake of thinking I needed to beat those prices, and booked up most of December almost instantly with unpleasant guests looking for the cheapest accommodations in town. (It didn’t help I naively accepted Air’s suggestion of a 15% weekly discount.) Lesson learned! I’m charging more now, and I’m not booked full, but I’m attracting the kinds of guests I want and my two guests since left rave reviews.
1 Like
I had mixed experience with lowering prices. I had springbreakers during March when i started with low prices and my experience with them was excellent. I would rather have them then older crowd who mostly are more demanding and critical.
I had people paying top $ for holidays and they were also good guests but… rated me down on value.
I can not say that when i lower my price i have guests who are disrespectful or “low” quality.
I do agree though that we as Airbnb hosts should not be listening to suggested rates. In my case they are most of the time half of what i charge.
1 Like
Airbnb gains from low pricing is that as you said it yourself, people will be booked solid.
I personally dont want to be booked solid. I live in the house, and for me to have 100% occupancy is impossible to handle. I had very busy October, and i was quite exhausted with having people in a house non stop.Now, after busy December, i have a little break this week with weekends all booked, and understand that this is the balance i need to be able to keep hosting.
3 Likes
Yea I’ve had that experience as well but having the up hostel type guests isn’t too bad they are actually out all the time doing tourist thing. They use the kitchen more, which is not idea so I changed my rules!
It really depends where you are based, I normally get people in town for work over winter.
1 Like
I guess I was assuming these potential guests would be using AirBnB regardless of how much I charged, someone else would just get their business. However, perhaps guests turn to hotels or hostels if there aren’t cheap AirBnBs with the dates they want.
1 Like
Yes that’s true. Personally, I only stay at a Airbnb if it’s cheaper then a hotel or hostel if I’m backpacking around.
2 Likes
Thanks everyone for taking the time out to respond. Your viewpoints are really appreciated and helpful!
1 Like
Air wants the bookings, and they want the entire universe to book on air. They want the lowest gut wrenching prices that they can squeeze out of a host. They encourage more and more hosts…competition drives down the prices more. Their goal is the most choices at the rock bottom rates.
1 Like
I have not lowered or raised the price of my room from what I asked day one about 4 years ago.
Airbnb suggests that i do, but its a price I am comfortable with, and I don’t want to feel resentful that I am working too hard for too little money, as Im afraid that would rub off on my relationship with the guests.
In the same way, I don’t want to raise it and feel as if I have asked too much or taking advantage of travellers.
I have made check in and check out less flexible than it was in the beginning and raised the price for a second guests as it is, in fact, much more work for me as there aere 2 single beds and breakfast included.
8 Likes
I believe that hosting is not for everyone. People try and then give up. Like with any other business, Airbnb is not any different: you need to take care of it. Many have full time jobs, many give poor experience and get bad reviews.
I don’t see already the same listings in my area which I saw in a beginning.
1 Like
My point is that don’t be frightened to put prices up once you have a few reviews. ( we have nearly 100) and are super hosts. Then you will get what ever type of guest you want as you can be a little more fussy. We are the more expensive in our area. We only do this as a hobby so we only take the guest(1) that we think we will enjoy. Mind you we are in a city of 4.5 million people. So lots of tourists but over 2000 airbnbs. Best wishes from very hot and sunny Australia.
5 Likes
I don"t do it for a hobby at all, for me its a good part of my income. If i did it for a hobby i would probably raised my prices too, but at times when i raise my prices i don"t get booked at all.
1 Like
We do it only to give guests the true Airbnb experience. Cultural exchange and “living like a local” we don’t allow cooking but we offer dinner for an additional price. ( I am a chef) which most take up. The point about the " youth hostel types" meant we offer a cross between a hotel with a very personal touch. We find out a lot about our guests before booking the we can really make it a more personalised experience by understanding near needs. We have had a great 2 years meeting and making friends with people from all over the world. Yes it is a hobby but the money is a bonus.
2 Likes
Anther point is never discount. It is a well known fact that people who chase discount can be less than ideal guests.
3 Likes