Low-ball listings

How do you compete with the glut of bottom-of-the-barrel priced listings that seem to be showing up in a number of areas? I’m seeing places show up in the $20-30 range with no cleaning fee, etc. If they’re playing by the rules, I don’t see how or why these places would even be in business.

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Can we assume they are following “price tips” or starting low to try to get reviews? Check this one out in my town:

$21 instant book with snacks and breakfast. It’s not an ensuite bathroom but it’s new and clean. The only real disadvantage for someone passing through is they they are a bit off the main interstate, maybe 15-20 minutes out of their way each way.

Or this one… terrible description and pictures but potential is nice. Still not as close to the freeway as I am

I have to keep fingers crossed for people who want a bit more privacy or just LOVE dogs.

Edit: I do think many people won’t last at the low prices because the wear and tear on them and their houses and lives will be too much.
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This listing is about 5 minutes away, I’m not sure if you have to bring your own air mattress or not, but there is not one shown in the photos, last week the listing was $22. https://www.airbnb.com/rooms/13564298?s=TgO6qMIW

Those are crazy prices! Even lower than what ABB price tips are probably!

Maybe they are just trying to get started? Once they get burned a few times, their prices will go up!

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You have just described me @felixcat

I’m £21 ($28 or so) per night. Pure profit, my lodgers rent covers the bills and my living expenses.

Most places around me are around £25 for a private room. But they are in the city centre. My city is about 250k population.

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Hello Paul,
That’s great that you’ve found a good balance with price and occupancy. Also, you have to consider not everyone, myself included, wants to be in the city centre. When I travel I’d like to be away from it all.

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Yeah I have considered everything. But I’m happy with the price for now. I have about a 90% occupancy. I have actually increased the price by a tiny £1. Was going to go up again soon. I live in a super quiet and safe suburb. No through traffic at all. You’d probably like the fact I’m on the shore too so a beach to walk along :slight_smile:

The thing about low-priced listings is that they usually just have one (or two?) spots available for any given night. So sure they might get booked before you but then they won’t be showing up anymore for those dates so I try not to be too concerned about it – it’s not as if they have 35 units available for that price. Perhaps the cheapest places will get snatched up by those on a shoestring budget but there are plenty of guests, hopefully, that will eventually book your place.

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The first 2 listings were very nice. I didn’t look at the 3rd yet. Yes, the price is a bit low, but they do go up a little with extra people. Considering the area, it’s not a “destination” place but rather a pit stop for weary travelers who don’t want to pay 3 times as much for a creepy motel. The way I look at it, if the people asking $21/per night get 10 nights a month–there’s their utility bill paid.

Pedro’s place, the one you said had a terrible description that I thought was just perfect and to the point, is very nice and he’ll I’m sure adjust his prices at some point in the future.

Your place sounds ideal Paul. Everyone has different interests and those who want peace and quiet, no dogs, sirens, helicopters will find your place.

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This price is now showing as $64

I think Airbnb is encouraging these low ball listings - in an effort to sway people away from regular hotels, and increase its profits. I am trying to keep my prices on the high end - even if I get fewer bookings.

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The reason I think it’s terrible is because I’m not entirely sure what I’m getting. It says a living area and bathroom but it also says bathroom is shared…just not enough info, even at $25 a night.

Yes we are mostly a pit stop. About 80% of my bookings are one night, passing through.

Yes, he got one review and tripled his price. Meanwhile over here, 5 miles down the road, I’m at $78 with an actual real bed with sheets and everything even though they are not ironed, fancied up cucumber filtered water, german chocolates, and gosh yes, some handmade organic lavender body salt scrub :wink:

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Yes, I’m the same way, less work please always.

What else do you need to know? It says shared bathroom. What else could he say?

I just hope - and hope - that we professionals, if we stay the course, will finish the course - while others will drop out. We just have to keep our focus on a quality product for a good price.

And I confess - I did this when I first opened up - just did not have a clue.

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Feli[quote=“K9KarmaCasa, post:2, topic:6338”]
Edit: I do think many people won’t last at the low prices because the wear and tear on them and their houses and lives will be too much. I
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Actually these are the very people–like me–who will last because we offer what the original kernel of Airbnb was all about: cheap but good accommodation. Now it’s grown to become a competitor with motels and hotels. We “bottom end” folks will always be here regardless. Also, by “bottom end” I mean low-priced. I’ve got my rate at what the market will bear based on what I have to offer, which is a shared room that’s actually pretty private, but I have to list it as shared.

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Professionals? I’m curious what you mean by that? Professional what?