As a new host I’m still figuring out all of the ins and outs of the dashboard/ app etc. This morning I was checking on stuff when I noticed the new beta feature for non refundable bookings. I have a moderate cancellation policy in place but this looks interesting to me. You have to switch your policy to flexible, but guests are shown an option for non-refundable booking with a 10%discount. Of course I see this option when booking hotels, but evidently this is a new feature they are test driving. I must say it does sound like an interesting option. Of course the old “extenuating circumstances” is still on the table for whatever that is worth. I’m still so new at this, I’m wondering what more experienced hosts think about how this would stack up to the moderate policy.
I have strict, I see no reason to discount for it though.
Another one of Air’s race to the bottom campaigns.
RR
I’m so glad I asked! I hadn’t thought of it quite that way. Out of curiosity, have you always had strict or is it something you evolved to? The market where I am is fairly competitive and I’m a little concerned that if I am strict straight out of the gate it will deter bookings.
I had moderate when I started.
I agree it’s a little scary for a guest to book a non-refundable stay with a host who doesn’t have many ratings. Once you have a good reputation you can experiment with Strict.
I didn’t notice much of a change in my bookings, but that might vary by market. Hosts in “destination” areas, where people plan well in advance, can more easily get away with a Strict policy.
At any rate, I wouldn’t use this new scheme. As you said, EC is still in play, so there’s not much incentive to risk increased cancellations for a small probability of being paid more. (I wonder what % of guests do the non-refundable option?)
Airbnb would really like to convert all their hosts to flexible cancellation; this is just a new push. You can’t get into the “work” collection with a strict policy because “Work plans can change, so travelers need more flexible options.” (Airbnb ought to advocate for hosts in the same way: “Mortgage payments must be made monthly, so hosts need stricter options.” 
)
100% agree.
For all folks on here criticise BDC, their non-refundable booking are exactly what they say. Doesn’t matter if your granny in Belizstan died, your pet llama suddenly starts giving birth or you get gored by that famous three legged unicorn, the booking stands.
JF
All strict does is either tell me they are serious. It helps me with planning, and managing direct bookings. Flexible is just more stress.
I agree that once I get established I can play with strict settings, but for now it would not be a good choice. As another poster said flexible is too stressful, so its moderate for me. I too would be interested in seeing how many people would go for the 10% non-refundable option, but I don’t know that there is any data for it yet since this is an experiment. It is tempting just to see if it would have any effect. I’ve literally been listed for such a short time I only have one review. I don’t see that I have much to lose. Who knows, it might help me get a booking for the second week of Jazzfest next week…I could always switch back to moderate. Thanks for all the insight!
You could actually experiment with this if you wanted.
I’ve made a copy of my listing before to test whether people booked A vs B. So long as you synch the calendars so you don’t get a double booking it works out nicely! Put the flexible with 10% on one listing and keep it moderate on the other - see which books first!
Hi @nolabelle I too am in a very competitive area and have had strict from the start with both my listing (one started at the end of last year).
I do ask my guests for feedback about this (amongst other things) and in most cases they didn’t actually notice when comparing places what policies hosts have in place, so not sure how much of a barrier having this policy is. I think perhaps this is
In response to your initial question, I don’t want offer guests a flexible policy, and I don’t want guests who are mainly governed by price, so this new feature isn’t of interest to me
Clever clogs.
I’d not thought of that, we’re swithering as to using the “all inc” 14% and that sounds like a good way to try it. Do you come up twice in the searches?
JF
Thanks for the perspective! I think there is something to be learned by so many different types of hosts that contribute here- even if our listings may turn out to be very different. I have been studying this forum for the past year getting ready to list and feel pretty confident. I do like the peace of mind that would come with the strict policy, but as we approach the summer months (hurricane season in New Orleans) I’m a little fearful of the doldrums! I also think that I can read as many responses as I can, but I still will have to learn the ropes of my own market as well. I’m sure I’m going to make some rookie mistakes, but all of the different contributors here really do help me feel more confident. Thanks again.
I’m in a competitive area as well – at least during Snowbird Season. I set Strict from the very start and have had no reason to change. I have had, a time or two, to be very glad of the Strict. I never discount. I would not switch to anything less than Strict unless they forced me (and then I consider other options besides Air).
Yes I have always had strict, and I do not refund cancellations outside of the policy. My bookings are mostly last minute because I am priced higher than competition so the cheap ones go first. Works for me but I DO NOT CARE if I get booked or not. I just blocked the weekend because I do not feel like cleaning yet from the guests who left yesterday, I had two bookings over easter 5 days which covers my mortgage by itself.
RR
@RiverRock You might consider just raising the price to one that would get you motivated to clean it rather than just blocking it out altogether. One, you might make a great sum; two, you will likely fare better in the Airbnb algorithm; three, I always think having more higher priced options there is better in the long run than having lower priced options blocked…just my 2 cents. (Or pence, as it were)…
Interesting bc I have a strict policy and they keep promoting to me to add a flexible cancellation option for 7% more. I can’t do this bc we are a fly in ski destination and I don’t want people to flake if the snow isn’t perfect.
We are on flexible and I’m glad we are. Guests don’t read and a few times a month people book, I welcome them and tell them what they booked (a room in an apartment)… And they go “Oh, I thought I was getting the whole apartment !?!” and then if everything goes well they cancel. I can’t imagine these guest staying because they don’t want to lose any money and then being dissatisfied.
About the non-refundable: I have had this in place for several months, and no-one has made use of it, not even if they book 1, 2 or 3 days before arriving. My conclusion: It does not work 
, and guests are not seeing a discounted rate. I can’t imagine not one person being interested in a discount when they are 99% sure when they will arrive in our city.
I think there is definitely a difference in approach between hosts like yourself (and me) who are in the fortunate position to not rely on our STR income and those who need to be able to book as many days as possible to help cover their core costs.
I too have a base price (probably towards the higher end amongst my competitors). And once I get the number of days I want booked each month, I will block out additional days.
I tend to block a couple of weekends every month for ‘me’ time and so I can invite family and friends over.
@Militaryhorsegal On average I only book out about 50% of my days through Airbnb and it doesn’t seem to have affected where I sit in terms of Airbnb rankings on their site.
Although I have a strict cancellation policy, if the booking is a long way out and a guest cancels I will consider refunding them if I get a replacement booking.
lol, my prices are high already. Funny to hear that I am always telling people to raise their prices! I just did not want to deal with it this weekend, no regrets:)
Rr