Dynamic Pricing

What is Dynamic Pricing?

Dynamic Pricing is an intelligent pricing strategy tool that helps you optimize your nightly rates based on actual booking data from similar properties in your region. Instead of manually adjusting prices for each season or guessing what guests will pay, Dynamic Pricing analyzes what guests have actually paid for comparable properties in your area and provides you with data-driven price recommendations.

When you set up Dynamic Pricing, you receive a recommended price curve for the next 14 months. You have full control over how to use these recommendations — you can apply them manually with a single click whenever you see a new recommendation, or enable automatic price optimization to let the system adjust your prices within limits you define.

Key Benefits of Dynamic Pricing

  • Data-Driven Pricing: Based on actual completed bookings from similar properties in your region, not listed prices on other platforms
  • Time-Saving: Eliminates the need to build pricing strategies manually for each season
  • Flexible Control: Choose between manual price adjustments or automatic optimization
  • Market Responsive: Weekly updates reflect changing demand patterns in your area
  • Easy Fine-Tuning: Adjust individual dates, price levels, or seasonal settings anytime

How to Set Up Dynamic Pricing: Step-by-Step Guide

Step 1: Open 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 for Dynamic Pricing.

Step 2: Choose Your Pricing Tier

Select one of three pricing categories that defines which group of similar properties you want to compete with:

  • Budget: Prices your property like the most affordable 15% of similar properties in your area
  • Comfort: Prices your property around the average market rate for similar properties
  • Premium: Prices your property like the top 15% of similar properties in your area

Similar properties are determined by properties in your focus region with the same maximum occupancy, based on completed, non-cancelled Holidu Homes bookings. This comparison is based on actual booking data, not listed prices on platforms like Airbnb or Booking.com.

If sufficient booking data is available for your property type in your region, Holidu will highlight the best-fit category with a "Recommended for you" badge to guide your selection.

Step 3: Set Your Season Rules

The guided setup automatically groups your 14-month pricing period into four season types based on local demand patterns:

  • Peak: Highest demand period in your region
  • High: Strong demand season
  • Mid: Moderate demand season
  • Low: Quietest demand period

For each season type, you can configure:

  • Minimum stay requirements
  • Weekend markup percentages
  • Check-in and check-out day preferences

These settings apply consistently to every date within each season type, streamlining your pricing management across the entire year.

Step 4: Preview and Apply Your Prices

Before any changes take effect, you'll see a detailed preview comparing your new recommended prices with your current nightly rates. Review this comparison carefully to ensure the pricing aligns with your property and market strategy.

Once you're satisfied with the preview, click "Apply prices" to implement the new pricing structure.

Important Note: Applying the guided setup will overwrite your existing prices and season settings, including any manual adjustments you've made to individual days. You'll always see the new versus current prices before confirming, and you can still fine-tune any specific date or price after applying the initial setup.

Step 5: Adjust and Optimize Anytime

Nothing is permanent in Dynamic Pricing. You can reopen the tool at any time to:

  • Adjust your overall price level
  • Modify seasonal pricing effects
  • Edit specific dates, individual prices, or minimum-stay rules directly in the calendar
  • Review and apply new price recommendations as market demand changes

Keeping Your Prices Current: Ongoing Management

Weekly Data Refresh

Holidu refreshes the underlying booking data from similar properties every week. This means your comparison data gradually reflects what's actually happening in your local rental market, ensuring your pricing remains competitive.

Price Recommendations

As demand shifts throughout the year, Holidu surfaces new price recommendations based on updated market data. You can review these recommendations and apply them with a single click whenever you see them.

Automatic Price Optimization

If you prefer a more hands-off approach, you can enable "Enable automatic price optimisation." Here's how it works:

  • Set a minimum and maximum price range — your floor and ceiling values
  • Holidu automatically adjusts your price level within this range as market demand changes
  • Every price change is logged in your price history for full transparency
  • You remain in complete control — you can return to manual pricing management at any time

Understanding Your Pricing Data

Price Levels and Market Position

The pricing tier you select determines your position in the local market. Your price level slider lets you fine-tune your position within your chosen category (Budget, Comfort, or Premium), allowing you to compete effectively against similar properties while maintaining your desired market positioning.

Seasonal Pricing Curves

Dynamic Pricing creates a visual price curve showing your recommended nightly rates across the 14-month period. This visualization helps you understand:

  • Peak pricing periods when demand is highest
  • Low-season rates when demand is quietest
  • Gradual demand transitions between seasons
  • Year-round pricing patterns for your specific property type and location

Frequently Asked Questions

Will my existing prices be overwritten?

Yes. Applying Dynamic Pricing replaces all your current prices and season settings, including any manual adjustments to individual days. You'll see a clear comparison of your new versus old prices before confirming. After application, you can edit individual dates manually at any time to make specific adjustments.

What are the pricing seasons (Peak, High, Mid, Low)?

These are demand-based groups that organize your year into four pricing periods. Peak represents the highest demand season, while Low represents the quietest period. These seasons are suggested by Holidu based on local demand patterns. You can adjust the settings for each season type before your final prices are applied, and you can modify them anytime afterwards.

Can I still control my minimum stay requirements?

Yes. Dynamic Pricing suggests minimum stay rules based on demand patterns in your region, but you have complete freedom to edit them manually at any time. You can adjust minimum stays per season type or for specific dates as needed.

Can I adjust my prices after applying Dynamic Pricing?

Yes. You can return to Dynamic Pricing editing mode at any time to shift your overall price level or change your seasonal pricing effects. You can also manually edit specific dates, individual prices, and price ranges directly in your pricing calendar, just as you would with traditional manual pricing.

What do the Budget, Comfort, and Premium categories mean?

These categories define which competitive set of similar properties you want to compare against. Budget positions your property like the more affordable properties in your local market. Comfort aligns your pricing around the average market rate. Premium positions your property like the top-end properties in your area. Your choice affects which properties' booking data is used to calculate your recommendations.

Are cleaning fees and taxes included in these prices?

No. The prices suggested by Dynamic Pricing represent nightly base rates only. Cleaning fees, taxes, service fees, and any other charges are managed separately through your property settings and are not affected by Dynamic Pricing adjustments.

What if I want to go back to managing pricing manually?

You can always return to manual pricing management. Dynamic Pricing is a tool to help optimize your rates, not a permanent commitment. You can stop using the feature's recommendations at any time and manage prices directly through your calendar.

Is the Minimum Price the absolute lowest I will ever receive for a booking?

No. The Minimum Price applies specifically to your nightly base rate. If you have active promotional discounts (such as a 10% Weekly Discount or a 15% Last-Minute deal), these discounts are calculated on top of your nightly rate. Therefore, the final price a guest pays could be lower than your "Minimum" setting due to applied discounts.

Will Dynamic Pricing change the price of bookings I've already received?

No. Your existing bookings are completely unaffected by Dynamic Pricing changes. Any reservation that is already confirmed remains at the exact price it was booked at. Dynamic Pricing only updates rates for nights that are currently available and unbooked, never retroactively changing confirmed reservations.

Why don't the similar properties prices match what I see on Airbnb or Booking.com?

The price range in Dynamic Pricing is based on actual completed bookings within Holidu's own portfolio, not listed or asking prices on other platforms like Airbnb or Booking.com. Some difference between platforms is expected because actual booking prices often differ from listed asking prices, and different platforms attract different guest segments.

Can I adjust the comparison area or radius used for the Price Curve?

No. The comparison area, defined as your focus region, is fixed and cannot be manually adjusted. However, you can fine-tune your own pricing level within your selected category (Budget, Comfort, or Premium) using the Price Level slider, allowing you to position your property competitively within your region.

How does Dynamic Pricing handle extra-guest surcharges?

Dynamic Pricing prices for the full number of adults your property accommodates. If your property is designed for 6 adults but you charge a base rate for only 4 guests plus extra guest fees, adjust your price level in the wizard accordingly. The tool is calibrated for your property's full capacity, so ensure your price level selection accounts for your complete accommodations.

Getting the Most from Dynamic Pricing

Dynamic Pricing is designed to save you time and help you stay competitive in your local market. Start by selecting the tier that best matches your property's positioning, review the initial price recommendations carefully, and then decide whether manual or automatic optimization works best for your hosting style. Remember that you can adjust your approach anytime — this tool is meant to be flexible and responsive to your needs and market conditions.

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