Default Discounts and Premiums
One of the ways in which we make changes to your pricing is by adding premiums and discounts to certain dates depending on their position relative to holidays, events, and other bookings.
You might wonder, "why is there a 20% discount on my orphan days" or "prices seem to get pretty high six months out, how did that happen?". Well, here's how!
There are four default price adjustments that are made after prices are adjusted for seasonality and neighborhood occupancy:
These settings only apply if they offer a lower discount or higher premium than the settings you've already put in place and if they don't make prices go below your set minimum or above your set maximum.
Read on to understand how each default discount/premium is calculated.
Last Minute Discount
Guests love to book last-minute deals. You can set some attractive discounts for last-minute bookings to ensure bookings and the contentment of the guests!
So we've set up default to garner our users the most bookings for the most money.
Old Algorithm | Hyper Local Pulse |
By default, we apply a gradual 30% last-minute discount over the next 15 days from the current day. | You will have Market Driven Defaults! The numbers will change for your everyday as we observe the market trends to maximize revenue. An example of the same can be seen in the screenshot below. Note that for market driven last minute discounts, the discount will not be applied beyond 60 days (maximum limit), and maximum discount is capped at 40%. |
This can also be customized or removed if you have different requirements.
More on that can be read here.
Orphan Day Discount
We've found that orphan days (days between two bookings that don't meet your minimum stay restriction) when displayed with a slight discount, tend to sell faster.
For example, an orphan gap of 1 night is created, and if there is a discount applied on that particular day, there are chances it will sell out at this lowered price, thus ensuring more reservations on orphan gaps, than no reservations at all.
By default, we apply a discount of 20% to a gap of two days or less.
This default can be removed or changed by turning the toggle on and choosing between %, fixed, or none.
More on that here.
Occupancy Based Adjustments
Occupancy Based Adjustment factor helps us to consider your property's performance and not just the market, when recommending prices.
We automatically apply a default occupancy-based profile but you have complete control and can change it to use one of our various other profiles, or customize your very own!
Here is a detailed guide on occupancy-based adjustments.
Far-out Premium
If there is a booking that is way ahead in the calendar, we want you to make the most out of it!
Hence, we apply a premium for the dates farther out, this is commonly practiced.
Old Algorithm | Hyper Local Pulse |
By default, a gradual 20% premium over seven months after 30 days from today (about 0.1% per day), after 240 days rates a flat 20% premium is applied. | You will have Market Driven Defaults! The numbers will change for your everyday as we observe the market trends to maximize revenue. See sample customization below. Note that for market driven far out premium, the earliest start can be 60 days from today, and maximum premium is capped to 20%. |
You can read all about it here.
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