Seasonality

Seasonality Factor Sensitivity

Seasonality in the accommodation rental industry refers to how demand fluctuates at a broader market level based on the season or time of year. For example, a small town known for its ski resorts will see a surge in travelers (and increased rental demand) during the ski season, typically from late November to early April in the United States.

PriceLabs automatically calculates seasonality at a city/region level for users on the Old Algorithm and at a HyperLocal level for users on the Hyper Local Pulse Algorithm. If you believe the seasonality factor is not accurate for your market, you can reach out to us or adjust the seasonality customization settings as explained below. 

Before You Start

  1. Seasonality Factor Sensitivity Customization is a by-request feature. However, if suggested in Smart Presets, it will be automatically enabled for your account.
  2. If you do not see this option in your account, email support@pricelabs.co to request access.

Benefits of Seasonality Factor Sensitivity

  1. Provides more control over how seasonal demand influences pricing.
  2. Helps adjust pricing strategies for highly seasonal, moderately seasonal, or non-seasonal markets.
  3. Ensures pricing aligns with business models such as mid-term rentals, apart-hotels, or non-seasonal operations.

Available Options:

  1. No Seasonality: Disables the seasonality factor in the pricing algorithm. Use this option if you are adding your own Custom Seasonal Profile or if you operate a hotel-like property in a non-seasonal market.
  2. Conservative: Tones down PriceLabs-determined seasonality. This lowers prices slightly during high season and raises them slightly during low season. Ideal for mid-term rentals and hotel-like properties, such as apart-hotels.
  3. Moderately Conservative: Slightly tones down PriceLabs-determined seasonality. Prices will be lowered slightly during high season and raised slightly during low season, but not as much as the Conservative setting. Useful for properties that experience seasonality but prefer milder price adjustments.
  4. Recommended (Default): The default setting applied in our pricing algorithm.
  5. Moderately Aggressive: Slightly amplifies PriceLabs-determined seasonality. Prices will increase slightly more during high season and decrease slightly more during low season, but not as much as the Aggressive setting. Suitable for properties in seasonal markets that want more pronounced pricing adjustments while maintaining some balance.
  6. Aggressive: Amplifies PriceLabs-determined seasonality. This increases prices further during high season and decreases them more in low season. Suitable for highly seasonal markets.

Steps:

  1. Head over to the Pricing Dashboard and click Review Prices on the listing.
  2. Navigate to Customizations (Edit) → All Customizations.
  3. Click and toggle the switch for Seasonality Factor Sensitivity.
  4. Select your preferred setting.
      

Additional Notes

  1. Adjusting Seasonality Factor Sensitivity can significantly impact pricing fluctuations. Test changes gradually to assess their effect on bookings.
  2. If switching from the Old Algorithm to the Hyper Local Pulse Algorithm, re-evaluate seasonality settings to ensure alignment with the updated Hyper Local model.


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