Dynamic Pricing is a powerful tool designed to help you optimize your property's nightly rates based on real market data. Instead of manually adjusting prices each season, Dynamic Pricing analyzes what guests actually paid for bookings of similar properties in your region and provides intelligent price recommendations for the next 14 months.
How Dynamic Pricing Works
Dynamic Pricing uses actual booking data from similar properties in your area to create a recommended price curve. This curve is based on genuine market demand patterns, not guesswork or listed prices on other platforms. As demand changes throughout the year, the system continues to make price recommendations, allowing you to stay competitive without constantly managing your calendar manually.
The system offers two ways to use these recommendations:
- Apply price suggestions manually with a single click when you review them
- Enable automatic price optimization to let the system adjust rates within limits you set
Key Features of Dynamic Pricing
Market-Based Pricing Tiers
Choose which market segment you want to compete in by selecting from three pricing categories:
- Budget: Priced like the most affordable 15% of similar properties in your area
- Comfort: Priced around the average market rate
- Premium: Priced like the top 15% of similar properties in your area
If sufficient booking data exists for your property type, Holidu highlights the category that best fits your property with a "Recommended for you" badge.
Seasonal Pricing Rules
The system organizes your year into four demand-based seasons: Peak (highest demand), High, Mid, and Low (quietest period). For each season type, you can set minimum stay requirements, weekend markups, and check-in/check-out policies once—these rules then apply consistently to all dates within that season.
Continuous Market Updates
Booking data for your market updates weekly, ensuring your price recommendations reflect current demand patterns. This means your pricing strategy adapts as the market changes throughout the year.
Automatic Price Optimization (Optional)
If you prefer hands-off pricing management, enable automatic price optimization. Set a minimum and maximum price ceiling, and the system will adjust your rates automatically within those boundaries. All changes remain visible in your price history, and you can revert to manual pricing anytime.
How to Set Up Dynamic Pricing
Step 1: Access Dynamic Pricing
Log in to your Holidu Host Account and navigate to the Pricing tab. If you're setting up a new listing or haven't configured seasons yet, you'll see an empty state with a "Get started" button. Click it to launch the guided setup wizard.
Step 2: Select Your Pricing Tier
Choose whether you want to compete as a Budget, Comfort, or Premium property. Your selection determines which group of similar properties your rates will be benchmarked against. Consider your property's amenities, condition, and target guest profile when making this choice.
Step 3: Configure Seasonal Rules
The guided setup automatically groups your 14-month period into seasonal categories based on local demand patterns. For each season type, set:
- Minimum stay length
- Weekend markup percentage
- Check-in and check-out day preferences
These settings apply uniformly to all dates within each season, streamlining your pricing management.
Step 4: Review Price Comparison
Before finalizing, you'll see a detailed preview comparing your new proposed nightly rates against your current prices. This side-by-side comparison helps you understand the impact of Dynamic Pricing on your revenue across different seasons. Review the graph showing pricing trends over the 14-month period to ensure the recommendations align with your business goals.
Step 5: Apply Your Prices
Once you're satisfied with the price preview, click "Apply prices" to implement Dynamic Pricing. Note that applying the setup will overwrite your existing prices and season settings, including any manual adjustments you've made to individual dates. You'll have the opportunity to review the comparison one final time before confirming.
Step 6: Fine-Tune as Needed
After applying Dynamic Pricing, nothing is locked in. You can edit specific dates, adjust prices, and modify minimum-stay rules directly in your pricing calendar anytime you want to make manual adjustments.
Managing Your Dynamic Pricing After Setup
Reopen and Readjust
Return to Dynamic Pricing whenever you want to shift your overall price level or adjust seasonal effects. You're not committed to any particular pricing strategy—it's always flexible.
Review Price Recommendations
As demand shifts in your market, Holidu surfaces new price recommendations. You can apply these recommendations with one click, or ignore them if your property's occupancy rate is already satisfactory.
Enable Automatic Adjustments
If you'd prefer the system to handle price optimization automatically, turn on "Enable automatic price optimisation." Set your floor and ceiling prices (the minimum and maximum rates you're willing to accept), and the system will adjust your price level automatically within that range. Every adjustment is logged in your price history, so you can always see what changed and when.
Return to Manual Pricing Anytime
If automatic optimization isn't working for your property, you can switch back to manual pricing management at any time without penalties or complications.
Important Considerations
Existing Bookings Are Unaffected
Dynamic Pricing only updates rates for dates that are currently available and unbooked. Any reservation already confirmed will remain at the price it was booked at—your pricing changes won't impact past or current confirmed bookings.
Separate from Cleaning Fees and Taxes
The prices generated by Dynamic Pricing are nightly base rates only. Cleaning fees, taxes, service fees, and other charges are managed separately and remain unaffected by this tool. Guests will still see these additional costs at checkout.
Discounts Apply on Top of Base Rates
If you have active discounts (such as a 10% weekly discount or last-minute deal), these are calculated on top of your nightly base rate. This means the final price a guest pays could be lower than your stated minimum price if they qualify for a discount.
Comparison Data Is Local Only
The price curve is based on actual completed bookings within Holidu's portfolio in your region, not listed prices on other platforms like Airbnb or Booking.com. Your "similar properties" comparison group is fixed based on your focus region and maximum occupancy and cannot be manually adjusted.
Minimum Stay and Surcharges
Dynamic Pricing suggests minimum stay requirements based on demand patterns, but you can edit these manually anytime. If your property charges extra for additional guests beyond a base number, ensure your price level is adjusted accordingly, as the system prices for your full capacity.
Frequently Asked Questions
Will Dynamic Pricing overwrite my existing prices?
Yes, applying Dynamic Pricing replaces all current prices and season settings, including manual adjustments to individual days. You'll see a clear comparison of new versus old prices before confirming, and you can edit individual dates manually after setup if needed.
What do the seasonal categories mean?
Peak, High, Mid, and Low are demand-based groupings that organize your year into pricing periods. Peak represents the highest demand period, while Low represents the quietest season. You set rules for each category that apply to all dates within that season.
Can I still control my minimum stay requirements?
Absolutely. Dynamic Pricing suggests minimum stay rules based on demand, but you can edit them manually at any time to match your preferences.
Can I adjust my prices after setup?
Yes, you have complete flexibility. Return to Dynamic Pricing anytime to shift your overall price level, change seasonal settings, or manually edit specific dates and rates.
What's the difference between the pricing tiers?
Budget targets the most affordable properties in your market, Comfort targets average-priced properties, and Premium targets high-end properties. Your choice determines which competitive set your rates are benchmarked against.
Are cleaning fees and taxes included?
No, the suggested prices are nightly base rates only. Cleaning fees, taxes, and other charges are managed separately and unaffected by Dynamic Pricing.
Can I return to manual pricing management?
Yes, at any time. Dynamic Pricing is a starting point, not a permanent lock-in. You can manage your pricing however works best for your business.
Will this affect existing confirmed bookings?
No. Any reservation already confirmed remains at the price it was booked at. Dynamic Pricing only updates rates for nights that are currently available and unbooked.
Why don't similar property prices match what I see elsewhere online?
Because the pricing range is based on actual completed bookings within Holidu's portfolio, not listed prices on other platforms. Real booking prices and asking prices can differ significantly.
Can I manually adjust my comparison area or radius?
No, your comparison area (focus region) is fixed and based on your property's location and specifications. You fine-tune your competitiveness within your selected category using the price level slider.
How does Dynamic Pricing handle properties with extra-guest surcharges?
The system prices your property for its full guest capacity. If you charge a base rate for fewer guests than your property can accommodate, adjust your price level down in the setup wizard to account for this pricing model.
Getting Started With Dynamic Pricing
Dynamic Pricing removes the complexity from seasonal pricing while keeping you in control. Whether you choose to apply recommendations manually or enable automatic optimization, you'll have pricing that reflects real market demand in your area. Start with the guided setup today and spend less time managing prices and more time growing your rental business.
Do you want to contact us?
We’re here to help. You can contact us directly if you need assistance or have questions.
Contact us