Dynamic Pricing: Adjust Prices at the Right Time

Yes, always, and it is one of the first things discussed at startup. The floor price is calculated on three elements.

• Hostias builds the floor price from your fixed costs (cleaning, linens, management fee, platform commission) plus a minimum margin that makes the stay worthwhile at any occupancy level
• This floor is agreed with the owner before the listing goes live and is locked into the pricing system as a hard constraint the dynamic algorithm cannot override
• If market conditions shift - higher cleaning costs, new local regulations, property improvements - the floor is reviewed with you before being adjusted

Not by principle. Dynamic pricing is not a meter that changes to appear active. Hostias uses professional dynamic pricing software to read demand, then frames adjustments with your floor price, local events, and property positioning.

• Price changes happen when there is a concrete reason: a demand shift, an upcoming event, a gap in the calendar that needs a specific strategy, or a plateau that suggests the rate is too high for current demand
• All changes remain within the guardrails defined with the owner - floor price, maximum stay length, blocked periods - so no adjustment contradicts your stated constraints
• The dynamic pricing software produces recommendations; Hostias reviews them against local context before applying them, so automated suggestions are filtered by human judgment

Sparingly, and only when they serve a precise goal. Three typical cases where a promotion is relevant.

• Filling an isolated gap in the calendar between two confirmed bookings, where a small discount recovers value that would otherwise be lost to an empty night
• Improving visibility at the start of a new listing or after a significant property improvement, when an initial push helps the algorithm build ranking before organic demand takes over
• Responding to a demonstrable demand drop - confirmed by platform data, not assumption - where a targeted reduction avoids a longer vacancy period
• Promotions outside these situations are generally avoided, as they degrade rate positioning without a guaranteed occupancy benefit

No. This is probably the most expensive belief in short-term rental.

• Hostias treats pricing as one component of a system that includes listing quality, cleaning standard, guest experience and calendar structure - a competitive price on a poorly presented listing still underperforms
• We track occupancy and revenue together in monthly reporting so the owner can see whether low occupancy stems from pricing, listing positioning, seasonal patterns or service quality issues
• Decisions about which lever to adjust - price, minimum stay, listing content or preparation standard - are made based on the specific data for your property, not a generic formula