Sponsored by Beyond
As a property manager, the benefits of dynamic pricing might seem clear to you: more accurate prices on your listings, access to decision-driving data and insights, time savings, and, ultimately, maximized revenue. However, your owners will undoubtedly have questions.
Owners are often used to static, flat pricing and may be confused when they see prices adjusted daily. So, when you decide to make the big switch over to dynamic pricing, extra communication with your owners goes a long way to get them on board. Adopting dynamic pricing is not just adopting new technology; it’s adopting a new approach to pricing that comes with a lot of benefits. It’s important to lay them out for your owners and get ahead of any questions they might have.
We’ve put together these tips, plus a sample email template, to help you get ahead of your owners’ questions and possible hesitations around dynamic pricing. At the end of the day, they should be reassured that their properties are in the best hands and that dynamic pricing will help them achieve their goals.
Tip #1: Educate Vacation Rental Owners on the Why and How
When shifting to a new strategy, it can be helpful for your owners if you take an educational approach. Dynamic pricing might be a 180-degree change from what they are used to, so educating the main benefits of dynamic pricing to your owners can go a long way in easing any anxieties and gives you a chance to show off your expertise. It might be helpful to compare dynamic pricing as similar to how hotels and airlines have been pricing for decades.
In your communications, you can include benefits of dynamic pricing like how it frees up time, ensures pricing is accurate and competitive with the market, grows revenue, and gives you access to the latest data and insights about the market and their listings. You could also share a success story of a similar owner when they switched to dynamic pricing or compare their listing’s pricing to the market. Don’t be afraid to show your owners the data. We encourage you to share with and show your owners how dynamic pricing responds to market changes and adjusts prices automatically.
Tip #2: Reassure Property Owners You Stay in Control
As the property manager, you are the expert and have your owners’ best interests in mind when making big changes. Remind them that when you win, your owners win, so you are equally invested in their success—and the best dynamic pricing tools are also equally invested in their success.
To ease any anxieties about lack of control over their pricing, make sure to communicate to your owners that safeguards are in place when setting up dynamic pricing. You are still in control with settings like minimum price, maximum price, minimum night stays, and more. These settings can be configured for their property to ensure that they are getting the best booking possible.
Tip #3: Over-Communicate the Value With Success Stories
If your owners are completely new to dynamic pricing, it might be best to over-communicate the benefits and what the transition looks like in the beginning. The email template is a great start, but don’t be surprised if you need to deliver these same messages multiple times. Are your owners too busy to read emails? Consider also hosting a virtual town hall where you can lay out the benefits and give owners the opportunity to ask questions live—you might even ask a Beyond pricing expert to join your town hall.
On an ongoing basis, it would benefit you to keep clients updated on the results: sharing successful bookings, revenue lift, and occupancy. Regular updates will not only go a long way to ease their minds but also set you apart from other property management companies in your area. The Beyond platform makes it simple to share these updates with your owners—many of our successful partners will download stats and insights right from the platform. Some will highlight their success within insights compared to the market
Getting ahead of your owners’ questions and possible hesitations around dynamic pricing, you can easily win them over. By sharing examples of your market data, highlighting occupancy information, and explaining how you are adjusting pricing strategies, you will build confidence in trust with your owners.
Would you like other proven tips to help your vacation rental business? Check out our guide that outlines nine strategies to grow your short-term rental management business.