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18/02/2025

Pricing and seasonality in short-term rentals

Seasonality and local events strongly affect demand and prices in short-term rentals. A single rate all year round risks leaving money on the table in peak season and empty nights in low season. A clear pricing strategy helps you maximise revenue and keep occupancy at a reasonable level in quieter periods too.

High and low season: defining the bands

Identify peak periods for your area: holidays (Christmas, New Year, Easter), summer by the sea or in the mountains, long weekends, and any recurring fairs or events. In these windows you can raise prices by 20–40% (or more, depending on historical demand). In low season — November, January–February (excluding holidays), before and after summer — lowering rates by 10–20% helps fill the calendar instead of staying empty. You can build a simple table with "high", "mid" and "low" season and adjust it once or twice a year based on actual booking data.

City events: updating in advance

Trade fairs (e.g. Cersaie in Bologna, Biennale in Venice), concerts, conferences and marathons send demand soaring. Check the city and regional event calendar at least 2–3 months ahead: raise prices before the competition fills up and ensure availability and rates are updated on your site and portals. When confirming a booking, tell the guest the dates coincide with an event (helps set expectations and smooth check-in).

Long stays: discounts and stability

Offering a discount for 7+ or 14+ night stays reduces turnover (fewer cleans, fewer check-ins/outs) and attracts guests who are often more considerate and stable. A 10–15% discount for one week and 20–25% for two weeks is common; you can also set monthly rates for digital nomads or long relocations. On many portals you can set "long stay" discounts directly in the price settings.

Dynamic pricing: when it’s worth it

Tools like PriceLabs, Wheelhouse or Beyond Pricing analyse demand and competitor prices and suggest rates in near real time. They’re most useful for hosts with many properties or in very competitive markets. For one or a few units, a well-designed seasonal table (3–5 bands, updated quarterly) is often enough and avoids subscription dependency. Either way, on Domrentals you can update prices and availability quickly; the synced calendar avoids double bookings even when you change rates at the last minute.