Discounting to fill up those vacant weeks

[ginelli]

Hi everyone! Long time no talk.

Well, I feel quite satisfied by the response to my first real year of renting out my France and Turkey properties. I've had over 10 weeks for both of them.

There are, however, still 3 or 4 peak spots left for my France property at £600 per week. The odd (and it is odd) enquiry I'm getting for these periods goes something like this, "What is the best price you can do for this week?"

So far I've been responding "Sorry, it's my first year of renting out and I've deliberately kept the prices low". However, I am starting to wonder whether I should start knocking off a bit if I want to fill up these slots.

What's your advice on this? How much would you knock off?

Thanks

[fibi]

I would knock off £100 - quite a lot I know but £500 for you is better than £0 - £100 is a decent amount and will make the guest feel they are getting a bargain. Or you could try £50 and a basket of local goodies.

Having seen your websites I wish we could go...

[ashtondav]

If you are talking august and its now nearly July, I would slash prices. I would go down to £400 and poss £300. You are now in "last minute bookers" territory and these buyers know they can screw down prices. Also, using your holidaying experience, did you leave it until 4 weeks before the date? Almost certainly no and definitely no if with kids and tied to school hols.

So, what would you rather have? £300 or £400, or nothing? Remember its your first year so no referrals, no re-bookings, no recommendations, nought except the last minute traveller.

If on the other hand you see this as an experimental first year then why not just stick with your prices, note what the neighbours are doing to theirs, write it down to experience and modify tactics next year.

[Fil]

If you are receiving enquires for those dates it means that you have a last minute market for them.

If you are very close to the open dates (less than 1 month) maybe a reduction of 100 euros would not be bad. But you will have to splash it clearly at the front page.

You can also make this discount conditional ("discounts might apply for last minute, contact for details....") which will allow you to grant them according to the type of enquirers you get.

As said before, check the other offers in the area. You don't want to initiate a "price war".

[ashtondav]

It strikes me that if you have several peak slots left for summer a price war is exactly what is called for.

Let's be very, very clear - if you have several peak weeks available just 4 weeks beforehand you need to drop prices big time. And 15% won't do it. 30% to 50% might do.

Or, as i say, if you're not fussed, leave the prices as is, or drop by £100, and see what happens and learn for next year.

How about dropping the price by £100 each week for the next 3 weeks and guaging reaction?

[mon269]

How about dropping the price by £100 each week for the next 3 weeks and guaging reaction?

What a good idea!

[Partridge]

Gino, it's difficult and I'm having the same dilema. Third season and each one I have had difficulty with the same last 2 weeks in August. Last year I filled them both with very last minute enquiries and a discount. I just had an enquiry but it was for 11 nights, so I didn't discount but offered a pro rata price, which kind of equalled getting rid of those 2 weeks with a good discount. I have decided to keep the prices up and offer a discount if someone asks for the full weeks, rather than discount and then be asked to again, I might be lucky, it might backfire, who knows

I notice both properties have last 2 weeks of July available and we are very nearly there, so I would be inclined to put them on a special offer now, or if you get an enquiry offer them a hefty discount.

[Rosbif]

Wow Gino your places look great, especially the one in France, I love it!

I thought the same as you when renting my studio last winter, it was my first season too. I felt I should stick with my prices, so as not to 'upset' other guests that have paid the full price! However, like others have said on here, its better to have £300 in your pocket than £0, so I would discount them if I were you.

Good Luck, I hope you get booked up!

Carole

[Hells Bells]

If you ebay, you could try there. I let a spare week last summer on there, and got a booking at almost full price.Thye have just called me to book for August a few minutes ago. You don't need to auction it, you can do a buy it now, and make the buy it now price the deposit. I have my cancelled booking on there at the mo
Item no 250135537852

[tree-peony]

LOL you've got my kitchen trolly!!

[Hells Bells]

Me and half of Europe I think!!!

[tree-peony]

that's cos they're nice

[Hells Bells]

I love waxing it when I go over to keep it looking nice, It's a really satisfying and relaxing job. (oops TCC).

[Normandy Cow]

Be careful Helen, you are advertising it as "Buy it now" for £60, then later you are stating that is just for the deposit and the actual price is £275.

As far as I know, Ebay do keep a close eye on the holiday rentals pages for this type of thing and may pull the plug on it, as you are by-passing their commission (you should be paying it on the full £275, not on the £60).

I was reading recently about someone who had their membership cancelled for this type of thing, a real problem because they lost all their positive feedback. I know you only have 15 feedbacks so it wouldn't be such a major problem for you, but I thought I ought to warn you....

[Hells Bells]

OK thanks, I copied another ad, I have normally just put a buy it now price for the whole thing, but as the dates, times and prices are different, it was too complicated for one ad. I didn't auction last time at all, only put the ad on the site as recommended by someone on here (Welsh?) I'll watch out for hassle and withdraw the ad if necessary.