Here is the transcript of the video:
“Hello and welcome to the J'poster Complet channel, the channel that helps seasonal rental owners and seasonal accommodation managers become serene and ultra-profitable entrepreneurs. Today, I want to dispel a preconceived idea that often comes up: that of thinking that everything is fine with my prices. Yes, you may do just fine, but there is a chance that this is not entirely true. For what ? Because I'm going to explain the two key points that indicate your price may be too low, and why it can cloud your financial performance.
If you find my work interesting and would like to see daily videos, please like this video. This helps me support the channel, grow it and continue to produce this regular content.
The first element that can indicate a price that is too low is to have an occupancy rate regularly above 80, 90 or even 100%. This may be a sign that your rates are below their true value. Either you are an expert in revenue management and this explains your performance, or you are a victim of the overconfidence effect when you think you have mastered a subject when in reality, this is not the case.
The second indication of prices being too low lies in market data. If you observe that your occupancy rate is much higher than that of the city on a platform like Herediana, for example, this can also be an important signal. You might be seen as a bargain by travelers, but you don't necessarily want to be the best deal in town. You deserve fair compensation for your service, don't you?
It's important to ask questions, analyze market data, monitor the competition, and even do some pricing experiments to see how travelers react to a price increase. If your rate is consistently attractive, it may be time to review your strategy to achieve greater profitability.
That said, in some situations, being slower to fill than the market can make sense, especially during periods of high demand. For example, if you notice that the city is already at 50% occupancy rate while you are at 30% for the same dates, this could be strategic. You could aim to keep availability so that you can adjust your rates upwards later, thereby maximizing your income.
I hope these tips will help you identify ways to optimize your turnover. Often this is the hardest problem to spot because calendars are full and it makes it seem like everything is fine. If you find yourself in this situation, consider taking action and taking steps to improve your financial situation. If you would like to be supported in this process, I invite you to make an appointment with me via the link in the information bar.
In the meantime, you can also download our free bonus on the six mistakes to avoid when setting your rental rates. This will prevent you from falling into certain traps that I regularly address on this YouTube channel.
I wish you an excellent day or evening, depending on when you watch this video, and I'll see you tomorrow for a new topic! 😊 »