Seasonality and Pricing Strategy on Airbnb: How to Maximize Revenue

Setting the right price on Airbnb is an art. Too high and no one is booking. Too low and you lose money. And then there's seasonality – summer in Prague is different than January in Brno.

In this article, I'll show you how to set your prices in such a way that you maximize returns all year round.

Pricing Strategy Basics

Key Metrics

ADR (Average Daily Rate): Average price per night. The higher, the better - but watch out for occupancy.

Occupancy Rate: Percentage of occupied nights. 100% is ideal, but not at any cost.

RevPAR (Revenue Per Available Room): Revenue per available night. ADR x Occupancy.

Example:

• ADR: 2,000 Kč, Occupancy: 60% = RevPAR: 1,200 Kč
• ADR: 1,500 Kč, Occupancy: 80% = RevPAR: 1,200 Kč

Both variants have the same RevPAR, but higher occupancy means more work (cleaning, communication).

Factors affecting price

External:

• Season (summer, winter, holidays)
• Local events (festivals, conferences)
• Competition
• Economic situation

Internal:

• Property quality
• Ratings and reviews
• Location
• Amenities

Seasonality in the Czech Republic

High season

Summer months (June–August):

• Highest demand in tourist locations
• Prague, Český Krumlov, Brno
• Prices 30-50% higher

Christmas and New Year's Eve:

• Peak in mountain areas
• High demand even in cities
• Premium prices (i double)

Easter:

• Shorter but intense season
• Especially countryside and monuments

Middle season

Spring (April–May):

• Growing demand
• Conferences and corporate events
• Prices slightly above average

Autumn (September–October):

• Still strong tourist season
• Vintage in Moravia
• Stable demand

Low season

Winter (January-March):

• Lowest demand in cities
• Exception: ski areas
• Prices 20-40% lower

November:

• Transition period
• Lower occupancy
• Need active promotion

Dynamic pricing

What is dynamic pricing

Automatic price adjustments according to:

• Current demand
• Competitive prices
• Remaining time until booking
• Historical data

Dynamic pricing tools

Airbnb Smart Pricing:

• Free, integrated in the platform
• Basic algorithm
• Tendency to lower prices

Beyond Pricing:

• Advanced Algorithm
• Local data and events
• Payment percentage of bookings

PriceLabs:

• Flexible settings
• Multi-platform support
• Monthly fee

Wheelhouse:

• Predictive analytics
• Detailed reports
• Medium price category

When to use dynamic pricing

Suitable for:

• Multiple properties
• Variable demand
• Lack of time for manual management

Less suitable for:

• One property
• Stable demand
• Specific segment

Manual guest pricing strategy

Basic price levels

Define:

• Minimum price (never below this threshold)
• Standard price (regular day)
• Weekend price (+10-30%)
• Seasonal maximum (+30-50%)

Price calendar

Create a yearly plan:

Period	Price (% of standard)
January–February	70-80%
March	85-90%
April–May	100%
June	115%
July–August	130-150%
September–October	100-110%
November	80-90%
December (Christmas)	150-200%

Adjustments by events

Watch the local calendar:

• Festivals (Colours of Ostrava, Rock for People)
• Sports events (hockey, football)
• Conferences and fairs
• Public holidays

How to react:

• Increase prices 2-3 weeks in advance
• Set a minimum length of stay
• Adjust cancellation rules

Discounts and special offers

Discount types

Discount for longer stay:

• 7+ nights: 10-15% discount
• 28+ nights: 20-30% discount
• Reduces work (less cleaning, check-ins)

Last-minute discount:

• Last 7 days before free date
• 10-20% discount
• Better occupied night than empty

Early bird:

• Book 60+ days in advance
• 5-10% discount
• Guaranteed occupancy

New guest discount:

• First X bookings
• Building reviews

When to offer discounts

Yes:

• Low season
• Vacant dates
• New ad (building reviews)

Not:

• High season
• High demand dates
• Events and holidays

Competitive analysis

How to analyze the competition

Identify competitors:

• Similar location (within 1 km)
• Similar size and amenities
• Similar rating

Watch:

• Prices (basic + seasonal)
• Occupancy (how quickly the calendar fills up)
• Reviews (what they praise, what they criticize)

How to stand out

If you are more expensive:

• Emphasize premium amenities
• Better location
• Superior services

If you are cheaper:

• Appeal for value for money money
• Target price-sensitive guests
• Compensate with reviews

Practical tips

1. Test prices

A/B testing:

• Change prices gradually
• Track impact on bookings
• Search for optimum

2. Track occupancy

Rules:

• Under 50% Occupancy = Prices Too High
• Over 90% Occupancy = Prices Maybe Too Low
• Target: 70-80% with Max RevPAR

3. Plan Ahead

Annual Plan:

• Set seasonal prices for the whole year
• Adjust according to current situation
• Respond to events

4. Don't ignore costs

Include in the price:

• Cleaning
• Energy
• Wear and tear
• Platform fees (3%)
• Local fees
• Tax

5. Value, not just price

Guests pay for:

• Experience, not just accommodation
• Comfort and cleanliness
• Location and availability
• Your care and communication

Summary: Pricing strategy

Basics:

1. Know your costs and minimum
2. Follow the competition
3. Respect seasonality

Optimization:

1. Dynamic pricing or regular adjustments
2. Discounts for longer stays
3. Premium prices for peak dates

Measurement:

1. Track RevPAR, not just ADR
2. Test and modify
3. React to the market

The right pricing strategy is a balance between occupancy and price. It's not about always being full - it's about maximizing total revenue with a reasonable amount of work.

> Czech-law scope and editorial note: Legal, tax, accounting, tenancy, service-charge, condominium, metrology, insurance and data-protection statements in this article refer to the Czech Republic and the rules effective for the relevant date. Figures and examples are illustrative, not legal or tax advice. Verify current rules with the relevant Czech authority or a qualified adviser.