Revenue management for short-term rentals: our techniques
Dynamic pricing is the most powerful lever for increasing your rental income without changing your property. Here are the principles we apply at SmartStay to optimise rates across our portfolio.
Why static pricing is costly
An owner who sets rates once a year — typically benchmarked against neighbours — leaves an average of 20–35 % of potential revenue on the table. In peak season, prices can be undervalued by 40 % relative to actual demand. In low season, they may be too high, leaving the calendar empty. Static pricing structurally creates alternating periods of over- and under-pricing that cancel each other out poorly.
The variables we analyse every day
Our revenue management system integrates in real time: occupancy rates for comparable properties in the area, local events (competitions, festivals, trade shows), platform search trends, 7-day weather forecast, average booking lead time, and your own calendar fill rate. These data feed an algorithm that adjusts rates daily — sometimes multiple times a day for high-demand weeks.
Managing low-demand periods: an opportunity
Unoccupied nights have zero marginal cost but a real opportunity cost. Our low-demand strategy: moderate rate reductions to capture last-minute bookings, extending minimum stay requirements to reduce cleaning costs, and activating additional distribution channels (Booking.com last-minute deals, targeted promo codes). A property running at 60 % occupancy can reach 75–80 % with these adjustments.
Results across our portfolio
For properties in Savoie and Haute-Savoie, implementing active revenue management increases gross revenue by 18–32 % on average in the first year, for equivalent properties. At resorts like Tignes or Val d'Isère where demand is highly price-elastic, gains can exceed 40 % compared to fixed-rate management. These figures are net of our commission.
Discover how we optimise rates for your property →