How An Airbnb Revenue Manager Can Double Your Listing's Occupancy

An Airbnb Revenue Management Client Case Study

 If you invested in an Airbnb for financial freedom… but instead you’re stuck refreshing your calendar, stressing over empty nights, and wondering why your property isn’t making what you expected—this is for you.

Because the truth is, it’s not just bad luck or the market… there are specific reasons your Airbnb isn’t performing.

We know this because as Airbnb revenue managers, we constantly help hosts turn underperforming listings into consistent cash-flowing assets—without them stressing and guessing.

Read on to learn what might be holding your listing back—and how an Airbnb revenue manager can make sure your Airbnb actually works for you, not against you.

Client Backstory

How did you connect with this Airbnb revenue management client?

They were a previous Airbnb coaching client that we took live a couple of years ago. They heard or our Airbnb revenue management service, and wanted assistance in managing the revenue and increasing their bookings.

What was their Airbnb like in terms of rank placement, guest ratings, and such?

It's a very nice cabin. When we started, they had 140 reviews with an average of 4.91 stars. Their Airbnb had achieved guest favorite status - which is huge. It was great property with great pictures, but unfortunately they had low occupancy. Their cabin was only booking five to ten nights per month... and we all know that's not good for cash flow.

So, the pain point was they had low occupancy and that's why they needed an Airbnb revenue management expert?

Correct.

Expert Changes for Maximum Airbnb Revenue

What changes did you make to their listing and pricing when you took them on as a client?

So the first step was optimize the listing. Which means going into the listing and examining all of the setup features to see if there were any types of problems or anything holding the listing back. I did find a number of things: we fixed their instant booking settings and we fixed their good track record settings. We did some analysis, and found that the property wasn't getting bookings because it was showing consistently on page two or three in search results.

Airbnb Revenue Management Results

What were the results of you taking over his Airbnb revenue management when it comes to occupancy?

After our listing optimization, their Airbnb is now showing consistently at the top of page one. As a result of being at the top of page on of Airbnb search, the property is getting 20,000 first page impressions per month compared to similar listings in their market that are receiving about 1,500 page impressions per month.

Wow!

Prior to us taking over revenue management, the client's previous month's occupancy was at 30%. The following month after revenue management and optimization, their occupancy went from 30% to 60%, and in our second month of management, that 60% increased to 88% occupancy.

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You Don't Have to Decrease Price to Increase Occupancy

Did you acheive these amazing results by dramatically lowering their prices to boost occupancy?

So that 30% to 60% to 88% occupancy was achieved over a two month period while we were increasing their base price in Price Labs incrementally for a total of a 20% base price increase from when we took over managing their Airbnb revenue.

That's fantastic! So most people just slash prices to get occupancy, and instead you made some changes and actually increased the clients' nightly rates, making them more money and giving them more occupancy?

Yes and no. So the base price was increased 20%. One of the means by which we were able to increase the occupancy was to make surgical targeted discounts based on near-term availability and making sure to discount to find the right buyer to get those nights sold. With Price Labs or any third-party dynamic pricing software - you can't just set it and forget it. Just setting your base price or raising or lowering your base price is one step, but the intricacies of Airbnb revenue management are finding the right price to get a buyer for as many nights as possible, so that might involve some surgical discounting and is very much a hands-on process.

How to Harness the Airbnb Algorithm to Increase Booking Velocity

That makes sense. I know, the Airbnb algorithm values higher occupancy because they want to promote the listings that are booking the most. So the more your Airbnb books, the more they promote you, the higher you rank, the more people see it, the more people book, the higher your price goes. It's a beautiful feedback loop.

That is often referred to as booking velocity. Booking velocity is the speed at which your listing is booking, and that is rewarded in the Airbnb algorithm with higher search placement at further out dates, which means that you can get those higher priced nights that are further out in your calendar.

That's a great illustration of the intricacies and the expertise involved in optimizing someone's listing for optimal revenue. Awesome.

Can you do revenue management for anyone in any state or country?

Yes I can. In fact, we have, revenue management clients in other countries, including Australia. What we do from a technical pricing perspective, the tools we impliment, and how we coach hosts to be better hosts, can be done anywhere. It is a partnership we develop with each host - every person and property is different.

It certainly helps to start with a decent product, meaning a good Airbnb listing with postive reviews. We can always coach the client in areas that they might want to improve on such as adding amenities or improving photos. From there, we can optimize settings, optimize pricing, and we can continue on an on-going basis to support that host in their journey to success.

We help clients improve their hosting capabilities through technologies, through AI integrations, and through things like cost segregation analysis. As Airbnb revenue managers, we support our clients as people with specific goals, such as: to be more profitable, to expand their portfolio or to spend less time on their computer and more time with their families and friends.

Who Makes an Ideal Airbnb Revenue Client?

That makes a lot of sense. Who is your ideal client?

My ideal client is someone that has a existing, quality Airbnb property with good reviews. They might not just have the time or inclination to do the things necessary to generate maximum revenue. Often people will start with the best intentions, and then over time realize that even if they had set up. dynamic pricing, they realize over time, "Wow, I haven't looked at that very closely in the last two weeks or month, or, I don't like to fool with that. And so I don't." Again, that's back to you can't set it and forget it and be successful as an Airbnb investor. I enjoy working with people that we can help save time and increase their revenue by doing the things they can't or don't want to do.

Why are you passionate about being an Airbnb revenue manager?

Well first, I just love the numbers! I have a degree in economics and an MBA. I just love the whole supply and demand magic of Airbnb revenue management. The algorithm rewards those who understand it. I enjoy exploring understanding it, and I enjoy helping people. If the numbers are not their joy, they can offload that piece to me for management. That part of the business that isn't for everyone.

lot of times what people love is interacting with their guests or buying the property and decorating the property. And well, they want their investment to make money. It would be awesome if they could delegate that to someone else where they don't have to deal with the things they don't like and can actually make more money than when they were trying to handle it all themselves. That's what I do and get joy from!

Book a free 30-minute Airbnb revenue management discovery call with us today! We would love to explore the best ways to boost your Airbnb's page rank, engagement, booking velocity, and (of course) revenue.

Airbnb Revenue Management Experts Culin and Danielle Tate