When running a holiday letting business, one of the most important factors to think about is setting your holiday let rental rates.
Whether you’re new to holiday letting or are an experienced owner, getting the pricing right can be a minefield. We know by charging premium prices for your holiday lodge it could reduce customer demand for bookings. Meanwhile, pricing your property at a discounted rate could impact your profit margins.
At Lake District Lodge Holidays we have an industry leading revenue management system that we use to maximise income for our owners, see below for more information…
What is Income Maximisation?
It is an advanced Revenue Management system, designed by leading pricing and revenue management specialists. By opting into Income Maximisation our Property Owners give us the discretion to vary their agreed prices up to a certain percentage. We will increase or decrease prices dependent on how well similar properties in the area are selling, trends in website searches and previous years’ data.
This system is managed by a team of experts who review every recommendation before prices are changed.
It essentially takes the hassle of constantly monitoring and updating pricing from our Owners, as we will do it for you instead.
What are the different options?
Lake District Lodge Owners have four choices of different levels of Income Maximisation.
Super Income Maximisation
This is our most popular option and the one that we would generally recommend. We can increase your agreed rental price without limit, or decrease it by up to 20% (no more than 10% in low season).
Full Income Maximisation
We can increase your rental price without limit, and decrease the price by up to 10%.
Partial Plus Income Maximisation
You give us the discretion to vary your agreed prices upwards (without limit) or downwards within 4 weeks of departure date (limited to 10% discount)
Partial Income Maximisation
This allows us to increase your rental price by up to 25% where demand allows, and we would contact you about any other pricing initiatives.
Fixed Income Maximisation
This allows you to keep your prices static, with no increases and no decreases.
Which option is best for me?
Which type of Income Maximisation you choose is entirely up to you. However, the Super Income Max option is the fastest-growing option for a reason! And can generate approx 40% more owner revenue and 43% more bookings.
We do also offer our owners the option to be on Fixed Pricing which is where the rental price is set by you. However, this option offers much less flexibility as the owner will need to monitor and adjust prices according to booking demand.
When partnered with offering short breaks throughout the year to guests, this popular way of pricing can offer our owners the chance to earn much more than their standard rental price. Click here for information about Short Breaks options.
Want to know more? Get in touch!
Please contact the local team to chat through the above options in more detail and also discuss other options to help increase bookings, by phoning 015394 46748. Alternatively you can email us on owners@lakedistrictlodgeholidays.co.uk
