Revenue Management Setup

Configure Smart Dynamic Pricing for Your Hotel

Are you leaving money on the table with flat room rates?

Most hotels lose 15-25% potential revenue by not adjusting prices based on demand. This free tool helps you set up smart dynamic pricing in under 5 minutes.

Increase RevPAR by 15-25% Capture peak demand pricing Optimize occupancy-based rates
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Room Types
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Property & Demand
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Time Factors
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Room Types & Inventory

Add your room types - this determines your total inventory and base pricing

Why we need this: Your room types and pricing form the foundation of revenue management. The system uses your base rate to calculate occupancy-based pricing slabs, and inventory size determines how aggressive your pricing can be. Larger inventory allows more gradual price increases.
Add all your room types with their count and base price. The lowest priced room becomes your base rate for pricing calculations.

No room types added yet

The highest price you want to charge at peak occupancy

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Frequently Asked Questions

What is dynamic pricing in hotels?
Dynamic pricing means adjusting your room rates based on demand, competition, and other market factors—rather than keeping the same price year-round. When demand is high (weekends, festivals, events), rates go up. When demand is low (monsoon, weekdays), rates come down to attract bookings. Airlines have done this for decades, and hotels that adopt dynamic pricing typically see 15-25% higher revenue.
What is RevPAR and why does it matter?
RevPAR (Revenue Per Available Room) = ADR × Occupancy Rate. It's the single best metric to measure hotel revenue performance because it accounts for both your pricing AND how many rooms you're selling. Two hotels can have 80% occupancy, but the one with higher ADR has better RevPAR. This tool helps you optimize RevPAR by suggesting rates for different occupancy scenarios. Learn more in our RevPAR Guide.
What is BAR (Best Available Rate)?
BAR is your standard published rate for a given room type and date—the baseline price before any discounts or promotions. All other rates (corporate, OTA promotions, packages) are typically set relative to BAR. This tool helps you determine optimal BAR rates based on your costs, competition, and market position. Your BAR should be the same across all channels (rate parity). Learn more in our BAR Guide.
How do I set different rates for different occupancy levels?
Occupancy-based pricing is a core revenue management strategy. When occupancy is low (below 40%), offer lower rates to drive bookings. As occupancy increases, raise rates—guests booking when you're 80% full should pay more than those booking when you're 30% full. This tool generates a rate ladder showing suggested prices at each occupancy bracket based on your inputs.
What factors should I consider when setting room rates?
Key factors include: (1) Your costs (fixed costs, variable costs per occupied room), (2) Competitor pricing in your market, (3) Demand patterns (day of week, season, events), (4) Your occupancy targets, (5) Guest segment (business vs leisure), (6) Lead time (last-minute vs advance bookings), (7) Channel (direct vs OTA—factor in commission). This tool helps you structure all these considerations.
How often should I update my room rates?
Best practice is to review rates daily for the next 7 days, weekly for the next 30 days, and monthly for 60-90 days out. At minimum, update rates when: (1) You hit occupancy triggers (e.g., 60% sold), (2) Competitors change rates significantly, (3) New events are announced in your area, (4) Season changes. Most successful hotels adjust rates 3-4 times per week for near-term dates.