Clear definitions and insights into Pricepoint’s pricing levels and customization options.
Pricepoint uses AI to provide real-time, dynamic pricing to find the most optimal price that balances Average Daily Rate (ADR) and occupancy. The goal is to maximize revenues by dynamically adjusting prices within a predefined framework.
What Is a Framework?
A framework is the price range within which Pricepoint operates. It includes:
- Minimum Price: The lowest value Pricepoint can recommend.
- Maximum Price: The highest value Pricepoint can recommend.
- Starting Price: The value from which Pricepoint begins optimizing. While starting price influences early adjustments, Pricepoint ultimately finds the optimal price within the range over time.
You can manage frameworks in Settings > Rate Setup. They can be customized by room type, month, and even weekdays vs. weekends. In Settings > Preferences, users can choose whether to manage weekend frameworks independently or derive them from weekday settings.
Customizing Frameworks for Special Events
For unique occasions like annual events, users can set Event Prices in Settings > Events. For example, a typical framework might be $100–$200, but for an F1 race, it could change to $300–$800.
Manual Framework Adjustments
Users can override the default framework by setting a manual framework via the calendar. This allows temporary adjustments to the Starting Price, Minimum Price, and Maximum Price for specific dates or periods.
Manual framework adjustments are intended for short-term exceptions or specific days where unique circumstances require pricing outside the default parameters set in the Rate Setup.
Avoid Overuse
- Extensive use of manual framework adjustments is discouraged as it may indicate that the default framework needs revision.
- Frequent changes can reduce Pricepoint’s efficiency and effectiveness. If you find yourself frequently adjusting the manual framework, consider consulting Customer Success to review your pricing strategy.
For additional guidance, refer to related articles on Demand Levels or Rate Setup to fine-tune your framework effectively.
Price Levels in Pricepoint
-
Framework (Default Prices):
Defined in Rate Setup, these include starting, minimum, and maximum prices, customizable by month, weekdays, and weekends. -
Manual Framework Adjustments:
Applied directly to the calendar for specific dates or ranges. Manual framework adjustments override default framework that was created in Rate Setup. -
Event Prices:
Configured in Events & Holidays for special dates with significant pricing differences. -
Price Recommendations:
The optimal prices suggested by Pricepoint after analyzing historical and real-time data.
Example in the Calendar
- Small Price: The starting price.
- Big Price: The recommended price.
- Edit Button: Displays the minimum and maximum prices for a specific date.
Important!
Manual Prices always take priority. For instance, if the default price is $322 and a manual price of $350 is set, Pricepoint will use $350 for calculations.
Related Articles
- Rate Setup: Setting up minimum and maximum Prices
- Manual Prices: How to manually manage prices for specific dates?
- Removing Manual Prices: How to remove Manual Prices?
- Setting up Events and Holidays: Setting up Events and Holidays
By understanding and managing these price levels, you can leverage Pricepoint’s AI-driven approach to optimize your property’s revenue effectively.