Revenue management is the buzz in short-term rentals for good reason. Pricing is the key to filling your calendar while maximizing return on your asset.
Every market—Scottsdale, Phoenix, Sedona, or beyond—has its quirks. There are high seasons, slow seasons, and special events that drive demand. But the goal is always the same: find the balance between occupancy and nightly rate.
You could get 100% occupancy tomorrow by setting your nightly rate to $1. Or get zero occupancy by setting it at $1 million. The challenge is finding the “Goldilocks price”—not too high, not too low, but just right.
Dynamic Pricing Tools Are the Starting Line
Platforms like PriceLabs or Wheelhouse help set a baseline and adjust for demand spikes. But real success requires more than “set it and forget it.” To win, you need:
- The right comp set for benchmarking
- A solid base rate strategy
- Adjustments for sporting events, holidays, and local trends
Know Your Market’s Booking Window
One of the most overlooked factors is the average booking window.
For example, if your market’s average is 40 days:
- Beyond 40 days → Guests are willing to pay more and stay longer (require a 4+ night minimum).
- Inside 40 days → Flexibility wins. Lower prices and minimum nights to capture last-minute demand.
Think of it like an auction—but in reverse. Instead of the price going up, it slowly drops until someone books. Each day beyond the average booking window, drop the price 1% until it fills.
Guests can “wait for a deal,” but the risk is the property gets booked first. That’s supply and demand at work.
Don’t Celebrate Too Early
Many owners brag when their summer calendar is fully booked in December. The reality? They probably left 30–50% on the table.
Every extra dollar squeezed from your listing is pure profit. This is the cream that raises your ROI and justifies your investment.
Why Professional Revenue Management Wins
Lots of companies claim “30% more revenue” with dynamic pricing. Maybe that worked five years ago. Today, you’re competing against:
- More listings than ever
- Sophisticated revenue managers
- Property managers like Arizona STR Management who take pricing seriously
Think of it like finance. Amateurs may trade stocks, but hedge fund managers outperform because they’re professionals. Yes, they charge fees—but the net return still crushes the average investor.
At AZSTRM, we bring that same professional edge to your STR. Our proactive pricing, local expertise, and guest-first systems ensure you make more—even after our cut.
Final Takeaway
Revenue management isn’t just a buzzword—it’s the difference between average returns and market-beating profits.
Contact Arizona STR Management today and Slam Dunk your revenue goals this year.
