Welcome to our post-webinar recap!
If you missed out on the live unveiling of our newest tool, Revenue Estimator Pro, don’t worry because we’ve got you covered.
On February 22nd 2024, Thibault and Becca took the stage to introduce this game-changing solution designed to revolutionize decision-making in the short-term vacation rental business.
Whether you’re a seasoned investor, a property manager, or simply curious about maximizing revenue potential, Revenue Estimator Pro provides instant revenue estimates for properties worldwide. From average daily rates to seasonal occupancy trends, this innovative tool equips you with the data you need to make informed choices swiftly and confidently.
Scroll down to our FAQ section below as we delve into the most pressing questions raised during the webinar, ensuring you’re fully briefed on how Revenue Estimator Pro can elevate your property endeavors.
Access the Webinar Slides & watch the Replay on YouTube
Webinar Q&A
> Data Source and Algorithm
Q. Is the revenue estimate based on web scraped data or direct booking data of subscribers?
Revenue Estimator Pro works on Airbnb scraped data. We process this data using various proprietary algorithms to arrive at revenue numbers at the property level.
Q. Is the tool only looking at AirBnB data? I know there are some markets where most of the rentals are on VRBO and not necessarily AirBnB.
Revenue Estimator Pro currently only looks at Airbnb data. We plan to add VRBO data as well in future. When we estimate Airbnb revenue, it indirectly also accounts for revenue from other OTAs/booking portals because those dates show as booked.
Q. How do you deal with the revenue if most of the bookings come over a different platform, like booking.com if you only consider the bookings from Airbnb? Is the revenue shown only the revenue from Airbnb or do you calculate the revenue including the bookings from other platforms?
The way we estimate the revenue for a given listing is by looking at dates that are booked, and what were the prices we saw for that listing before it got booked. So if that listing is also listed on other platforms like VRBO, or Booking.com and it got booked there, our data will show that it got booked, and hence we will account for that in our revenue calculations.
Q. How does the black box algorithm pick comps and then estimate revenue? I see there are filters to aid in comp selection.
First, you type in your property address and bedroom category. We then pull in the nearest 350 listings (both active and initiative) in a radius of up to 15km around your address. Once have this data of your nearby listings, we estimate revenue for every month, by considering listings that are mostly available to book and are not significantly blocked. You can then refine this estimate by filtering your CompSets. When you do apply the filter, we show you how these selected properties compare to the original CompSet that we selected.
Q. How are the estimates calculated when there is not a lot of data? Is it accurate when there are few or no properties?
Before you create the estimate, we show you the number of listings in that area. We try to get a certain number of listings in the 15km area, if we don’t reach the threshold, we increase our radius. Even then if we don’t have enough properties, then the estimate not be as accurate. We would then recommend paying closer attention to revenue from the few properties.
Q. After you get the data, are you projecting revenue based on an average of these comps? Are you introducing any other factors? Eg: current market demand forecast?
We currently only have estimates based on past data, and we are not extrapolating it using any factors.
> Estimates Details and Accuracy
Q. What is included in estimates? Daily rate only? Does it include the cleaning fees, taxes, and extra fees?
Our estimates are derived from Airbnb’s displayed nightly rates, excluding taxes, cleaning fees, and additional charges. Note that some hosts might include commissions or channel fees in these rates.
Q. In the example shared, the revenue range is 65k to 140k. Really large range. Is that right?
Yes, that’s a large range, which suggests that there is a lot of variation between properties that are not performing well, versus those performing well. In this case, it would be a good idea to pay attention to comps. Amenities, location, reviews etc. can make a huge difference in the revenue you can earn.
> Revenue Estimator Pro versus Market Dashboard / Dynamic Pricing
Q. Why does the Revenue Estimator not show the homes in my area the same way the Market Dashboard does?
For every revenue estimate that we create, we only consider the bedroom category that you selected. If the homes do not have the same bedroom categories, they will not appear. In case you see any homes missing, please do let us know at [email protected]
Q. Are the estimates per property the same as we would get for the same property if it was in a comp set from a Market Dashboard?
Yes the revenue for a given property will be the same. The overall estimate however would differ slightly as the calculation methodology is different.
Q. Are we able to use Revenue Estimator to adjust current listings more specifically? I am familiar with setting your base rent selection, is that how you would adjust current listings?
This tool is different from our Dynamic Pricing offering. We do not recommend using this tool to adjust your base prices. Our Dynamic Pricing tool has a feature called “Base Price Helper” which you find in your review prices dashboard.
> Usage and Functionality
Q. Can we only look at data from comp sets active for 300-plus days or longer?
Yes, you can use the active nights’ filter for this!
Q. Is this tool applicable for MTR (Mid-term rental) data or only for STR (Short-term-rentals)?
Currently, it is more applicable for STR than MTR.
Q. Will you offer API access to the estimator?
Yes. Please email [email protected] for more information.
> Pricing, Plans, and Discounts
Q. Will there be any discount offered if you are already using PriceLabs for multiple properties?
Yes. Our yearly plans have 17% discounts. Please write to us at [email protected] if you have any specific requirements and we’ll see how we can help.
Q. Can you cancel at any time?
Yes. But be sure to cancel before your billing date.
Q. Once I have added a property, how much can I adjust the parameters and for how long?
Each estimate is available for 1 month for adjusting – after 1 month it will be view-only access.
Q. How long can I tweak and fine-tune the two free estimates?
For every estimate, we pull the data once at the time of creating the estimate. Once you have created an estimate, you get 1 month to play around and finalize the estimate. After that, you can view the estimate, and download PDF/CSV exports anytime
Q. Does changing the filter count as one estimate?
Pulling data for a given address, and a bedroom category counts as 1 estimate. Once you have the dashboard, you can play around with it for 30 days, before it turns to a ‘view only’ access.
> Exporting and Sharing
Q. Is there a way to export the comp set into an excel sheet to show investors the actual comps we are using to determine their estimated revenue?
Currently there is no way, but we understand that this can be an important feature. We will analzye this and see how we can incorporate this in our tool.
Q. Is ‘powered by Pricelabs’ there always?
Yes, it will always show.
> Seasonality
Q. How do you deal with closed time periods? Can PriceLabs distinguish between booked and closed? Or does the system consider a closed period as fully booked?
Our algorithm can detect booked vs blocked/closed dates, and it is pretty accurate at an aggregate level. For every month, we only consider listings that are not significantly blocked/closed and are mostly available to book.
Q. I use Market Dashboards extensively as an investor and manager to run analyses on investments and projections for customers. Many of my markets are seasonal. I may rent through various platforms, Airbnb, VRBO, google, and direct bookings, 6 months out of the year, and rent to travel professionals through furnished Finder or Zillow the other 6 months. Should I take the most lucrative 6 months and add what I think I will earn off the STR platform to come up with my estimate?
Yes. Our revenue estimates assume that you will operate on Airbnb/other OTAs all year round. If you think you will not operate for certain months, you can remove the revenue estimates for those particular months from an STR estimate point of view.
Have more questions? Write to us at [email protected]
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