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We model local demand for each night by modeling hotel prices, flight data, conference attendance & more. God forbid you could just set what you think is a rea
by venutip 12y ago
We model local demand for each night by modeling hotel prices, flight data, conference attendance & more.
God forbid you could just set what you think is a reasonable price for your rental, and have somebody else come along and think your price is reasonable, too.
- pbreit 12y agoAgree. I think the modeling is fine but it always seems to neglect consumer preferences for slower moving prices.
- rahimnathwani 12y agoCustomer preferences for slower moving prices are just like customer preferences for lower prices. They must be traded off against customer preferences for availability. If prices didn't move then the market wouldn't clear, and some capacity or demand (at the current price) would be wasted.
- pbreit 12y agoI said "slower moving" not "fixed".
- rahimnathwani 12y agoYou did. Perhaps my last sentence should have read: If prices didn't move fast enough in response to changes in demand/supply then the market wouldn't clear, and some capacity or demand (at the current price) would be wasted.