Rate shopping is automatically watching your competitors' prices and your own across channels to decide with data. A tool scrapes the OTAs and tells you who is dearer or cheaper for each date. Without this eye, setting prices is blindly guessing what the hotel next door is doing.
Example The rate shopper flags that the rival hotel dropped 20 euros for next week's congress.
Rate shopping is the practice of automatically monitoring your hotel's prices and your competitors' prices across different sales channels, such as OTAs and your direct website. A specialized tool tracks this data in real time to show you who is more expensive or cheaper for each date. For example, a resort in Cancun might discover that Booking is 20 dollars per night more expensive than Expedia for the same room type.
How does rate shopping work?
Rate shopping works through software that connects to your competitors' hotel sales platforms and your own, extracting available prices for each date and room type. The system then compares those values and generates reports showing price differences. You do not need to calculate anything manually, the tool will alert you if your rate is above or below the market on a specific channel.
What is rate shopping used for and how is it different from setting prices without data?
Rate shopping is used to make pricing decisions based on real data about your competition, not on gut feelings. Unlike adjusting rates only by intuition or by the day's occupancy, rate shopping shows you exactly how your price compares to similar hotels on each channel. This prevents you from losing bookings by being too expensive or leaving money on the table if you are the cheapest without knowing it.
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