Nord Collection increased its revenue and average length of stay with PriceLabs

REVENUE MANAGEMENT

Nord Collection increased its revenue and average length of stay with PriceLabs

Nord Collection uses PriceLabs with Guesty to distribute dynamic prices and min-stay to all channels like Airbnb, Booking.com, HomeAway, etc.!

Why it matters: Christian Eriksen, one of the Co-Founders of Nord Collection quickly realized that a substantial proportion of their costs were one-time costs associated with a booking. Hence, a 1-day booking is almost as expensive for them as a 7-day booking.

A short length of stay booking not only has fixed costs and associated hassles of check-in/check-out, but there’s also an indirect cost that many don’t consider. Short length of stay bookings generate little revenue but block several other possible stays. E.g., a 1- night booking from Saturday to Sunday will block an extended stay over the weekend.

Top 3 Core Objectives: They wanted to automate pricing operations and set and distribute minimum stay settings across all channels, bringing efficiency.

Distribute dynamic prices: Distribute dynamic prices to all channels like Airbnb, Booking.com, HomeAway, etc.
Distribute minimum stay settings: Maintain consistency by distributing minimum stay settings to all channels
Increase length of stay: Reduce costs by increasing the average length of stay

Innovators Mentioned

Christian Eriksen

PriceLabs

Christian Eriksen

Co-Founder of Nord Collection

Christian Eriksen

"Using the features of PriceLabs, we managed to grow our average length of stay from 3.1 nights to 4.3 nights, an increase of almost 40%. In the same period, we grew the revenue of the same listings with 10%+, even though we had lesser (but longer) stays."

Christian Eriksen

Co-Founder of Nord Collection

👍 Co-Founder of Nord Collection Christian Eriksen said that revenue increased despite less but longer stays:

"Using the features of PriceLabs, we managed to grow our average length of stay from 3.1 nights to 4.3 nights, an increase of almost 40%. In the same period, we grew the revenue of the same listings with 10%+, even though we had lesser (but longer) stays."

⚖️ The selection process: During their research process, Christian Eriksen evaluated PriceLabs's product differentiators, customer support, and holistic value as a strategic partner and ultimately decided that PriceLabs was the best fit solution:

Co-Founder of Nord Collection Christian Eriksen said, about their decision: "Compared to other price optimization services, PriceLabs offers a wide spectrum of functionalities, e.g., the possibility of setting dynamic rules for the minimum number of stays."

📈 The results: PriceLabs helped Nord Collection increase its revenue while increasing the average length of stay.

Grew their average length of stay from 3.1 nights to 4.3 nights
Grew the revenue of the same listings by 10%+
Big increase in revenues and a smaller workload