Today we launched Smart Pricing, a tool to help owners set the correct price for their vehicle. As you have likely noticed, interest and demand on Yourdrive can fluctuate a significantly on a daily, weekly and monthly basis. Similar trends can be seen in the greater New Zealand car rental industry. Demand is based on a number of factors, including seasonality, events, vehicle location, and vehicle type. Your vehicle’s pricing should align with interest and demand to maximise bookings. With our intelligent new Smart Pricing feature, your pricing will automatically adjust based on demand and interest - you set your minimum and maximum price limits and then sit back and earn. Easy!
In the past, we had hourly, daily and weekly prices which were set by owners, sometimes with your expert assistance. We recommended these follow a 0.25:1:5 ratio, however, often this was skewed in order to influence the length of bookings preferred.
In the past, we also had fixed prices year round. While we’ve recommended you adjust these as the season's change, reducing your prices in winter and increasing them in summer, we recognise that timing this so that your listing is price fairly year-round is difficult.
With our new pricing model, you have now two options with many variations.
- Smart Pricing
- Manual Pricing
With Smart Pricing, your daily price will automatically adjust to keep your listing competitive as demand changes. To help you get bookings, your price will move closer to your minimum price when demand is low. Similarly, to help you earn more, your price will move closer to your maximum when demand is high. The daily rate will always stay above your set minimum and below your set maximum. You can turn Smart Pricing on and adjust your minimum and maximum prices in your vehicle settings.
When you turn Smart Pricing on, the price for every day on your calendar will be set based on our algorithm. This algorithm is based on data and has been rigorously tested, however, will be adjusted and improved with time. You are able to go to the availability calendar and override this price for days or periods with your own manual pricing. The hourly price will always be one-quarter of your daily price and there is no weekly price. Now, rentals greater than 5 days will automatically have a long hire discount applied. The discount starts at 10% for hires longer than 5 days and increases to 25%, in increments, for hires longer than 21 days. Click here to find out more about these discounts. These discounts will encourage longer hires which owner feedback has told us are more convenient and renter stats have told us have fewer kilometres travelled per day. Remember, you can set minimum and maximum booking lengths in your Booking Preference Settings.
To see the daily rates our Smart Pricing algorithm has set, check your calendar. If at any time you see prices you disagree with for a date, you can set the price manually on your calendar or adjust your minimum or maximum price in your Smart Pricing settings.
To turn Smart Pricing on:
- Go to My Vehicles
- Click ‘Edit Details’
- Expand the Pricing menu
- Turn Smart Pricing on
- Set your minimum price
- Set your maximum price
- Click ‘Save'
If you had previously ticked ‘Let Yourdrive optimise your vehicle price to maximise how much you earn’ you will automatically be transferred over to Smart Pricing. You will still need to log in and set up your maximum and minimum price.
If you choose to not make the most of Smart Pricing, you will be on Manual Pricing which requires you to set a ‘Default Price’. This Default Price will be your daily rate for every day on the calendar unless you manually adjust your prices for different days/periods using the calendar.
Vehicle Pricing & Availability Calendar
To make our new pricing model work, we’ve updated the vehicle calendar and added a bunch of new features too. The vehicle calendar is now a place for owners to view their bookings, manage their availability, and set pricing.
To access the vehicle calendar, navigate to the My Vehicles page and click ‘Manage Availability and Pricing’. If you have more than one vehicle listed on Yourdrive, each one will have a separate calendar populated with information specific to that vehicle.
- To set unavailability, click and drag on the calendar to select a date range. Select ‘Unavailable’ on the availability panel on the right side and click 'Update availability' to save.
- To remove unavailability, click and drag on the calendar to select a date range. Select 'Available’ on the availability panel on the right side and click 'Update availability' to save.
Confirmed bookings are displayed on the calendar with the name of the renter, the booking reference and the pickup time.
You can click on the booking on the calendar to be taken to the booking page where you can view all the information about the booking.
The daily rate is displayed on the corresponding day of the calendar. If an arrow symbol is visible next to the price, it means Smart Pricing is on for that day.
If the price is in displayed orange or red it means it's above our recommended price. On desktop, you can hover over the price to see our recommended price. Consider lowering your price for these days to make your vehicle more attractive to renters.
To set pricing different to what is displayed, select the day or click and drag on the calendar to select a date range. Then use the Pricing panel on the right side to adjust the pricing for those dates.
We know this is a big change so, we will be closely with you to ensure the transition is seamless. We will also be monitoring the Smart Pricing algorithm and gathering user feedback in order to make improvements. As always, if you have any questions or concerns, you can contact us anytime.