Dynamic Pricing

Dynamic pricing is a strategy where room rates change in response to demand, booking pace,
and market conditions.
Why it matters:
It allows hotels to capture maximum willingness to pay instead of relying on static rates.
Practical use:
Rates automatically increase when occupancy thresholds are reached.
Real-life examples:
As rooms sell faster than forecast for a weekend, prices rise incrementally instead of selling out
at a low rate.