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How Pricepoint’s AI Works

The principles behind Pricepoint’s AI pricing: how it uses your historical data, keeps learning from new bookings, and prices for your property rather than your competitors.

Pricepoint is an AI-powered dynamic pricing system built for hotels and other accommodation. Its goal is to increase your revenue, specifically your revenue per available room (RevPAR). It does this by creating a unique pricing strategy for each room type and each future date, balancing your average daily rate (ADR) with your occupancy.

Pricepoint doesn’t follow a set of fixed rules. It’s guided by four principles.​
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1. History Is a Starting Point

Pricepoint first studies your historical data to understand trends and seasonality, such as which dates, days of the week and times of year are usually busier.

No two days, weeks or months are exactly alike. Pricepoint uses history as a reference, not as the only driver, so the price for a date this year won’t simply copy last year’s.

2. It Never Stops Learning

Every new booking, cancellation and modification updates Pricepoint’s forecasts. This way, your prices take into account:

  • Changes in how guests are booking

  • Demand patterns specific to this year

  • The rooms you still have available

3. Context Matters More Than Numbers Alone

To set a price, Pricepoint looks at how many rooms you have left, how many days remain before the date, and how your booking pace compares with similar days.

Pace is especially important. Two dates with the same number of rooms left can get different prices:

Rooms left

How bookings came in

What it tells Pricepoint

Friday A

10

Quickly, in the last few days

Demand is strong right now

Friday B

10

Slowly, over several months

Demand is building more slowly

4. Your Property Drives the Price, Not Your Competitors

Pricepoint focuses on your property’s own situation, characteristics and booking dynamics, such as a recent wave of cancellations or a date that is almost full. While it can consider market competitiveness when you track competitors in Rate Shopper, Pricepoint’s pricing decisions are not driven by the actions of competitors.

Pricepoint is built to help you lead on price rather than follow. And because the hotel industry isn’t a zero-sum game, properties that price for their own demand can thrive alongside each other.
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👉 See Why Pricepoint Doesn’t Follow Competitor Prices for the full reasoning.

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