High Season Price Increase Madness

[madmitch]

I see it as the low season rates are what could be considered near enough to normal, while the high season rates reflect the increased demand and so ...jack up the rate and make hay while the sun shines. It's business!

A lot of places will make a loss in low season, and just stay open because anything that comes in is welcome.

High season is necessary to cover the losses in low season, and make a small profit. It may be different for the bigger places, but that is the way a lot of the smaller places operate.

Spot on, Stevenl. Most guesthouses won't make enough in low season to cover the monthly rents.

Even with very cheap rates occupancy rates are low simply because there aren't the people around.

Most small hotels and guesthouses will take at least 80% of their annual turnover between the middle of November and the end of March. That's less than 40% of the year. You have to make money at this time or you go bust.

Simon's place is a niche and therefore a bit different but I stand by my original comment that we halve prices in low season, not double them in high season.