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Hotel-tech glossary

Dynamic Pricing

Automatic rate adjustment based on demand, competition, and forecast.

Dynamic pricing is the practice of adjusting room rates in response to changing demand signals (events, competitor pricing, lead time, forecast occupancy). Software-driven dynamic pricing handles this without manual intervention; rule-based pricing handles it with operator-defined thresholds. RoomRaccoon's native dynamic pricing engine and standalone tools like Beyond and Wheelhouse are the common shapes operators encounter.

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Related terms

ADR

Average Daily Rate. Room revenue divided by number of rooms sold over a period.

RevPAR

Revenue Per Available Room. The blended metric: ADR × occupancy.

Part of the hotel-tech glossary. Maintained by Maciej Dudziak, founder of Guestivo.