With effect from 18th Feb 2022, the following peak pricing policy shall come into effect:
Our recent demand analysis proves that pricing has the highest impact for bookings hence the following changes have been made to Peak Pricing. For listings with no Peak Pricing options, it will be based on the Regular Price.
1) Peak Days must be kept at 0 to 2 days maximum in a week
2) Peak price must be a maximum of 20% or lower than Regular Price. Should you choose to activate peak pricing, we recommend to keep it around 12% basis our analysis so as not to affect demand.
For eg. Regular Price $40, then recommended Peak Price should be $45 (12%). Max peak price would be $48.
This change will take effect from the 18th of February 2022 and Peak price/number of peak days will automatically be updated in accordance with the below requirements.
Why has this been done?
As such, we continuously analyse key factors that influence a Guest’s choice to search for a car to book. The two most important factors are LOCATION and PRICE. Whereas optimising location to increase demand is hard, setting the right price is easy, as long as you use our insights to your benefit. The ultimate goal is to drive high demand to hosts like yourself to maximise your earnings from renting your car on the platform. And we are here to help you with that!
Many hosts on Drive lah have their cars competitively priced versus other car sharing and rental platforms. However, we found that there is room for improvement, especially when it comes to Peak Pricing. Guests understand that prices for cars can be slightly higher for certain days and are showing willingness to pay around 10-12% more on weekends compared to weekdays.
Some hosts have set peak prices for more than 2 days per week, and that significantly reduces demand for these cars. This 2 days is not inclusive of Public Holidays.