I have a place listed, with Instant Booking and Smart Pricing turned on, with some custom price set up for a big festival with lots of tourists in the summer. My usual prices are pretty low due to high competition, but for the period of the festival I've set up average market price, which is around 2-3 times higher than usually.
I accidentally clicked on the "Smart Pricing" switch and turned it off (no confirmation dialog, no warning or nothing).
I've turned it back on immediately, and didn't notice that this had removed all custom prices that I've set up.
Two minutes later, I got a reservation for the duration of the festival. I immediately messaged the guest, explained the situation, and she was kind and understanding enough to cancel the reservation.
I then updated the availability, by setting the "Availability window" to "Dates unavailable by default" until I can re-update the prices.
Two minutes later, another reservation for the same time period. Turns out that the calendar kept that time period (and ONLY that one) available. I guess this is because they had custom prices, even though the custom prices were removed earlier (by turning Smart Pricing off and on).
I then messaged this new guest immediately again, explained the situation, apologised, said that I cannot host them with this current price, and politely asked them to consider cancelling.
I haven't yet heard back from them. This happened around 6 hours ago.
What can I do in this situation? I will try to find a solution with the guest, of course. But if he's unwilling, or doesn't respond, can I turn to support? Is there a chance they can help and cancel the reservation?
Who is to blame here? I've sure made quite a few honest mistakes, but also the user experience for these configuration settings is not the best, or could even be considered bugs.
Of course I could cancel the reservation myself anytime. But I'd like to avoid that: I've started hosting a few months back, and worked really hard these past few months to achieve "Superhost" (one night bookings without cleaning fee, etc.).
Clarifications
- There are 4 months until the reservation, guest gets "Full refund for cancellations up to 30 days before check-in."
- "I cannot host them with this current price" – My income from AirBnB is just slightly higher than what I could get from renting out the apartment long term, and I'm doing cleaning and basic maintenance myself. I'm relying on the summer and especially events to make this worthwhile.
- This is a 2-bedroom apartment with 2 double beds. Guest has reserved for 2 persons. Of course I would have preferred to rent it out for 4 persons for this period, especially given the location being a 10-minute walk away from the festival venue, and my previous/lost prices has reflected this.
Resolution – pending
Still talking with the guest. He is reasonable, but won't cancel, because 5 other apartments already canceled on him or asked him to cancel. Not sure what was going on there, they forgot to set their prices or had a similar sequence of mishaps as me.
However, guest is willing to hammer out a deal. Current proposal is for them to join with some friends and change the reservation to 6 persons. We would add a mattress to the bigger bedroom. The room and the apartment is spacious enough for 6, especially young people at a festival only needing a place to sleep until the next party. Increase the price so they would still get a good deal, (great deal when split to 6), and I would not be at that much of a loss. I've thrown in, that I will install air-conditioning until their arrival, not currently listed in the amenities.