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Pricing
Seasonality
Seasonality is the repeating annual pattern of demand in a market, driven by climate, school holidays, religious calendars, events and travel habits. It determines which months command premium rates, which sustain steady occupancy and which need active demand generation.
Why Seasonality matters for your revenue
Seasonality sets the realistic ceiling for each month, so it should shape the annual revenue plan rather than be reacted to month by month. Two markets with the same average rate can produce very different income depending on how concentrated their peak is.
Related terms
- Shoulder seasonShoulder season is the transitional period between a market's peak and its low season. Demand is moderate, competition for guests increases and pricing decisions have more effect on occupancy than they do during either extreme.
- Compression nightA compression night is a date when city-wide accommodation supply is close to sold out, usually because of a major event, conference, holiday or festival. Prices across the whole market rise sharply as remaining inventory becomes scarce.
- Base priceThe base price is the reference nightly rate a pricing system adjusts up or down from. It represents what the property should earn on an ordinary night in ordinary demand, and it anchors every seasonal, weekend, event and last-minute adjustment applied afterwards.
- Occupancy rateOccupancy rate is the share of available nights that were booked in a period, expressed as a percentage. Nights the owner blocked for personal use are normally excluded from the available count, so the figure reflects commercial performance rather than calendar availability.
Revenue Management at Pinnacle Path
Seasonality sits inside our revenue management work. See how we apply it market by market.