The proptech startup provides pricing recommendations for Airbnb and other short-term rental hosts.
The San Francisco-based company, founded in 2014, uses a dynamic software program to determine competitive price points for individual short-term rentals. It draws on 10 billion proprietary data points and recommends raising or lowering your rates depending on factors like the time of the year or changing traveler trends. In 2016, it raised $1.5 million in a seed round led by Resolute Ventures.
“Our customers make up the majority of the short term rental industry, but don’t have the resources to invest in their own software, and have traditionally relied on analog ways of pricing their properties,” Beyond Pricing CEO Ian McHenry said. “We were the first company to create software specifically designed for the needs of these customers, giving them access to industry-leading technology for the first time.”
Led by Bessemer Venture Partners, the latest funding round will go toward expanding Beyond Pricing’s products and expanding in Europe, where it already has an office in Lisbon, Portugal, that it hopes to grow.
William Blair & Company advised Bessemer Venture Partners on their investment.
“While hotels have fully embraced technology and dynamic pricing, the short term rental industry is still underpenetrated,” Brian Feinstein, a partner at Bessemer Venture Partners, said in a statement. “We were impressed with the Beyond Pricing team’s ability to consistently deliver revenue growth for their customers and think they are positioned to become the market leader in short term rental software.”
According to Beyond Pricing, the company has provided prices for more than 150,000 listings in more than 7,000 cities, or more than $2 billion in bookings. It hopes, through its software, to provide individual short-term rental owners with the same kind of large-scale pricing and algorithm-based planning previously reserved for larger hotels.
“Our mission is to put the power back in the hands of these customers and help them maximize both revenue and occupancy while maintaining a competitive edge as this industry continues to mature,” McHenry said.