Your campground has 150 pitches. In August, they are 95% full. In June and September, 40% full. In May, 15% full. You are leaving money on the table twice: underpricing during peak season (you could charge more), and setting prices too high during the low season (discouraging potential guests from coming).
What Is Revenue Management for Campgrounds?
Revenue management is the practice of optimizing price and availability based on demand. Hotels have been using it for 30 years. Campgrounds are only just beginning to do so. The principle is simple: the price of the same pitch changes depending on how many similar pitches have already been booked, how many days remain before arrival, and the day of the week.
Dynamic Pricing Levers for Campgrounds
- Occupancy: when you are at 80%+ occupancy, the price automatically increases by 10–25%. When you are below 40%, the price decreases to stimulate demand.
- Booking lead time: guests who book 6 months in advance get a base price. Those who book 48 hours before arrival pay the full price (or more, if only a few pitches remain).
- Day of the week: the weekend is worth more from Thursday evening to Sunday morning. The typical difference is +20–35% compared with midweek.
- Season: price bands for low/mid/high season, with automatic transitions based on the calendar.
- Length of stay: longer stays receive a progressive discount (less turnover = less work for staff).
- Pitch type: lake-view pitches, larger pitches, or pitches with dedicated electricity are priced separately from the standard pitch.
Practical Example: Revenue Simulation
| Scenario | July (100% occ.) | June (55% occ.) | September (35% occ.) | Quarter total |
|---|---|---|---|---|
| Fixed price €35/night | € 48.450 | € 17.325 | € 9.188 | € 74.963 |
| With dynamic pricing | € 56.700 (+17%) | € 19.250 (+11%) | € 11.025 (+20%) | € 86.975 (+16%) |
+€12.012 in one quarter in the simulation above (hypothetical scenario based on 45 pitches). Dynamic pricing does not require structural investments: only the right software and a strategy. Actual results vary depending on the facility, market, and rule configuration.
How to Set Up Dynamic Pricing in Ovvo Camping
- 1Define your base price for each pitch type and season.
- 2Configure occupancy rules: e.g., 'if occupancy > 75%, apply +15%; if < 30%, apply -10%'.
- 3Configure lead-time rules: e.g., 'bookings arriving within 1 to 7 days, +20%'.
- 4Enable seasons: enter the dates for high/mid/low season with their respective multipliers.
- 5Monitor the impact weekly using the integrated RevPAR (Revenue Per Available Pitch) reports.
Mistakes to Avoid
- Do not increase prices without informing regular guests: you risk losing them.
- Do not set overly aggressive changes (>50% in 24 hours): it may seem exploitative.
- Do not use the same algorithm for all pitches: an accessible pitch has different demand from a standard one.
- Do not forget to lock the price for bookings that have already been confirmed: guests who have booked are entitled to the agreed price.