Revenue management, answered

Is it ever right to price at the very top of my market, above the 90th percentile?

Yes, but only when your property has a defensible, durable edge over comparable inventory. Pricing above the 90th percentile is a legitimate strategy, not a mistake, when the asset genuinely justifies it and your positioning holds under scrutiny.

By Jack Murphy, Head of Revenue Management at UpRev. Running pricing for US vacation rental managers since 2017. Last updated September 1, 2026.

When the Asset Earns Top-of-Market Pricing

Properties that consistently command premium rates share specific, verifiable advantages: irreplaceable location, a feature set competitors cannot replicate quickly, or a guest experience that drives repeat bookings and strong review velocity. If you can point to those factors and your occupancy holds at the premium rate, you are not overpriced. The moment occupancy erodes materially below market-comparable peers, the asset is telling you the premium is not supported.

How to Defend and Manage a Top-Tier Position

Position above the 90th percentile selectively across your calendar rather than as a flat year-round stance. Anchor your highest rates to peak demand windows where the supply-demand gap is widest, then pull back to competitive tiers during shoulder periods to protect occupancy. Review your booking window and length-of-stay patterns monthly. A healthy top-tier property shows strong lead time on bookings and minimal last-minute discounting, not the reverse.

The Portfolio Risk You Cannot Ignore

When you manage other owners' properties, sustained overpricing is a client retention problem, not just a revenue problem. If an asset sits above market without the fundamentals to back it, your owners see underperformance on their statements and your churn risk rises. Be direct with owners about where their property actually sits in the competitive set and price accordingly. Credibility is built by setting accurate expectations and hitting them, not by chasing a rate tier the property cannot sustain.