Vrbo has been quietly testing Rate Automation, its own built-in dynamic pricing tool, giving some property managers automated pricing capabilities without the need for third-party software. Unlike well-publicized launches from competitors like Airbnb and Booking.com, Vrbo has not made a formal announcement about this feature, and access appears to be limited.
For professional short-term rental managers listing on Vrbo, this raises key questions: What is Rate Automation, how does it compare to third-party tools, and should you use it if you have access?
What Is Vrbo’s Rate Automation?
Rate Automation is a new pricing tool within Vrbo’s MarketMaker, designed to adjust nightly rates dynamically based on historical data, competitor pricing, and real-time market demand. Unlike third-party pricing solutions like PriceLabs, which sync across multiple Online Travel Agents (OTAs), Vrbo’s Rate Automation is platform-specific and only applies to Vrbo listings.
Key Features:
- Automated Pricing Updates – Rates adjust every 48 hours based on MarketMaker’s data.
- Min & Max Rate Limits – Property managers can set price boundaries to maintain control.
- Revenue-Driven Strategy – The tool prioritizes maximizing nightly revenue rather than occupancy.
- Limited Availability – Not all Vrbo users currently have access, and there has been no official rollout timeline.
- Manual Overrides – Managers can manually change rates or disable automation at any time.
At its core, Rate Automation aims to give property managers a semi-hands-off approach to pricing while keeping them within Vrbo’s ecosystem. However, this also raises concerns about how effective it will be for managers who operate across multiple platforms.
Who Has Access to Rate Automation?
Currently, Rate Automation is not available to all property managers, with many users reporting in online forums that they do not see the option in their MarketMaker dashboard. Some have suggested that the feature is being tested on a limited group of listings, possibly those with a certain performance history or location-based criteria.
On its FAQ page for Rate Automation, Vrbo states:
“If you have multiple properties, some may not have rate automation yet. We will continue to expand access to additional properties over time.”
While Vrbo has not provided a public statement, the gradual rollout suggests an intention to fine-tune the tool before full deployment. Given that dynamic pricing is a critical aspect of revenue management, it makes sense that Vrbo would want to avoid a one-size-fits-all approach and instead refine Rate Automation based on live testing.
Why Is Vrbo Testing This Quietly?
Unlike Airbnb’s Smart Pricing, which was launched with much fanfare, Vrbo appears to be taking a cautious, phased approach. Possible reasons include:
- Testing & Refinement – Vrbo may be gathering feedback from select users to fine-tune the tool before a full launch.
- Avoiding Backlash – Many property managers distrust automated pricing tools, fearing they could lead to lower rates or reduced control. A quiet rollout minimizes potential pushback.
- Competitive Positioning – By keeping Rate Automation under the radar, Vrbo can observe adoption trends and competitor responses before fully committing.
Historically, Vrbo has positioned itself as a platform for higher-quality, whole-home vacation rentals that rely more on revenue per stay rather than sheer occupancy. This explains why Rate Automation locks users into a revenue-based pricing model, preventing them from opting into an occupancy-driven strategy.
The screenshot below shows how Vrbo defines Rate Automation in its own terms.
How Does Rate Automation Compare to Airbnb & Booking.com’s Tools?
Each major OTA has its own pricing automation tool, but they differ in approach, flexibility, and effectiveness. Here’s how Vrbo’s Rate Automation compares to Airbnb’s Smart Pricing and Booking.com’s Auto-Replenishment Pricing (ARP):
| Feature | Vrbo Rate Automation | Airbnb Smart Pricing | Booking.com Auto-Replenishment Pricing |
| Platform Coverage | Vrbo-only | Airbnb-only | Booking.com-only |
| Pricing Strategy | Revenue-focused | Occupancy-focused | Demand-based |
| Rate Update Frequency | Every 48 hours | Multiple times per day | Real-time |
| Control | Min/max limits, manual overrides | Min/max limits, but Airbnb can override | AI-driven, limited host control |
| Best For… | Managers prioritizing profit per stay | Hosts prioritizing higher occupancy | High-volume STR operators |
Key Takeaways:
- Vrbo’s Rate Automation seems better suited for managers who prioritize ADR (average daily rate) over filling nights.
- Airbnb’s Smart Pricing appears more aggressive in adjusting rates downward to secure bookings.
- Booking.com’s Auto-Replenishment Pricing seems fully AI-driven and hands-off but removes much of the property manager’s control.
Should Property Managers Use Rate Automation?
For those who already have access, Rate Automation could be a helpful tool—if used with caution.
- ✅ Good for setting a base level of automation without third-party fees.
- ✅ Provides insights from Vrbo’s own MarketMaker data.
- 🚨 Not ideal for multi-platform managers who need dynamic pricing across Vrbo, Airbnb, and direct bookings.
- 🚨 Limited to a “revenue-maximizing” strategy, meaning it may not align with occupancy-driven pricing models.
Third-party pricing solutions like PriceLabs still offer significantly more flexibility, cross-platform compatibility, and AI-driven optimization.
Final Thoughts
Vrbo’s Rate Automation represents a significant shift—it signals Vrbo’s intent to compete with automated pricing tools while keeping property managers within its ecosystem. However, its quiet rollout and platform restrictions mean it’s not a full replacement for third-party pricing software.
For now, professional managers should monitor access to this feature, test it cautiously, and compare results against external dynamic pricing tools. If Vrbo expands Rate Automation and refines its capabilities, it could eventually become a viable built-in alternative. Until then, experienced revenue managers will likely prefer the customization of external pricing solutions
