Let’s talk about one of the biggest traps vacation rental owners fall into – trying to beat hotels by lowering their prices.

It’s understandable. When a guest sees a Marriott room down the street for $129 a night and your place is listed at $149, it’s easy to feel nervous. The instinct is to drop your price and stay “competitive.” But that move rarely works, at least not in the long run. The truth is, you’re not in the same business as hotels. You shouldn’t be trying to compete on their terms.

Because the moment you make price your main value proposition, you’re entering a race you can’t win. Hotels are built for scale. They have 200 rooms, automated systems, and teams working around the clock. You don’t. And the good news is – you don’t need to.

The way to win in this game isn’t by being cheaper. It’s by being better. Better experience. Better comfort. Better memories. Guests who book vacation rentals are looking for something very different from what hotels offer, and when you understand what that is, and deliver on it consistently – you’re not just matching hotel value. You’re exceeding it.

Why guests are willing to pay more for a home?

There’s a reason people type “Airbnb with a pool” into Google instead of “best hotel near me.” The intent is different. They’re not just looking for a place to sleep. They want a certain kind of experience – one they can’t get in a standard hotel room.

Families, in particular, choose homes over hotels because they need more space, more flexibility, and fewer awkward moments. In a hotel, bedtime for a toddler means lights off for everyone. In a home, the kids sleep in one room while the adults relax in another. There’s a full kitchen to prep breakfast instead of overpriced room service. There’s a private backyard or balcony, not a shared lounge that closes at 9 p.m. It’s not just about amenities – it’s about how the space makes them feel.

Couples feel it too. They don’t want a lobby check-in and a card key that stops working after two days. They want to arrive, open the door with a code, walk into a clean, personalized space, and feel like someone actually thought about their stay in advance.

This is the kind of experience that leads to five-star reviews, repeat bookings, and direct referrals – and it has very little to do with being $20 cheaper than the nearby Hilton.

Why the best vacation rentals outperform hotels – even at higher prices

You might be surprised to learn that many top-performing Casiola homes actually charge more than nearby hotels — and they’re still booked solid. In Orlando, for example, we’ve seen themed properties with private pools and game rooms charging $350–$400 per night during peak periods. Compare that to a mid-range hotel that maxes out at $180, and yet, the vacation rental is the one that gets snapped up first.

The difference isn’t in the cost. It’s in the perceived value.

When a guest books one of these homes, they’re not just renting space. They’re investing in a smoother trip, a better night’s sleep, and a more memorable stay. They know they’ll have enough room for everyone, they won’t be woken by housekeeping knocking at 8 a.m., and they’ll have a fridge for leftovers and a washing machine for the kids’ clothes. That level of convenience and comfort can’t be replicated in a hotel – no matter how many amenities it lists on Booking.com.

And in places like Aruba, we’ve seen the same pattern. Guests consistently choose Casiola-managed homes over beachfront resorts. Why? Because those homes come stocked with beach gear, a guide to the island, and a welcome gift that makes people smile before they’ve even unpacked. It feels like they’re staying with someone who gets it – not just checking into a place that looks like every other room they’ve ever stayed in.

It’s the little things that shape the big experience

Let’s be clear – you don’t need to install a hot tub or redesign your entire kitchen to compete. You need to get the small things right.

When guests walk into a property, they notice if the towels match. They notice if the lighting is warm and inviting or fluorescent and cold. They notice whether the kitchen has salt and pepper or just three chipped mugs and a frying pan from 1997.

Casiola properties raise the bar by standardizing quality. Linens are always crisp and white, like a hotel, but the rest of the experience is pure home comfort. Every home is inspected before arrival, ensuring it feels just right when guests walk in. There’s usually a personalized welcome note. Some even include local snacks or a drink in the fridge. It’s not about extravagance. It’s about thoughtfulness, and that’s what guests remember.

It’s no accident that these touches lead to more 5-star reviews and higher rates. When people feel taken care of, they don’t haggle. They don’t leave bad reviews over minor issues. They come back. They bring friends. They book direct next time.

Technology isn’t just for efficiency, it’s part of the experience

There’s a myth that vacation rentals can’t match hotels when it comes to convenience. That might have been true 10 years ago. It isn’t today.

Casiola properties are equipped with smart locks, meaning no physical key exchanges, no waiting around, and no awkward miscommunication. Guests get a unique code, access instructions sent in advance, and can check in whenever it works for them.

Behind the scenes, automated guest messaging ensures that every step of the stay is smooth – from arrival instructions and Wi-Fi info to check-out reminders. It’s consistent, timely, and designed to make sure no guest ever feels lost or ignored.

Owners also benefit. Through the myCasiola dashboard, you get real-time insight into bookings, income, occupancy rates, and more. No need to chase cleaners or manually update pricing – it’s all done for you. Guests get a professional-grade experience. You get peace of mind without losing control.

Want to upgrade without overspending? Start here.

Now, if you’re thinking all this sounds great but expensive – it’s not. There are upgrades that cost very little but massively impact how guests perceive your home.

For instance, changing your lighting to warmer tones can instantly make your photos pop and your rooms feel more welcoming. Buying a decent set of matching plates and cutlery avoids that mismatched Airbnb feel that screams “secondhand.” Spending $100 on better pillows and sheets might be the best ROI you’ll ever get, especially if you want those “slept better than at home” reviews.

Even simple things like leaving a guidebook with your favorite local restaurants or providing a few board games or beach towels can create those “wow” moments that stick with guests long after they leave.

You don’t need a pool table or a movie theater. You just need to make people feel considered. 

The bottom line: stop lowering your price. Start raising your standard.

The goal isn’t to beat hotels at their own game. It’s to play a better one.

You have something they don’t – authenticity, space, personalization, flexibility. But you need to make the most of it. That means investing in the guest experience, thinking through the details, and having a system that keeps it all consistent.

Casiola’s model works not because it’s flashy, but because it’s smart. We handle the operational side, raise the quality bar, and make sure your property performs like a business, without losing its soul.

So before you lower your rate again, ask yourself: what am I really selling? And what would it take to make my guest say, “I’d pay more for this”?

Because often, they will. 

Curious how your vacation rental can stand out without dropping the price?
👉 Let’s talk. Casiola can help you compete on experience – and win.