Revenue management is often presented as a data problem. At DARM 2025, Scott Bunce reframed it as a communication problem.¹
In a panel discussion titled “Speak to Owners About Sensitive Revenue Management Opportunities,” Bunce and industry leaders Conrad O’Connell, Stephanie Huml, Kevin Vozar, and Matt Loney tackled a reality most operators quietly wrestle with: revenue friction rarely starts with algorithms. It starts with expectations.
And expectations, once misaligned, compound quickly.
The Real Question Behind “My Rate Is Too Low”
One of the recurring owner objections discussed was familiar:
“The rate for my unit is too low. I’m losing money.”
The panel’s consensus was not to defend the rate immediately. Instead, ask a deeper question: Compared to what?
Owners often anchor pricing expectations to:
- Peak pandemic performance
- Real estate projections
- Neighbor anecdotes
- Gross revenue figures that ignore expenses
As Vozar noted, “Gross is vanity. Net is sanity.”¹
The real estate market surge during COVID created an inflated baseline for many owners. Demand was historically high, supply was constrained, and pricing power surged. As supply expanded and demand normalized, expectations lagged behind reality.
The correction is not purely mathematical. It is educational.
Supply Shock and the Hard Conversation
Several panelists emphasized the structural shift occurring in many markets: rapid supply growth paired with flat or softening demand.
In some regions, inventory has grown from 12,000 units to nearly 20,000 in a few years.¹ When supply rises faster than demand, pricing pressure follows. Owners who purchased at elevated valuations may now find revenue insufficient to cover high carry costs.
The panel was clear: it is not a manager’s job to cover a mortgage.
The manager’s job is to outperform the market.
Loney framed it succinctly: property managers should judge themselves against comp sets and market performance, not against an owner’s debt service.¹
This distinction, while uncomfortable, is critical.
Quiet Quitting vs. Complaining
Interestingly, the panel suggested that complaints are often healthy.
Silence is not.
Awayday’s internal data reportedly shows that reduced engagement — fewer email opens, fewer calls — can be a stronger churn predictor than active complaints.¹ Owners who stop engaging may already be halfway out the door.
Engagement signals investment. Silence signals departure.
The implication for managers: lean into dialogue. Do not fear it.
The “Neighbor’s Cabin” Problem
Another recurring tension: comparison.
“My neighbor is always booked. Why isn’t mine?”
The panel encouraged shifting the frame from anecdotal comparison to comp-set analysis:
- Bedroom count
- Interior upgrades
- Length-of-stay restrictions
- Pricing strategy
- Actual booked rate vs. perceived occupancy
A car in a driveway is not a data point. RevPAR across comparable units is.
The responsibility falls on managers to educate owners on how comp sets work — and to revisit those explanations regularly.
Length of Stay and Demand Throttling
Length-of-stay restrictions also surfaced as a common point of friction.
As Bunce has often said, “Length of stay throttles demand.”¹
Long minimum stays can increase revenue during peak periods, but during shoulder or soft demand windows, they suppress occupancy.
Flexibility is not a concession. It is a strategy.
Owners must understand that minimums are not fixed principles; they are levers.
Retention in a Competitive Sales Environment
The panel also explored property retention when ownership changes hands.
Suggestions included:
- Providing detailed performance packets for buyer agents
- Offering financial incentives (spiffs) to realtors
- Maintaining one-to-many communication with investor networks
- Highlighting future reservation value already on the books
The underlying theme: retention begins before the property sells.
Relationships with agents and proactive communication matter.
The Meta-Lesson: Revenue Management Is Owner Management
Throughout the session, one idea resurfaced repeatedly:
Most sensitive revenue discussions are not about pricing.
They are about expectation setting — at onboarding, during forecasting, and throughout the year.
Bunce summarized it well: feedback is a gift. If owners are complaining, they are still in dialogue.¹
Revenue leaders who proactively communicate projected performance 3–4 times before peak season reduce surprise and preserve trust.¹
Revenue strategy without owner education is incomplete.
Markets shift, supply expands, demand normalizes, and algorithms evolve, yet the constant in revenue management remains human alignment. Data may inform strategy, but communication sustains the relationship. For operators navigating 2026 and beyond, the challenge is no longer simply how to price—it is how to lead.
