Mark Simpson (with another speaker) reports analysis of over 200 Airbnb hosts showing that hosts chasing perfect 5.0 reviews tend to make less money. In their sample, hosts targeting five-star reviews averaged about 18% lower net margin, while properties with slightly lower ratings (around 4.7–4.8) earned up to ~40% more profit per booking and were the most profitable cohort. The speakers argue that ultra-high-rated guests are more demanding (early check-in, extra amenities, fast replies), increasing costs, and recommend shifting from review optimization to profit optimization — a strategy reportedly used by the top 1% of hosts.
Questions this video answers
Over 200 hosts.
About 18% lower net margin.
Up to ~40% more profit per booking.
Approximately 4.7–4.8 star ratings.
Chapters
I analyzed the financials of over 200.
Hosts that we had at Boostly and discovered something shocking. The hosts with the highest review scores are often the ones that are making the least money. Meanwhile, the ones with imperfect 4.7 or 4.8 star ratings, they're quietly earning up to 40% more profit per booking. So we've all been told by the.
Gurus out there, five stars equals success. The more perfect your reviews, the better.
Your ranking, the more bookings you'll get. But those perfect guests leaving glowing reviews are often the ones costing you the most money.
So when we broke down the expenses of these hosts and we looked at messaging, time damage claims, discount requests, there was a clear pattern that was emerging. Five star guests expect hotel level service for budget price.
They want early check in, spotless perfection, extra amenities, lightning fast replies. And because hosts don't want to risk losing that fifth session star, they'll say yes to everything.
So in our small sample size of.
200 hosts, those that were chasing the five star reviews averaged 18% lower net margin.
Hosts with slightly lower ratings, which again, 4.7, 4.8, were actually the most profitable group.
We looked into why their guests were less demanding. They stayed longer and didn't expect luxury service at a common prices.
Hosting costs are rising, cleaning costs, energy costs, fees are up, everything up. But if you're still prioritizing perfect reviews over profit, you're playing the game Airbnb wants you to play, not the game.
That actually builds you wealth. This is where the smart hosts have started to make the shift from review optimization to profit optimization. Stop chasing five star reviews, start chasing five star profit.
Because that's what the top 1% hosts are doing. They know that a 4.8 star business can outperform a five star hobby. Now, if this video has got your attention, then what I encourage you to.
Do is to check this one out.
Next because it will delve deeper into this topic. And if you would like to build a five star profitable business, click on.
The link in the description below. You will go to a 90 minute workshop where I will show you in just 90 minutes how you can grow your business to 65% direct bookings.