PriceLabs raises $30 mn from Summit Partners, plans to accelerate hiring

PriceLabs, a pricing and revenue management-solutions provider for the short-term rental industry said it has raised $30 million minority growth investment from Summit Partners. This funding will support the company’s commitment to building a leading revenue management-solutions and fuel global team growth. 

“Pricing can be the single-biggest growth lever when running any business, particularly in the hospitality space, where most businesses still use archaic methods and static pricing that can leave anywhere from 10 - 40 per cent of the revenue on the table,” said Richie Khandelwal, President and Co-founder, PriceLabs. “We purpose-built PriceLabs from the ground up to serve the needs of short-term rental operators,” he added

PriceLabs was founded in 2014 to bring Artificial intelligence (AI) and analytical tools to owners and managers of vacation homes and short-term rentals. The idea came to Richie Khandelwal while managing personal rental property and the inability to efficiently adjust prices based on fluctuations in demand. Teaming up with friends Anurag Verma and Sana Hassan, the group built a solution designed to address similar challenges.

“These range from an individual host seasonally renting their apartment in Paris to a multi-thousand-unit vacation rental manager in Florida,” said co-founder Sana Hassan. “Our product democratizes powerful tools that, historically, have only been available to large hospitality businesses.”

The firm provides users with data and tools to monitor and research local market conditions and adjust prices to suit the needs of the property and operations. 

Currently, PriceLabs powers over 150,000 listings in more than 100 countries. 

“With the support and resources that Summit Partners offers, the firm would continue its mission of delivering innovation to the short-term rental market and accelerate global hiring,” said Anurag Verma, co-founder.