Turo's Dynamic Pricing system is a powerful tool. It adjusts your vehicle's daily rate automatically based on many factors: seasonality, local events, real-time searches, and competitor pricing. Turo's data is updated each day, making it quick to respond to the market.
Though the algorithm does most of the heavy lifting, successful hosts know when to step in manually.
The goal is not to fight the system, but to use your superior local knowledge to fine-tune prices at the perfect moment to lock in either high-margin future bookings or quick, last-minute trips.
How Turo Prices Your Car
Turo does not release an exact hour-by-hour plan for its dynamic pricing updates. What we know is this:
- Daily Updates: The recommended prices are recalculated once per day.
- Host Control: You always retain control. When you set a custom price, it overrides the Dynamic Pricing recommendation for those chosen dates.
- The 90-Day View: The system provides a look at how price fluctuations are expected to move over the upcoming 90 days, giving you the ability to plan your manual adjustments well in advance.
The ideal time for you to manually adjust prices comes down to two key host behaviors: getting those early bookings and avoiding last-minute losses.
The Best Time to Adjust: Before 8 AM
The most strategic time to review and adjust your prices is early morning (before 8:00 AM local time). This window lines up with when most hosts are inactive and gives you two major advantages.
Catch Overnight Demand
During the night, many large city markets see a dip in immediate booking activity, causing the algorithm to lower a few future dates slightly to increase utilization.
By checking the calendar early, you can:
- Override Drops: If the algorithm has dropped a price on a high-demand weekend (like a three-day holiday) to a point you feel is too cheap, you can manually set it higher before the day's main search traffic begins.
- Capture Morning Search Volume: Guest booking activity often picks up during morning commute hours and midday lunch breaks. Setting your ideal price point early means your listing is ready to capture the first wave of serious bookers.
Handle Late Cancellations
The early morning check is also necessary for keeping tabs on your inventory. A guest might cancel a trip late the previous night, making your car suddenly open for same-day or next-day booking.
- Action: If a car suddenly becomes available, look at the Dynamic Pricing recommendation. It will usually drop the price to spur a last-minute booking. If you prefer the car sit rather than rent it out cheaply, the morning is your best time to manually raise the price to your minimum floor.
Secondary Times to Check
The morning is central for setting strategy, but two other periods deserve attention:
| Time Frame | Purpose | Why it Matters |
| Late Afternoon (4 PM - 6 PM) | Competitor Pricing and Same-Day Scramble | This is a secondary peak time for last-minute booking searches and guest planning after work. A quick check helps you see if competitors have priced lower than you or if the algorithm has found an immediate demand spike. |
| Sunday Evening | Weekly Strategy Planning | Many guests plan their travel for the coming week or month on Sunday evening. Use this time to set long-term custom pricing for upcoming holidays, large local events (concerts, conferences), or school breaks that the algorithm may not have completely registered yet. |
Quick Tips for Maximize Your Earnings
Dynamic Pricing is designed to maximize your earnings by balancing price and utilization. Do not waste time overruling every small daily change. Instead, use these tips to guide the system:
Tip #1: Set a Price Floor. Set a firm minimum price that represents your absolute floor, covering all costs and depreciation. This stops the algorithm from dropping the price so low that you rent the car at a loss.
Tip #2: Use Local Knowledge. Use manual intervention only when you have better information: a local concert, a specific convention, or a school vacation week in your area that you know will drive demand higher than the algorithm expects.
Tip #3: Look Beyond Tomorrow. Check the calendar 45 to 60 days out. If prices look low for a future weekend that you know will be busy, raise the price now. Guests who book far ahead are often less price-sensitive and lock in your higher rate.
Tip #4: Adjust for Trip Length. Consider setting higher custom prices for short, one-day trips. Short rentals mean more cleaning, turnover, and mileage wear. Raising the price discourages unprofitable one-day bookings.
Tip #5: Price Competitively (Not Cheaply). Do not aim to be the lowest-priced car. Aim to be the best value. Check the price of two or three similar cars in your area and price yours slightly higher than average if your reviews and vehicle condition are superior.
By checking your calendar consistently during the low-activity periods (early morning), you position your listing perfectly to profit from the demand surges that happen throughout the day.
Frequently Asked Questions (FAQ)
How often should I check my prices?
A quick look every morning (before 8 AM) is fine for a small fleet. A second look Sunday evening helps with weekly planning.
Will Turo notify me when prices change?
Turo often shows notification banners in your calendar view when pricing insights are updated, but they do not send an alert for every small, daily price adjustment.
Can I turn off Dynamic Pricing?
Turo allows you to set custom prices that override Dynamic Pricing for specific dates, essentially turning it off for those days. The system is made to maximize earnings, and data shows hosts who use it tend to earn more overall.