How to price power bank rentals effectively?
Generally speaking, you can set power bank rental prices based on whether there are competitors at the same venues and whether it is during special periods.
1. When there is no competition at the same venues, you can research local consumers’ consuming levels first, then price your power bank rentals. And power bank rental prices should never exceed what consumers are willing to pay.
2. When you need to share same venues with your competitors, to gain advantages in pricing, you can set rental prices slightly Lower than competitors or shorten charging duration at the same price.
3. During special periods like holidays, you can set different prices for different venues based on the number of tourists, their characteristics, and their consuming capacities.
It is well known that people prefer products with high cost-effectiveness, and shared power banks are no exception. When the quality of products and services is similar, the key to attract more power bank rentals lies in whether the power bank rental pricing is reasonable. So how to price power bank rentals reasonably?
Generally, we can consider how to set power bank rental prices based on whether there are competitors at the same venues or not and whether it is during special periods like holidays. Of course, if your situation is complex, you can directly consult HeyCharge for advice.
Related reading: What is Power Bank Sharing? [Full Introduction]
Firstly, you can check the following table of contents to understand the main content of this blog, and click on the item you’re interested in to jump directly to the reading:
Table of Contents
In general, our pricing strategies vary for venues with or without competitors. Let’s delve into how we price for venues without competitors and those with competitors~
Part 1: When there is no competition at the same venues, how to price power bank rentals?
Perhaps there are no competitors at one venue, but you cannot price power bank rentals casually as you wish, either. Why? Actually, if you set rental prices too high, users can’t afford it and the rental income won’t be high. Market research is essential for pricing, especially local consumers’ consuming levels. Power bank rental prices should never exceed what consumers are willing to pay.
Typically, different types of venues attract consumers with varying consuming capacities. Common examples of venues possibly without competitors include catering venues and leisure and entertainment venues.
Related reading:
1. How to price power bank rentals at catering venues?
Catering venues mainly include restaurants, diners, BBQ spots, late-night joints, snack bars, bubble tea cafes, dessert parlors, and more. These venues primarily cater to frequent visitors. They don’t spend much or stay long here, and they generally remember to return the power banks before leaving. Therefore, you can set lower rental price and maximum charge limit.
Tips: charge per 30 minutes, rental price at 0.5usd/30min, maximum charge at 15-22.5usd.
| Venue Type | Recommended Rental Price | Consumer Characteristics |
|---|---|---|
| catering venues | charge per 30 minutes, rental price at 0.5usd/30min, maximum charge at 15-22.5usd. | Most customers are frequent visitors. They don’t spend much or stay long here, and they generally remember to return the power banks before leaving. |
Want to know more power bank sharing rental pricing strategies? Click the following “Inquire Now” button to contact us now~
2. How to set power bank rental prices for leisure and entertainment venues?
Leisure and entertainment venues typically include bars, nightclubs, KTVs, bathhouses, hotels, Internet cafes, board game cafes, and chess rooms.
2.1 Price power bank rentals for bars, nightclubs, and KTVs.
Customers at bars, nightclubs, and KTVs typically stay for longer and spend more, increasing the likelihood of taking away the power banks with them. Therefore, prices and maximum charges can be set slightly higher compared to catering venues.
Tips: charging per hour, rental price at 1.5-2usd/h, maximum charge at 30-37.5usd.
2.2 Set rental prices for bathhouses.
Customers at bathhouses generally stay for extended periods and tend to spend more.
Tips: charge per hour, rental price at 1-1.5usd/h, maximum charge at 22.5-30usd.
2.3 Set power bank rental prices for hotels.
Hotel guests typically stay longer and spend more. Hotels come in different grades, and guests’ consuming capacities vary accordingly, so prices can be adjusted based on hotel grades.
Tips: charge per hour, rental price at 1.5-2usd/h for 5-star hotels, maximum charge at 22.5-30usd; rental price at 1usd/h for hotels below 5 stars, maximum charge at 22.5-30usd.
2.4 Setting prices for Internet cafes, board game cafes, and chess rooms.
Customers at Internet cafes, board game cafes, and chess rooms generally stay longer (possibly overnight), but their spending is usually moderate. Therefore, we can set the rental prices for shared power banks slightly lower, and the maximum charge slightly higher.
Tips: charge per hour, rental price at 1usd/h, maximum charge at 22.5-30usd.
| Venue Type | Recommended Rental Price | Consumer Characteristics |
|---|---|---|
| bars, nightclubs, and KTVs | charging per hour, rental price at 1.5-2usd/h, maximum charge at 30-37.5usd. | Customers typically stay for longer and spend more, increasing the likelihood of taking away the power banks with them. |
| bathhouses | charge per hour, rental price at 1-1.5usd/h, maximum charge at 22.5-30usd. | Customers generally stay for extended periods and tend to spend more. |
| hotels | charge per hour, rental price at 1.5-2usd/h for 5-star hotels, maximum charge at 22.5-30usd; rental price at 1usd/h for hotels below 5 stars, maximum charge at 22.5-30usd. | Guests typically stay longer and spend more. Guests at hotels with different grades own consuming capacities. |
| Internet cafes, board game cafes, chess rooms | charge per hour, rental price at 1usd/h, maximum charge at 22.5-30usd. | Customers generally stay longer (possibly overnight), but their spending is usually moderate. |
You can consider the tips and strategies above to set appropriate rental prices for your shared power banks. With reasonable pricing and no competition, rental volumes are expected to be impressive. In other words, you can make much profits in the power bank sharing business. Interested in starting a shared power bank business? Want to earn more passive income? Click the “Inquire Now” button below to contact us!
3. Adjust shared power bank rental prices according to the prosperity level of the city.
In fact, the consuming capacities of consumers varies even within the same type of venues across different cities. Generally, in economically prosperous cities, consumers have higher consuming capacities and can accept higher prices. Therefore, in less developed areas, rental prices can be slightly reduced by around 0.2usd/h based on the standards mentioned above. This makes it easier for people to accept and it will be more possible for people in these cities to form the habit of renting power banks.
Part 2: When you need to share same venues with your competitors, how to gain advantages in pricing?
While there are no competitors at a venue is ideal, the reality is that if you enter the power bank rental market late, you may inevitably have to share the same venue with your competitors. In such cases, it’s essential to highlight your advantages to attract more rentals.
1. Set rental prices slightly lower than competitors.
Conduct thorough market research and maintain good relationships with the owners and staff of the venue. This way, you can easily and promptly know the competition at these venues, including their rental pricing and price dynamics.
By doing so, you can set slightly lower prices than your competitors. For example, if their price is 2usd/h, you can set yours at 1.9usd/h, attracting more users at a minimal cost.
2. Shorten charging duration at the same price.
At the same price, we can adjust the charge per hour to the charge per 30 minutes. For example, if our competitor charges 2usd/h, we can offer a price at 1.5usd/30 min. In reality, the prices are the same, but charge per 30 minutes may let users feel cheaper psychologically, as they won’t be charged for a full hour if they use less than 30 minutes.
To highlight this difference, we can even stick the pricing sticker on the power bank station itself or place a small price sign on it. When customers come to rent a power bank, they are more likely to immediately notice our station and choose us directly because they perceive it as a better deal.
3. Refer to HeyCharge’s pricing recommendations.HOT!
HeyCharge, with 7 years’ experience as a power bank sharing supplier, has provided high quality rental power bank hardware, software, and services for hundreds of international partners.
Moreover, during the process of serving our customers, we have gained a deep understanding of power bank sharing market conditions worldwide and encountered various issues in shared power bank businesses.
Based on market feedback, we continuously optimize our products and services. Our slogan is “100% Light Your Success in Power Bank Sharing Business“. With our qualified products and years of operational experience, we can surely help you move faster, steadier, and farther in the shared power bank business industry. Click the “Inquire Now” button below to contact us now~
Actually, in addition to considering pricing power bank rentals based on whether there are competitors at a venue, adjusting the charging strategy according to holidays can further enhance revenues.
Part 3: How to adjust power bank rental pricing strategies during holidays to maximize revenue?
We know that the biggest difference between holidays and regular days is the significant population movement during holidays, because many people go out for travel. Tourists prefer to travel light and they usually have high demand for shared power banks. Therefore, we can assess whether to adjust rental prices and how to adjust based on whether the target customers at a venue consist of tourists.
1. For venues targeting local residents, maintain usual shared power bank rental prices.
During holidays, many locals are not patronizing these venues, resulting in a decrease in customers flow. For example, nightclubs may not attract much attention during holidays, making price adjustments unnecessary.
2. For venues aimed at tourists, adjust power bank sharing rental prices based on venue types.
During holidays, the influx of tourists varies at different venues. We can set different prices for different venues based on the number of tourists, their characteristics, and their consuming capacities.
For supermarkets, cinemas, and catering venues
Target customers are various people, including tourists. During holidays, there is an increase in customers flow, but not significantly. Therefore, a slight price increase is sufficient, and the adjustment should not be too large. We can increase the price by 0.2-0.5usd/h while keeping the maximum charge unchanged.
For hotels
Main target audiences are tourists. They usually leave early at morning and return late at night, making it easier to reach the maximum charges. Therefore, we can increase our revenue by raising the maximum charges. We can set the price at 0.7-1usd/30min, with the maximum charge raised by around 7.5usd compared to usual charge. Some hotels may even raise the maximum charge to 37.5-45usd.
Four or five-star hotels value customer satisfaction greatly. If there are complaints from customers due to improper price adjustments, it can lead to unnecessary trouble. Therefore, price adjustments for these hotels must be handled with caution.
For tourist attractions
Target customers are primarily tourists. These tourists’ main activities include taking photos, sharing on social media, and sightseeing for extended periods.
Therefore, shared power banks are a necessity and easily reach the maximum charge. When set power bank rental prices and maximum charge at tourist attractions, slightly higher rates can increase revenue.
Additionally, tourists typically return the power banks before leaving the attraction, minimizing the risk of loss. We can set prices at 2-3.5usd/h, 1 usd/30min, maximum charge at 37.5usd.
For transportation hubs
For transportation hubs such as airports, high-speed rail stations, train stations, and bus stations, the target customers remain tourists, many of whom travel between cities and may not return the power banks if they exceed the time limit.
We can set higher rental prices and maximum charge for these hubs. For example, at transportation hubs, we can set prices at 1.5-1.7usd/h, maximum charge at 22.5usd. For service areas connecting bus stations, we can set prices at 2usd/h, maximum charge at 22.5usd.
| Venue Type | Recommended Rental Price | Consumer Characteristics |
|---|---|---|
| supermarkets, cinemas, and catering venues. | 0.2-0.5usd/h while keeping the maximum charge unchanged. | Target customers are various people, including tourists. |
| hotels | 0.7-1usd/30min, with the maximum charge raised by around 7.5usd compared to usual charge. Some hotels may even raise the maximum charge to 37.5-45usd. | Main target audiences are tourists. They usually leave early at morning and return late at night. |
| tourist attractions | 2-3.5usd/h, 1 usd/30min, maximum charge at 37.5usd. | Target customers are primarily tourists. These tourists’ main activities include taking photos, sharing on social media, and sightseeing for extended periods, so shared power banks are a necessity for them. And they typically return the power banks before leaving the attraction. |
| transportation hubs | 1.5-1.7usd/h, maximum charge at 22.5usd. | Target customers remain tourists, many of whom travel between cities and may not return the power banks if they exceed the time limit. |
Conclusion
In summary, we can generally price power bank rentals based on whether the venue has competitors and whether it is during special periods like holidays. The pricing strategies mentioned in this blog provide a general guideline. You can refer to them and make flexible adjustments according to your actual local situation. If you want to learn more about power bank rental operating strategies, click the “Inquire Now” button below to contact us now~
