# What is Listing Benchmark Factor? > Listing Benchmark Factor (LBF) and how it works Source: https://support.beyondpricing.com/en_us/what-is-listing-benchmark-factor-r1ewCbtGg Last updated: 2026-10-09T21:30:38.431Z   **In This Article**  [What Is the Listing Benchmark Factor (LBF)?](#what-is-lbf)  [How LBF Works](#how-lbf-works)  [LBF and Other Pricing Rules](#lbf-and-other-rules)  [What LBF Excludes](#what-lbf-excludes) * * * ## ## What Is the Listing Benchmark Factor (LBF)? The Listing Benchmark Factor, or LBF, is a protection built into your pricing that helps prevent a listing from (and while very unlikely) accepting bookings far in advance at rates below what it has earned in previous years. Without this kind of safeguard, a listing can end up locked into an underpriced reservation long before demand for those dates is fully known, which can mean missed revenue and a disappointing surprise for owners. LBF was designed to: * Prevent early, underpriced bookings * Protect against pricing too low relative to last year's Average Daily Rate (ADR) * Work alongside your existing pricing strategy, without replacing it * Automatically step aside as the booking window gets closer and the risk of overpricing increases ## ## How LBF Works ### ### It Uses Your Listing's Own History LBF looks at the last two years of reservations for your listing and identifies the highest ADR actually booked for comparable dates. For comparable dates we match by the right day of week, don't make rules for one-off events (i.e. a concert) and update for events moving different times of year (i.e. Easter). It also uses this maximum ADR, rather than an average, so the benchmark reflects your listing's proven ceiling rather than being pulled down by discounts or last-minute deals. ### ### It Creates a Forward-Looking Price Floor For future open dates, LBF sets a minimum price, or floor, equal to that historic ADR. Is also includes a year-over-year increase (around 3% by default). Your pricing algorithm is always free to price above this floor, and the floor only takes effect if prices would otherwise drop below it. If your algorithm is already pricing higher than the benchmark, LBF stays in the background and has no effect on the price you see. ### ### It Expires Automatically Each LBF rule includes its own expiration timing, based on your listing's bedroom count and typical booking lead time for your neighborhood. For example, a 5-bedroom home with a longer, 5-month booking window will have its LBF protection expire around 5 months before arrival, while a 1-bedroom with a shorter, 2-month booking window will expire around 2 months before arrival.  Once a rule expires, it is removed automatically and normal time-based pricing strategies, including last-minute discounting, apply as usual. This expiration happens gradually over time, and not a sudden drop off. ## ## LBF and Other Pricing Rules LBF is applied before seasonal minimums and maximums, and the highest applicable floor always wins. If you have a seasonal minimum set higher than the LBF floor, the seasonal minimum takes over. If the LBF floor is higher, it acts as the effective minimum price until it expires. This means LBF can coexist with the pricing strategies you already have in place, rather than replacing them. ## ## What LBF Excludes To keep the historical benchmark clean and meaningful, LBF does not consider the following when calculating your listing's proven ADR: * One-night stays * Monthly reservations * Last-minute, heavily discounted bookings * Known anomalous reservations, such as bundled services or special events * Select one-time mega-events, which are handled manually when needed The goal is to base your benchmark on repeatable, realistic pricing signals rather than one-off exceptions. ## ## Customization and Visibility in Your Account ### Customization Options LBF can be tailored to your portfolio's needs by reaching out to your CSM or Support, including: * Year-over-year ADR growth applied to the benchmark (typically 0 to 7%) * The look-back window used for historical data (2 years by default) * Applying LBF only during peak season, such as Memorial Day through Labor Day * Bedroom-based expiration timing * Manual exclusion of specific reservations, if needed These settings are managed on your behalf, so there is no additional rule management required on your end. Once active, you will find "Listing Benchmark Factor" in your "Customize" tab ![](https://cdn.kustomerhostedcontent.com/media/603e4c1ab69d9cd3c0b6f415/9404fdbccfd9c2dee845c194420b2a65.png) ### ### What You'll See When LBF is active on a date, you may notice: * Calendar tooltips noting that a price was raised to your historic ADR * Trigger and expiration dates shown on protected days * Chart views showing where prices are being held while the risk of overpricing is still elevated For most listings, LBF stays invisible day-to-day, since prices naturally sit above the benchmark already. ![](https://cdn.kustomerhostedcontent.com/media/603e4c1ab69d9cd3c0b6f415/4f1641b9723b8682a567dbabea81362b.png)   Want LBF turned on, adjusted, or reviewed for your account? Reach out to your Customer Success Manager and they will be happy to help. If you have questions or concerns, please feel free to reach out to [support@beyondpricing.com](mailto:support@beyondpricing.com) and we will be happy to help!