PriceLabs, a provider of revenue management tools, has received $30 million from Summit Partners. Since its founding, this is its first equity funding. The firm claimed it would put the money toward growing its staff and producing additional goods.

PriceLabs, a Chicago-based company founded in 2014, offers owners and managers of second homes and short-term rentals AI-driven analytics solutions.

It helps them automate and provide dynamic pricing for their properties across listings.

PriceLabs’ software-based automated dynamic pricing solution helps property owners also continuously analyse historical and forward-looking hyper-local data to sense changes in demand and recommend optimal daily pricing tailored to each property’s unique characteristics.

The company’s software stack is directly integrated with over 70 property management software solutions, helping property owners efficiently manage their operations.

“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% of revenue on the table,” Richie Khandelwal, cofounder of PriceLabs, said in a statement. “We purpose-built PriceLabs from the ground up to serve the needs of short-term rental operators, offering an easy-to-use and highly configurable solution,” Khandelwal added.

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

“Consumer preference has continued to shift in favour of alternative accommodations across every demographic, which has led to rapid growth in the short-term rental industry and over 8 million unique listings on Airbnb and Vrbo alone,” said Colin Mistele, managing director (MD) at Summit Partners, who will join the board of PriceLabs.

“We see PriceLabs as ideally positioned to serve this growing market with an intuitive, easily customizable and comprehensive solution designed to deliver RoI (return on investment) to owners and managers,” added Mistele.