
Same hotel. Same room type. Same number of guests. One weekend apart. The listing on the left is €2,540 per night; the one on the right is €168 at the Raddison Hotel in Dublin City centre. Whatever combination of demand, events, occupancy forecasts, and algorithmic enthusiasm produced the higher figure, it raises a bigger question than whether one room was overpriced on one particular weekend.
It asks whether dynamic pricing, as currently practised, still has any meaningful ethical boundary.
The standard defence
The argument is familiar:
- Supply tightens, demand increases, prices rise
- Hotels, airlines, taxis, and ticketing platforms all use this logic
- It’s presented as neutral, efficient, even inevitable
- The market moves; prices follow.
But that description hides something important. Dynamic pricing isn’t simply a mirror reflecting reality. It’s a choice about how aggressively a business responds to scarcity. And like any choice, it can be made with restraint — or without it.
Where the discomfort starts
Most people don’t object to prices changing. They object to prices becoming unmoored from any ordinary sense of proportion.
A moderate increase feels annoying but understandable
A 15x markup on the same room one weekend later feels different — it doesn’t suggest healthy market responsiveness, it suggests a business has decided that urgency, limited alternatives, and customer need are opportunities to be fully exploited
The defenders of this kind of pricing tend to retreat into narrow economic logic: if someone will pay it, the price is justified. But willingness isn’t the same thing as fairness.
A person may pay because they’re stranded, under pressure, attending an important family event, or left with no viable alternative. The transaction may be voluntary in theory while feeling coercive in practice.
Markets are very good at discovering what people can be made to pay. They’re less good at determining what ought to be charged.
The real issue: indifference
Ethical business behaviour has always required more than technical market efficiency. It requires judgement — recognising that the most profitable option isn’t always the most legitimate one. Reputation, trust, and basic decency should impose limits that an algorithm never will on its own.
And that’s the real problem with dynamic pricing in its most extreme form. It’s not merely that it’s expensive — it’s that it’s indifferent.
No person has to stand over the number and defend it. No one has to say, publicly, that a hotel room available for €168 next weekend is worth €2,540 this weekend because the software says demand is high enough. The machine produces the number, and the business takes cover behind the language of “optimisation.”
Customers aren’t fooled by this arrangement. They may not know the formula, but they know the feeling: this company charged the maximum it believed the situation would bear.
That may be smart revenue management. It may also be a slow erosion of trust.
So where does that leave us?
Dynamic pricing isn’t going away. Nor should it — there are sensible and defensible uses for it. But businesses that rely on it should stop pretending that every market-clearing price is automatically a morally respectable one.
A society that accepts this logic without question eventually ends up treating urgency as a luxury good.
And that’s a far more troubling price than anything on a hotel website.

