Does anybody know why Hostel prices vary soo much? I'm not necessarily talking about different Hostels, but rather the price differences of one hostel from one night to the next. I just booked one on Munich and one night it was $18 and the next night it was $45? Why the change?
I've never noticed that great of a price difference in hostels, but the same certainly holds for hotels sometimes. The difference between the weekday rate and weekend rate can be substantial.
There's a bunch of things that can affect the price like that.
Day of the week. Typically weekends are more expensive. Although with some business hotels it's the other way around.
Events on in the city. Just look at prices in NYE in Sydney to see this in action. Smaller events can have the same effect though. If there's a lot of demand, the prices tend to go up.
The hostel might have filled most of their beds and only have a few beds left for that night in which case they can try to sell them for a higher price. If they haven't sold them with a day or two to go, they might then drop the price again.
Like other things like air fare, hostel fare also changes due to day of week. Weekends are more expensive than weekdays.