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Seasonality in the tourism sector has been a major concern for policy makers, managers and other stakeholders. Many studies have analysed seasonality from the point of view of the number of visitors. However, there appear to be no studies focusing on seasonality in prices and on how to smooth out seasonal patterns. This paper analyses how hotel characteristics affect seasonality in prices using brochure data on 1,776 hotels in 32 sun-and-beach destinations in 11 countries. The authors find that, after controlling for destinationspecific variables that may cause variations in prices through demand shifts (such as climatic conditions, exchange rates or marketing expenditures), more hotel services and higher star ratings are associated with fewer seasonal variations in hotel prices.