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How to Increase Direct Bookings and Decrease OTA Commission

New Returning Loyal Happy Customers.

Top Tip #1 - The 'OTA Flip'

Understanding how important it is for accommodation providers to work together with online travel agents like Air BnB, Expedia and is paramount.

Due to OTAs’ wide digital presence, users will tend to book their lodging via third parties and be unfamiliar to your brand.

Online travel agents also deduct a charge from your earnings for each booking made through their website; this cost might range from 5% to 20%. While this is a fair amount to pay for new reservations, our Top Tip is to persuade returning clients to book directly from your website for their next trip. This will improve their guest experience, while saving you a sizable commission.

Encourage Direct Bookings from Returning Customers

Because they are already familiar with your offerings and staff, returning consumers are more inclined to book straight through your website. They are also more likely to spread the word about you, acting as brand ambassadors and boosting your standing in the industry.

Even though online travel agents are still a significant source of new reservations, many customers still remain hesitant when deciding whether to book their stays through OTAs. The fundamental issue is that customers are more selective about who they book with because online travel agents take a long time to respond to questions and complaints or provide refunds when necessary.

By first identifying new OTA guests, you can then customise marketing communications to provide compelling reasons for customers to book direct the next time!

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