Reducing Booking.com commissions: the real solution for Swiss hotels
Booking.com takes an average of 18 to 20% on each reservation. On 500,000 CHF of hosting turnover, that's up to 100,000 CHF in commissions. The solution is not to leave OTAs.
Booking.com takes an average of 18 to 20% on each reservation. Expedia between 15 and 25%. Some hotels in French-speaking Switzerland spend 70 to 80% of their reservations through these channels. On a hosting turnover of 500,000 CHF, that represents between 63,000 and 100,000 CHF in annual commissions.
This is not inevitable. And the solution is not to leave OTAs overnight.
Why you can't just delete Booking
OTAs serve a real function. They give you visibility to travelers who would never have found you otherwise. They manage payment, reviews, and part of customer service. And their recommendation engine can bring you customers during off-peak periods that you would not have captured alone.
The right strategy is not to avoid OTAs. It is to use them as an acquisition tool while working to convert these contacts into direct customers for subsequent stays.
The real lever: transform Booking customers into direct customers
Upon arrival, welcome the guest and present your “direct booking” advantage for their next stay. Give a card with your website and a promotional code for -10% on the next direct booking. After the stay, if you have their email with their consent, send a personalized message with an offer to return.
A customer who returns a second time via your site is no longer a Booking customer. This is your customer for life.
What your site must offer that Booking cannot
Options that work: a lower price displayed directly. A non-price advantage: breakfast included, guaranteed late check-out, bottle of water on arrival. An upgraded room subject to availability for direct bookings. These benefits cost little and create greater perceived value.
What changes in five years
A hotel that goes from 35% to 55% of direct bookings on 400,000 CHF of accommodation turnover saves around 14,000 CHF in commissions per year. Over five years, 70,000 CHF remain in the establishment. The site that allows this transition costs between 6,000 and 15,000 CHF. The calculation is simple.
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