Saving and having a quality service do not seem to go hand in hand, however, in these times, achieving cost savings is essential, especially in the tourism sector, which has been hard hit in the last two years.
In this sense, have you ever wondered what are the differences between Airbnb, VRBO, Booking, Expedia and Hotelbeds, the most popular vacation rental platforms? And what are their commissions for owners, or how much does it cost to rent through them?
We have decided to bring you some information that we will compare so that you can decide which one best suits your needs and economy. Let’s start with the comparison between the 3 most used platforms:
Regarding Airbnb:
- The commission to the owner per booking is lower than the market average. In addition, another of the most interesting aspects of Airbnb is that it has a very low cancellation fee, since it does not return its commission to the guests if they are the ones who decide to cancel the reservation. Instead, owners count on a free cancellation if they have had 10 previous bookings without canceling.
As for Booking:
- Booking has a higher commission for the owner than Airbnb as they don’t usually charge commission to the guest and therefore it is all borne by the owner. Another thing you should keep in mind is that, unless you specifically state otherwise, cancellation by the guest is free of charge.
As for Vrbo:
- The main difference it presents with respect to Airbnb and Booking is that if you manage more than 10 properties, you have the possibility to pay an annual fee and avoid paying commissions for each booking. At the end of the year this is a very interesting cost saving. It also allows you to have access to a personal agent who will advise you on the strategy to achieve better results.
As for Expedia:
- It applies a 20% commission, however, as Expedia commissions on the total amount with VAT in both its Expedia Collect and Hotel Collect programs, the actual commission on the net is 22%.
- On the other hand, when signing the contract, both the Members discount and the discount for packaging are mandatory, and the Market Manager also recommends the Mobile discount, all discounts represent 10% of the RRP.
- Let’s also keep in mind that bookings with the Members discount usually represent 90% of total sales, bookings with the Mobile discount usually represent 45% of total sales, and bookings with the Package discount usually represent 25% of total sales.
As for Hotelbeds:
- When it comes to seeing how much it costs to sell rooms on Hotelbeds, this hotel applies a 20% commission and by contract also forces us to enter with the Opaque rate, with a discount on the PVP of 10%. Sales of the Opaque rate represent 90% of total sales, and the discount applied is a 10% discount, so over the total sales represent 9%.
Now that you have these data, which one best suits your needs and your pocket?
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