ASAP Supplier Member Website4Bookings (W4B) has introduced a new OTA Calculator designed to assist serviced apartment providers and short-term rental operators in assessing the financial impact of relying on Online Travel Agents (OTAs) for their bookings. This user-
friendly tool allows accommodation providers to quickly calculate the amount they are paying in fees and commissions to OTAs, while also offering insights into the potential savings that could be achieved by increasing direct bookings.
OTAs such as Booking.com and Airbnb have become an integral part of the hospitality landscape, offering convenience and access to a broad market. However, many serviced apartment providers are unaware of the extent to which OTA commissions and fees reduce their overall profit margins. By using W4B’s OTA Calculator, providers can gain a clearer understanding of these hidden costs and determine whether a shift toward direct bookings could positively impact their bottom line.
Why Direct Bookings Matter
While OTAs offer exposure to large audiences, direct bookings have distinct advantages for accommodation providers. When guests book directly through a provider’s own website, businesses can avoid the high commissions typically charged by OTAs, which can range between 15% and 25% of the booking value. Furthermore, direct bookings enable providers to build stronger relationships with guests, maintain
control over their pricing strategies, and retain full access to guest data, which will be particularly valuable for marketing and future engagement.
The OTA Calculator offers a quick and efficient way for providers to visualise the potential financial benefits of increasing direct bookings. The tool estimates the fees currently being paid to OTAs and calculates the savings that could result from redirecting a portion of bookings through a provider’s own website—all in less than 60 seconds!
Free and Easy to Use
W4B’s OTA Calculator is available for free on the W4B website and takes only a minute to complete. Accommodation providers simply need to input a few key details about their business, such as average booking value and the percentage of bookings currently coming from OTAs. The calculator will then provide an estimate of how much could be saved by shifting to more direct bookings. By leveraging this information, serviced apartment operators can make informed decisions about their distribution strategies and potentially improve their profitability.
To find out how much you could save with direct bookings, explore the W4B OTA Calculator on their website https://websiteforbookings.com/.