Stop Losing Profit: 5 Ways for Indian Hotels to Reduce OTA Commissions
High commissions from Booking.com, Goibibo & MakeMyTrip are hurting your revenue. Learn 5 practical strategies to increase direct bookings and boost your hotel's profit.
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Stop Losing Profit: 5 Proven Ways to Reduce OTA Commissions Online Travel Agencies (OTAs) like Booking.com, Goibibo, and MakeMyTrip are a necessary part of the modern hotel business. They give you incredible visibility and bring guests to your door who would otherwise never find you. But this visibility comes at a steep price—commissions ranging from 15% to over 30%.
This creates a love-hate relationship for many hotel owners. While you can't completely eliminate OTAs, you can strategically reduce your dependency on them. The key is to drive more direct bookings.
Here are 5 proven strategies to help you stop losing profit and take back control of your revenue.
Alt-text: Hotel manager smiling while confirming a direct booking on the hotel's website.
- Make Your Website Your Best Salesperson Your hotel's own website is your most powerful tool. If your website is slow, outdated, or doesn't have a simple booking process, guests will naturally go back to the familiar interface of an OTA.
Invest in a Professional Website: Your site should be clean, modern, and mobile-friendly. High-quality photos are non-negotiable.
Integrate a Simple Booking Engine: The booking process should be fast and easy—three steps at most. Show clear room types, rates, and availability.
Build Trust: Display guest testimonials, security badges, and clear contact information to make guests feel confident booking directly with you.
- Offer a "Best Rate Guarantee" (and Mean It) Give guests a compelling financial reason to book directly. The most effective strategy is to guarantee that the price on your website is the lowest available anywhere online.
Display It Prominently: Place a "Best Rate Guaranteed" banner on your homepage and throughout the booking process.
Add Extra Perks: Sweeten the deal for direct bookers with small perks that don't cost you much, such as a complimentary welcome drink, free Wi-Fi upgrade, or a flexible check-out time.
- Build a Simple Guest Loyalty Program The easiest person to sell to is a happy past customer. OTAs hide guest contact information, but when a guest stays with you, you have a golden opportunity to build a direct relationship.
Collect Guest Emails: At check-in, ask guests if they'd like to join your exclusive mailing list for special offers.
Reward Repeat Business: Create a simple loyalty program. It could be a "Stay 5 nights, get the 6th at 50% off" card or a unique discount code you email to past guests for their next visit.
- Use Social Media to Drive Direct Traffic Use platforms like Instagram and Facebook to showcase what makes your hotel special—your ambiance, your staff, happy guest photos, and the local Kanpur experience.
"Book Now" Button: Ensure your social media profiles have a prominent "Book Now" button that links directly to your website's booking page, not to an OTA.
Run Exclusive Social Media Offers: Post special deals that are only available to your followers who book directly. This encourages people to follow you and bypass the OTAs.
- Leverage Your Front Desk Staff Your front desk team is on the front line. Train them to be your direct booking champions. When a guest who booked through an OTA is checking out after a pleasant stay, your staff can say:
"We're so glad you enjoyed your stay with us! For your next visit to Kanpur, be sure to book directly on our website for a special returning guest discount."
This personal touch is incredibly effective and plants a seed for future, commission-free business.
Conclusion: Technology is Your Ally Reducing your reliance on OTAs is a long-term strategy that requires a systematic approach. Managing your own website bookings, tracking guest loyalty, and communicating special offers can be a lot to handle manually.
This is where a modern, lightweight hotel management system becomes your greatest ally. The right software automates these processes, giving you the tools you need to build your brand and increase your profitability. It helps you bring order and efficiency to your operations, because when the "System Sahi, Sab Sahi."
Need Help with Your Business?
At Ritam Bharat, we specialize in creating custom software solutions that help Indian businesses grow and scale efficiently. Let's discuss how we can help transform your business.