The Importance of Direct Bookings for Serviced Accommodation Operators and Landlords

Booking platforms have changed the way people find and reserve serviced accommodation. While these platforms offer convenience and exposure, relying heavily on them can limit profits and control for operators and landlords. Direct bookings provide a valuable alternative that can improve revenue, guest experience, and business sustainability. This post explores why direct bookings matter and how serviced accommodation providers can benefit from encouraging them.

A bright and welcoming serviced apartment living room with modern furniture and natural light

How Booking Platforms Affect Serviced Accommodation Providers

Online travel agencies (OTAs) and booking platforms dominate the accommodation market. They offer a wide audience and easy booking processes, but they come with costs and limitations:

• High commission fees: Platforms often charge 15% to 25% per booking, cutting deeply into profits.

• Limited guest data: Operators receive minimal information about guests, making it hard to build relationships or market directly.

• Reduced pricing control: Platforms may enforce pricing rules or discounts, limiting flexibility.

• Dependence risk: Relying on platforms means vulnerability to policy changes or account suspensions.

  
  

These factors reduce the control operators and landlords have over their business and earnings. Direct bookings offer a way to regain control and improve profitability.

Benefits of Direct Bookings for Operators and Landlords

Encouraging guests to book directly brings several advantages that impact the bottom line and guest satisfaction.

Increased Revenue

Without platform commissions, operators keep a larger share of the booking value. For example, a £100 nightly rate booked through a platform with 20% commission leaves £80. Booking directly means the full £100 stays with the operator. Over many bookings, this difference adds up significantly.

Better Guest Relationships

Direct bookings allow operators to collect guest contact details and preferences. This data enables personalized communication, loyalty programs, and targeted offers. Building a direct relationship increases repeat bookings and positive reviews.

More Pricing Flexibility

Operators can set prices freely without platform restrictions. They can offer special deals, last-minute discounts, or premium rates based on demand. This flexibility helps maximize occupancy and revenue.

Enhanced Brand Control

Direct bookings strengthen the operator’s brand identity. Guests interact directly with the business, not a third party. This control improves the guest experience and builds trust.

Reduced Risk

Relying less on platforms lowers the risk of sudden changes affecting bookings. Operators can diversify their marketing channels and maintain steady revenue streams.

Strategies to Increase Direct Bookings

Moving guests from platforms to direct booking requires clear strategies and consistent effort.

Build a User-Friendly Website

A professional website with an easy-to-use booking engine is essential. It should include:

• Clear property descriptions and photos

• Transparent pricing with no hidden fees

• Secure payment options

• Mobile-friendly design

  
  

Offer Incentives for Direct Booking

Encourage guests to book directly by offering benefits such as:

• Lower rates or exclusive discounts

• Free upgrades or amenities

• Flexible cancellation policies

• Loyalty rewards for repeat guests

  
  

Use Email Marketing

Collect guest emails during stays or inquiries. Send newsletters with special offers, local tips, and updates to encourage repeat bookings.

Promote Direct Booking on Platforms

Use your listing descriptions and messages to remind guests about the benefits of booking directly next time. Some platforms allow linking to your website in profiles or confirmation emails.

Leverage Social Media and Local Partnerships

Engage potential guests through social media channels by sharing content about your property and local attractions. Partner with local businesses to offer package deals that require direct booking.

Examples of Successful Direct Booking Approaches

• A serviced apartment operator in London created a loyalty program offering 10% off for direct bookings. Within six months, direct bookings increased by 30%, reducing commission costs.

• A landlord managing multiple properties in Edinburgh redesigned their website with a simple booking system and added a free airport transfer for direct bookings. This attracted more guests to book directly, improving revenue.

• A small serviced accommodation provider in Manchester used email marketing to send seasonal offers to past guests. Repeat direct bookings grew steadily, building a reliable customer base.

  
  

Challenges and How to Overcome Them

Encouraging direct bookings is not without challenges. Operators may face:

• Guest trust issues: Some guests prefer platforms for perceived security. Overcome this by highlighting secure payment methods and clear policies.

• Marketing skills: Operators may lack experience in digital marketing. Consider hiring experts or using easy-to-manage tools.

• Initial investment: Building a website and booking system requires time and money. View this as a long-term investment that pays off.