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Direct Bookings vs. OTAs: How a Booking Engine Can Help You

Direct Bookings vs. OTAs: How a Booking Engine Can Help You

On 8 July 2025
E

In hospitality, the battle between direct bookings and Online Travel Agencies (OTAs) is at an all-time high.

OTAs, such as Booking.com and Expedia, provide properties with global exposure, while direct bookings offer better margins, data, and brand control. 

But this shouldn't be a battle at all. You see, progressive hoteliers do not choose either; instead, they opt for a good mix of both, supported by the right technology.  

That's where Reserveport comes in, it empowers you to utilize OTAs for visibility and drives direct bookings for profitability. 

OTAs vs. Direct Bookings: What's the Real Difference? 

An OTA booking is a third-party travel platform that displays your hotel alongside those of your competitors. In return for visibility, sales, and convenience, they charge commissions, often ranging from 15% to 30%, depending on which OTA. 

On the other hand, direct bookings are made through your website, mobile app, phone, email, or social media directly to your hotel. No intermediary. No commissions. Just a direct relationship with your guests. 

The OTA Advantage: 

OTAs (Online Travel Agencies) offer hotels significant advantages, including high global visibility that can attract travellers from around the world with minimal or no marketing spend. They also provide powerful tools and analytics to help hotels target the right audiences, build trust through guest reviews and flexible cancellation policies, and offer a fast, seamless booking experience that today's travellers expect. 

The Direct Booking Advantage: 

On the other hand, direct bookings come with their own set of benefits. Hotels can avoid paying high commissions, leading to better profit margins. More importantly, direct bookings foster stronger relationships with guests, provide access to valuable customer data, and open doors for personalized experiences and upselling opportunities that drive long-term loyalty and revenue. 

Why the Friction Exists and Why It Shouldn't 

OTAs improved travel bookings by solving a key pain point of traditional agents: lack of transparency. They displayed real-time availability, transparent pricing, and guest reviews, making them the go-to choice for travellers. 

Hotels initially embraced them for the exposure, but today, many are rethinking their over-dependence. Why? 

  • OTA commissions have increased 
  • Guest data is locked away 
  • Brand loyalty is harder to build 
  • There is intense competition among hotels listed on online travel agencies (OTAs). 

Still, OTAs make a significant contribution to revenue. So, the question isn't which is better. It's how to balance both. 

Why smart Hotels use Booking Engine Reserveport 

Rather than fighting OTAs, Reserveport helps you win on both sides by converting OTA visibility into direct bookings and managing everything from a single dashboard. 

 

  1. Optimize Your Website for Direct Booking

Reserveport empowers you to turn your hotel website into a revenue-generating machine with the following features: 

  • Fast, mobile-first booking interface 
  • Real-time availability and pricing 
  • Flexible cancellation and refund policies 
  • Secure payments and upsell options 
  • Loyalty discounts for return guests 
  1. Built-in channel Manager to Sync OTAs

Reserveport acts as your central control hub, syncing your inventory, rates, and promotions across multiple online travel agencies (OTAs) while eliminating double bookings and manual updates. 

  1. Smart Pricing and Personalization

Use data-driven pricing tools to: 

  • Maintain rate parity across platforms 
  • Offer exclusive packages for business travelers, families, or last-minute guests 
  • Run personalized promotions for returning guests or high-value online travel agency (OTA) bookers. 
  1. Convert OTA Guests into Direct Bookers

Your relationship doesn't end when a guest books via an OTA. Use Reserveport to: 

  • Capture guest emails during check-in 
  • Offer discount codes or loyalty rewards for their next direct booking 
  • Create tailored follow-up offers based on their stay preferences 

5 Pro Tips to Strike the Right Balance 

  1. Offer a Loyalty Program

Travelers love rewards, and online travel agencies (OTAs) struggle to compete in this area. Offer perks like: 

  • Free breakfast 
  • Pool/gym access 
  • Early check-in or late checkout 
  • Only available for direct bookings. 
  1. Implement Smart Pricing Strategies

Use Reserveport's revenue tools or consult revenue managers to: 

  • Set the right price at the right time 
  • Offer dynamic rates during peak seasons 
  • Use bundles and flash sales on your website 
  1. Flexible Cancellation and Refunds

Many OTAs have rigid refund timelines. Give your direct bookers a better experience with the following: 

  • Transparent policies 
  • Hassle-free refunds 
  • Same-day cancellations 

 

  1. Optimize Both Website & OTA Listings
  • Keep high-res images and updated info on OTAs 
  • Make your website SEO-friendly, fast, and intuitive 
  • Include reviews, FAQs, and nearby attractions 
  • Maintain rate parity across all platforms 
  1. Retarget Past Guests

Use Reserveport's guest data and email marketing tools to: 

  • Send personalized offers 
  • Promote new packages 
  • Turn past OTA guests into future direct ones 

So, Which Is Better: OTAs or Direct Bookings? 

The answer is both. 

OTAs deliver visibility and volume. Direct bookings deliver control and profit. When combined with the right strategy and a powerful tool like Reserveport, you can maximize the strengths of each. 

Think of OTAs as your lead generators and your booking engine as your profit centre. 

Ready to increase your direct bookings without ditching OTAs? Let Reserveport show you how. 

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