Understanding the Fees of Digital Vacation Rental Platforms: Airbnb, Booking, Decolar and others

Digital vacation rental platforms mostly operate with two main billing models. The most common is commission per closed booking, widely used by giants such as Airbnb, Booking, Decolar, Expedia and others. This model allows owners to pay a percentage on each completed booking, providing a flexible solution for managing listings.

The other model, which is less common today, is the fee per listing model, in which the owner pays a fixed fee to have their property listed on the platform. This practice was very common on sites like Alugue Temporada, which dominated the market until around 2013. However, with the evolution of the market, the commission per booking model has become the standard, given its more dynamic and efficient nature.

Variable fees per platform

Platform fees can vary significantly, usually between 10% and 30%, depending on the platform and the additional services offered. Some allow the owner to choose to pay more for greater visibility, while others offer specific benefits, such as combining travel and accommodation packages.

- Booking.com:

Allows the owner to increase their commission rate to get more exposure and prominence on the site, which can be a differentiator in highly competitive markets.

- Decolar:

Offers the option of raising the rate by 5% so that ads participate in “airfare + accommodation” packages, increasing reach.

- Airbnb:

Charges a flat rate of 15%, making its pricing structure simple and predictable, without the possibility of modification to boost ad visibility.

These practices vary and can change according to market demands and trends, which makes it essential for property managers to always be aware of platform updates.

The Application of Fees at Omar do Rio

At Omar do Rio, all the fees applied by OTAs (Online Travel Agencies) are included in the final price offered to the client. We work with a net value, which represents our base price. If a platform charges 15%, we adjust the final price of the ad to X + 15%, ensuring that the platform's commission does not impact our revenue margin. This strategy, made possible by our channel management technology, allows us to be present on several platforms without compromising profitability and while maintaining a competitive strategy between them.

This approach allows us to maintain consistency in the prices offered to the public on different channels, while ensuring the desired financial return.

Our Commitment to Owner Profitability

At Omar do Rio, our focus is always on ensuring the best profitability for our owners. We constantly invest in revenue management technology and boosting strategies, ensuring that advertisements are optimized to obtain the highest number of bookings and a balanced occupancy rate, always with the best average daily rate.

If you would like to know more about how our Complete Vacation Rental Solution can help maximize your property's results, please contact us. We're ready to take your property to the next level. Let's work together!