← Back to all posts
Short-term lets UK

Direct Bookings vs OTAs: How to Reduce Your Commission Costs

Airbnb takes 3-15%. VRBO takes 15%. Booking.com takes 15-20%. Here's how to build a direct booking channel alongside your OTA listings.

OTAs bring guests. They also take 15-20% of your revenue. You need both channels.

Airbnb, VRBO, and Booking.com are not free marketing. They are paid distribution channels, and the price is a significant chunk of every booking.

On a £150/night booking for 7 nights (£1,050), a 15% commission is £157.50. Over a year of solid bookings, that is thousands in commissions. On a property earning £20,000/year gross, 15% commission is £3,000 straight off the top.

The answer is not to abandon OTAs. They bring visibility and bookings you would never get otherwise. The answer is to build a direct booking channel alongside them so that a growing proportion of your revenue avoids the commission entirely.


The role of OTAs

Be honest about what OTAs do well:

Pulling your listings from OTAs entirely is almost always a mistake unless you have an established brand and a strong repeat-guest base.


The case for direct bookings

Direct bookings give you:


How to build a direct booking channel

1. Have a bookable web presence

You need somewhere guests can see your property and enquire or book. This does not have to be a custom website. Options:

The key is that the guest can find your property outside of Airbnb and take action (enquire, book, or contact you).

2. Offer a direct booking incentive

Give guests a reason to book direct rather than going back to Airbnb:

3. Convert OTA guests to direct

This is the long game. A guest who books on Airbnb this year should book direct next year.

4. Use social media for visibility

Instagram is particularly effective for STL properties. Good photos of your property, local area shots, guest reviews (with permission), and seasonal content build awareness. Every post should include your direct booking link.

Facebook groups for local tourism, "visiting Edinburgh" type communities, and holiday let directories are also worth your time.

5. List on free or low-cost directories

Not all listing sites charge 15% commission:


Calendar sync is essential

The moment you take bookings from multiple channels, double-booking becomes a real risk. You need calendar synchronisation.

iCal sync is the standard. Most platforms support iCal export and import:

This keeps availability in sync across all channels. When a guest books on Airbnb, the dates are blocked on VRBO and your direct booking calendar automatically.

The sync is not instant - there is typically a 15-minute to 2-hour delay depending on the platform. For high-demand dates, you may need to manually block calendars as a belt-and-braces measure.


Pricing strategy across channels

With multiple channels, your pricing needs a strategy:

The maths on a £150/night booking:

Channel Nightly rate Commission You receive Guest pays
Airbnb (host-only fee) £150 15% (£22.50) £127.50 £150
Airbnb (split fee) £150 3% (£4.50) £145.50 ~£170 (incl guest fee)
VRBO £150 15% (£22.50) £127.50 ~£170
Booking.com £150 15% (£22.50) £127.50 £150
Direct £140 0% £140 £140

Direct at £140 gives you more than any OTA at £150. The guest pays less. Everyone wins except the platform.


How SelfLet Stays helps

SelfLet Stays manages bookings across all channels - Airbnb, VRBO, Booking.com, and direct bookings - in one calendar with iCal sync. Every property gets a public listing page with an enquiry form for direct bookings, so you have a commission-free channel from day one. The finance module breaks down revenue by channel so you can see exactly how much you are paying in commissions and how your direct booking channel is growing.

Stay in the loop

Get landlord guides, compliance updates, and product news. No spam - just useful stuff.

Or join the waitlist to try SelfLet free for 30 days.