Online travel agencies charge commission on reservations, but the way these commissions are calculated and applied can vary. Hotels often rely on reports and statements to confirm the accuracy of these charges.
Online travel agencies typically charge hotels a percentage of the reservation value as commission. The percentage depends on the contract between the property and the OTA and may vary based on promotions, marketing programs, or distribution agreements.
Commission discrepancies may occur when the wrong percentage is applied, when taxes or fees are included incorrectly, or when commissions are charged on reservations that were cancelled or modified.
Most hotels review commission statements and compare them with reservation reports from the PMS or channel manager. This process can involve checking reservation totals, commission percentages, and invoice amounts.
OTA commission charges are often spread across multiple invoices and reporting systems. Verifying them typically requires comparing reservation data, OTA reports, and financial statements to ensure the correct amounts were applied.
Hotels that process a large number of OTA reservations may occasionally encounter commission inconsistencies. Even small percentage differences can add up over time across many bookings.
Hotel Audit Wizard manually reviews OTA reservation data, commission invoices, and PMS records to verify that commissions have been calculated correctly and applied according to the hotel's agreement with the OTA.