LateRooms.com (part of industry major Tui Travel) has increased its commission charges from 15% to 17% – a rise of over 13%.
A spokesman commented:
“Our first increase in commission rates since May 2010 is a result of the increased investment required to drive the digital improvements necessary in order for us to continue driving the highest number of guests possible through to our properties.
“Our Hotel Relationships team, based at our HQ in Manchester, are available to our hoteliers to discuss via phone or email any questions they may have relating to the current rate of commission.”
It seems unlikely that small and independent hoteliers, in particular, will be impressed by this justification, which applies equally to hoteliers who have always to ‘drive improvements’ that will attract and retain guests.
And it will certainly encourage hoteliers to look even more carefully at exactly when and how they offer discounts on rates.