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7 min readBy Onravetoni

Increase direct bookings: how hotels win guests back from Booking.com

Booking portals bring reach, but every booking costs commission, often a double-digit percentage of the room rate. Every booking you get directly instead improves your margin immediately. This article shows what hotels are allowed to do, where direct bookings are lost and which measures pay off, with the legal situation in Germany and the EU.

You may be cheaper on your own website

For a long time Booking.com required hotels not to be cheaper on their own website than on the portal. Germany's Federal Court of Justice upheld the Federal Cartel Office's ban of this "narrow best-price clause" on 18 May 2021 (KVR 54/20). In 2024 the EU Court of Justice ruled that Booking.com's parity clauses do not qualify as ancillary restraints (C-264/23). Since Booking.com was designated a gatekeeper under the Digital Markets Act in 2024, such clauses are prohibited for it EU-wide.

In practice: you can reward direct bookers with a better price or with added value such as breakfast, late check-out or free parking.

Where direct bookings are lost

Guests ready to book direct often drop out at the last moment. Typical reasons:

  • The website shows no price without filling in a form first.
  • The booking flow switches to a foreign, outdated design or has too many steps.
  • The direct price isn't cheaper, or the benefit isn't shown.
  • Cancellation terms are unclear while the portal highlights "free cancellation".
  • The site loads slowly on a phone.

Measures that pay off

The most effective levers, in the order we would implement them:

  • A visible direct booking benefit on every page and in the booking flow.
  • Google hotel ads and free booking links, so your website appears next to the portals in hotel search.
  • A maintained Google Business Profile with a link to the booking engine.
  • Contacting guests after their stay: returning guests get an email offer, where they consented or the existing-customer exception applies.
  • Answering phone and email enquiries quickly, ideally with a direct booking link.

Measure what the website saves

Calculate monthly: number and revenue of direct bookings times your average commission rate gives the commission saved. Set that against the cost of website, booking engine and advertising. This figure shows whether investing in the website pays off, better than any visitor statistic.

Switching portals off entirely is not a good idea for most properties; they remain a channel for new guests. The goal is a healthy mix in which returning and informed guests book direct. We set up website, booking engine and tracking from €1,800.

Frequently asked questions

May I offer a lower price on my website than on Booking.com?
Yes. Narrow best-price clauses have been unlawful in Germany since the 2021 Federal Court ruling, and the Digital Markets Act prohibits Booking.com's parity clauses EU-wide.
Are Google hotel ads worth it for a small property?
Often yes, because guests compare prices there and your website sits right next to the portals. Start with a small budget and measure direct bookings.
What about guests who booked through the portal?
You may show them during their stay that booking direct next time has benefits. For marketing emails you need a legal basis, usually consent.

Sources

Tell us your share of direct bookings and your hotel software. We show where bookings are lost and what the improvement costs.

Analyse my direct bookings