Why 64% of Our Bookings Are Direct – The Power of Non-OTA Distribution
In recent years, the landscape of short-term rentals in the UK has evolved dramatically. For landlords, the question of how to secure reliable, high-quality bookings is more pressing than ever. While online travel agencies (OTAs) like Airbnb and Booking.com have traditionally dominated the market, a growing trend is emerging: the shift towards direct bookings. At Keapr, we have observed that an impressive 64% of our bookings come from direct channels, highlighting the value of non-OTA distribution.
H2: Understanding Direct Bookings
Direct bookings refer to reservations made through a landlord’s own channels rather than through third-party platforms. These channels could include a landlord’s website, corporate relationships, or specialist databases designed for contractor and insurance relocations. The advantages of direct bookings are manifold, particularly for landlords who seek to maximize their rental income and maintain control over their properties.
H3: The Benefits of Direct Bookings
1. Higher Profit Margins: By avoiding OTA fees, which can range from 15% to 20%, landlords enjoy greater profitability per booking.
2. Established Relationships: Direct booking allows landlords to build relationships with companies, contractors, and insurance providers, encouraging repeat bookings and referrals.
3. Stability Through Longer Stays: With an average stay of 30 to 90+ nights, direct bookings often attract longer-term guests, reducing the frequency of tenant turnover.
4. Reduced Wear and Tear: Unlike short stays that may attract weekend party-goers, longer bookings from contractors and corporate clients usually result in less wear and tear on properties.
H2: Diversifying Revenue Streams with Non-OTA Distribution
Using non-OTA distribution strategies is essential for landlords looking to diversify their revenue streams and mitigate risks. By leveraging a wide range of distribution channels, landlords can reach various segments of potential guests, including contractors needing temporary accommodation and individuals seeking insurance relocation stays.
H3: 92+ Distribution Channels
At Keapr, we utilise an extensive network of over 92 different distribution channels, which allow us to connect landlords with diverse clientele. This breadth of options provides a competitive edge and allows for better occupancy rates throughout the year. Consider the following distribution strategies:
– Corporate Partnerships: Building direct relationships with companies can lead to ongoing referrals and bulk bookings, particularly for contractor accommodation.
– Insurance Database Distribution: Collaborating with insurance companies can bring in tenants needing temporary housing during claims processes, typically resulting in longer stays.
– Invoicing Options: Offering invoicing capabilities for corporate clients can simplify the payment process and attract businesses looking for hassle-free accommodation solutions.
H2: Why Quality Matters – Corporate Stays vs Standard Airbnb Guests
At the core of our success in achieving high rates of direct bookings is the emphasis on quality. While standard Airbnb guests may often be seeking short vacations, corporate clients prioritise reliability and comfort in their accommodation choices.
H3: Characteristics of Corporate Stays
– Professional Expectations: Corporate guests tend to have higher expectations regarding cleanliness, comfort, and amenities.
– Length of Stay: Corporate stays usually result in more extended bookings, thereby ensuring a steady income for landlords while reducing the time spent on finding new tenants.
– Less Turnover: With fewer transitions between guests, landlords experience reduced administrative burdens associated with cleaning and maintenance.
H2: Conclusion – Embracing the Future of Direct Bookings
The evolution of the short-term rental market in the UK dictates that landlords adapt their strategies to embrace non-OTA distribution. By prioritising direct bookings, landlords can enjoy increased profitability, reduced risk to their properties, and stronger relationships with their guests.
At Keapr, we are proud to guide landlords through this transition, ensuring they benefit from our extensive network of distribution channels, expert knowledge, and keen understanding of the rental market.
If you are a landlord looking for higher-quality, longer stays, speak to Keapr today.