Hotel commissions - worth the chase?
For most corporate travel agents, achieving a 10% hotel attachment rate to their bookings is considered good. It’s been an issue in our industry for years now - how to increase your hotel sales - so when you do make a hotel booking, you want to be 100% sure you’re going to earn your commission on it. (Increasing hotel sales per booking is something else we’d like to talk about soon).
Most hotels do pay commissions - as much as 15% but on average 10% - and with hotel prices peaking at the moment, it’s a really good revenue earner for your agency, provided of course you ensure the commissions are chased and paid.
Are you leaving money on the table?
This is where CTS Systems steps in nicely. They are purely focused on chasing those hotel commissions for you, and we’ve integrated with them in a way where - with your permission - we can share all your hotel bookings with them automatically, so you don’t have to do anything extra in order to assure your commissions are going to get paid.
CTS has been in business for 28 years and offer a transparent commercial arrangement, a pro-active engagement with the hotel suppliers to ensure you get the maximum possible commission for what was booked, and they will even provide you with advice on the rates you are booking to suggest ones which might offer a higher commission. They also don’t only do this for hotels, but any supplier where commissions are paid including car rentals. Compared with agents simply passively waiting for commissions to be paid, they have achieved from 25% to 40% more cash banked for their clients.
Our partnership with CTS also helps you capture hotel bookings which might not have been invoiced by you - such as stand-alone hotel bokings or ones where the hotel segment is added after ticketing (which can be up to 72% of your hotel bookings), and it might never reach your back-office. If your commission chasing is from your back-office, these will therefore never be chased. Agentivity captures all your bookings all the time, so when we share your supplier bookings with CTS, it includes all of them - not only the invoiced ones.
Lastly, Agentivity also does a nice job of breaking down the (often jumbled) text in your GDS passive hotel bookings, and we share this with CTS as well. You can therefore be assured all your hotel bookings will be chased for commission on your behalf.
Want to know more? Contact Mark at info@ctssystems.com and mention Agentivity, and start making sure you don’t leave money on the table and get paid for every commissionable hotel booking!
