The hidden costs eating into hotel revenue
🏨 Oct 1, 2025: Independent hotels face profitability challenges due to opaque distribution and payment fees. Hotels pay 10–30% in commissions to OTAs and 5–8% on bookings to metasearch platforms like Trivago. Click fees range from $0.10 to $1.30. Cross-border transactions incur 3–4% extra charges. Small hotel finance teams spend up to 40% of their time on payment reconciliations, costing $15,000–$30,000 annually. Greater transparency and technology adoption are recommended solutions.
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