Processing fee update

We are slightly adapting the processing fees for all bookings made on or after May 8th, 2024.

What is the processing fee and what does it cover?

The processing fee is a small percentage that is added on top of the nightly rate you configured, to cover our international customer service support as well as payment processing charges.

The most important information in a nutshell:

• Booking.com’s processing fee increases from 3% to 3,5%
• Airbnb’s processing fee decreases from 3% to 2,5%
• We haven't raised our overall prices; instead, we've modified the processing fee. 
• The updated fee structure applies just to all bookings made on or after the 8th of May 2024. Previous bookings stay untouched.

Why does the processing fee have to be updated?

By slightly updating the processing fee, we aim to:

1. Create a better booking price harmony across channels

Each channel covers for their service in a unique way, which can lead to variations in pricing across platforms. For instance, your property may have a different end rate on Airbnb compared to Booking.com. By customizing our processing fees, we aim to achieve greater price consistency across all channels.

1. Offer an improved diversity of bookings

Ultimately, adjusting the prices will ensure you are less dependent on one channel. One of our commitments to you is to diversify your bookings by distributing your properties across various channels. This diversification not only attracts different guests but also ensures a steady stream of bookings throughout the year. It brings you more stability and reduces risk.

1. Potentially increase the number of bookings and decrease the number of cancellations

Booking.com is a performing channel that generates a significant number of bookings for hosts. However, it also has a higher rate of cancellations compared to other portals, resulting in an increased workload for both hosts and for Holidu. We believe that this slight change of processing fee will bring positive results in terms of bookings and could ultimately slightly drive the cancellation rate down.

Is Holidu becoming more expensive?

We are not increasing our overall prices. In fact, we are updating the processing fee to make it lower for some bookings and higher for others.

Why is the processing fee for Booking.com more expensive?

Booking.com is a competitive channel that brings a significant number of bookings to hosts. However, it also involves a higher rate of cancellations, resulting in an increased workload.

Additionally, it's worth noting that all other channels have a lower processing fee compared to Booking.com

Why is the processing fee for Airbnb less expensive?

Airbnb is an important channel with high guest traffic; the decision to make your listing more competitive on Airbnb was made to maximize the overall number of your bookings.

If you have any further questions regarding this update, feel free to reach out to us via this contact form. We will be happy to assist you!