It’s no secret that the travel industry is on the upswing after many of the challenges that arose due to the COVID-19 pandemic. With demand rising and more customers than ever in the driver’s seat, the role of travel agencies and OTAs is crucial.
In 2022, OTA bookings accounted for $798 billion in booking volume and 24.3% of Americans utilized in-person agents. And with “travel experiences” becoming the norm, the use of agency partners shows no plans of slowing down. However, the time it takes to pay out and receive commissions continues to be a challenge for agencies and hoteliers.
Why timely payments are necessary
Of course everyone wants to receive payments as quickly as possible, but timely payments are critical in the world of hospitality.
Helps suppliers maintain positive cashflow
In business, bottom line is important, and travel agencies are no different. Being able to market their business, pay staff, and visit with clients – not to mention handling utilities and office supplies – are all things that cost money, so agents have an interest in making sure that payments arrive predictably and in the anticipated amounts. When funds are missing, it means that the company can’t function at its full capacity, which in turn leads to a negative experience for both clients and partner hotels.
Manages reputation among partners
Gone are the days of customers taking advertisements at face value. These days, word of mouth and company reviews are some of the top drivers for purchase decisions. In fact, nearly 72% of travelers say that they won’t even book a room without some prior research.
This is great news for properties that are providing exceptional service and treating partners well. However, those who are neglecting their agency partners and their payments may find themselves in a bit of a bind. If a hotel has a reputation for incomplete, late, or missing payments, agencies may make a point to highlight this across review sites and social media, leading to lower scores and potentially lost bookings.
How to streamline payment process
With such a variety of hotels and agencies, it should come as no surprise that there are multiple payment and acceptance methods available in the market. However, these methods aren’t necessarily “one size fits all” approaches, and utilizing incorrect or outdated payment processes could lead to friction between both parties.
From bank transaction fees to lost or late payments, it’s easy to run into problems using some of the current processes. So what can you do to make sure commissions are paid and both parties are happy? One easy way to streamline the payment process is through the use of processing partners like Onyx CenterSource.
The power of partnership
Onyx’s solutions are key components of thousands of partners’ commission workflows, taking the guesswork out of payments and providing insights into performance.
- Onyx’s industry-leading CommPay service streamlines the commission process for hundreds of thousands of hotels and resorts around the globe, ensuring that hotels retain postive agency partnerships through accurate and timely payment. The platform ensures that the travel bookers who bring you business are paid accurately and on time while reducing your administrative cost and effort.
- Sure Pay’s platform consolidates agency commission payments from hotels around the globe, allowing them to receive one scheduled payment in the currency and payment method of their choice with full reporting. Agencies also gain exclusive access to Onyx’s dedicated client services team to help resolve payment inquiries.
- RecoverPro is a robust hotel commission recovery offering that manages every aspect of reconciling, tracking and accounting for current and past payments owed from any hotel with which agencies do business, all over the world. With a cost-effective, Onyx-managed recovery process, agencies can receive more of the commissions they’re owed.
Plus, each of these offerings provides robust reporting that gives users the tools they need to see which partners are performing and which may benefit from optimizations to their payment processes.
If streamlining your workflows is top of mind, contact Onyx today to learn more about how our payment solutions can help.