Sheli from Guesty explains why listing properties on individual OTAs is tedious and how channel managers like Guesty handle it instead. OTAs have different payment setups: Airbnb processes payments directly, HomeAway requires a separate processor, and Booking.com lets you choose. Guesty uses Stripe and works in over 80 countries.
Questions this video answers
Over 80 countries.
Stripe.
Yes — Airbnb processes the payments for hosts.
Yes — HomeAway requires hosts to use a payment processor.
Booking.com allows hosts to choose either option (OTA processes payments or host uses a payment processor).
Chapters
How easy is it to get started on these sites? What is the requirements from OTAs to get on their website?
So listing your properties on each individual platform is actually very time consuming. There's a whole acceptance process for some platforms. Some platforms require you to have certain picture level. Every platform is different in their requirements. So then once you're looking to get on different OTAs, you need to learn what each of those requirements are, then you need to go and create the property, right? And then, you know, the list goes on and on if you're doing this individually, which is why platforms like Guesty that do have a channel manager feature help you guys synchronize all of this in one place, where you're creating the listings in one place and you're uploading the listings and distributing the listing to the different platforms with, you know, one place to do it from uploading your, you know, changing your pricing strategy, all of that. So again, you know, listing your properties on an OTA definitely needed, especially to, you know, as Mark said, really drive direct reservations as well. And we'll talk about that later. But of course, again, you know, you don't have to spend so much time doing it with the platform behind you.
Well, I like that. I like the little mention of guests as well. So we can talk. So I'm a property owner. I've got one property in the middle of Spain and I go on to say booking.com I go and list my property on there. I get a booking, which is great. Now how do I get paid? Do I, do I get paid from the OTA directly? Do I have to wait for the guest to pay me? How does the sort of the payment part work?
So each OTA has a different payment policy, right? So again, when you're looking at each ota, you need to look at which payment policy works for you. Some are paying directly at check ins, some are paying half, you know, half at booking confirmation, half at check in or, or holding that deposit and only releasing it after. Right? There is different, different ways that these OTAs collect payments, but they are directly between you and the ota. So they are the ones that are paying you out for some of them. And for others you are required to process these payments on your own and use a payment processor. So for example, booking.com, you can choose either option. HomeAway, you will need to use a payment processor as well. Right? Airbnb processes the payments for you.
If it comes to like payment processes and stuff, is there any specific one that you with, ie Stripe or FabPay or do you work with everybody when it comes to collecting payments?
Again, in regards to Airbnb, they're the ones processing the payment. But if you're using our payment processor, which is Stripe, then that is who we're working with. And it's because of their global coverage that we work with them. But we are looking to add more payment processors to even reach more countries, because Guesty's operating in over 80 countries right now.
Nice. Okay, so all sounds good. So basically, you can put your property for free onto do these massive online travel agents that spend billions in making sure that people come onto their property instead of everybody else's. Their website. So then they will promote your property on there. And then all you have to do is then you have to pay them a commission when a booking comes in.
