Direct Booking vs. Airbnb and Other OTAs: Why You Don’t Need a Direct Booking Website the Way You Think
In the growing industry of short-term rentals, there’s a growing push for property owners to create direct booking websites, cutting out third-party platforms like Airbnb and other Online Travel Agencies (OTAs). While the idea of keeping all the profits and controlling the guest experience from start to finish is appealing, many property owners may not need a direct booking website—at least not in the way they imagine.
The truth is, platforms like Airbnb, Vrbo, and Booking.com offer incredible value in helping you acquire first-time guests. Instead of seeing them as competitors to direct booking, think of OTAs as powerful marketing tools to get in front of millions of travelers.
Direct booking websites can come into play later, as a strategy for recapturing guests once they’ve stayed at your property. At Oikos, we use both for our owned and managed properties. We use products like StayFi to collect guest information for future use, and leverage the OTA platforms to bring new guests as well.
Here’s why this hybrid approach might be the most effective strategy for your rental business.
Why Airbnb and OTAs Are Irreplaceable for Acquiring First-Time Guests
1. Built-in Audience & Trust
Airbnb, Vrbo, and other OTAs have already done the hard work of building massive customer bases. These platforms spend millions of dollars each year on marketing, SEO, and app development to attract travelers to their sites.
As a small or independent property owner, competing with that kind of reach would require enormous time, resources, and money.
Additionally, guests trust these platforms.
Airbnb, for instance, offers protections, transparent reviews, and established booking processes that make travelers feel comfortable.
First-time guests who don’t know your property will be much more likely to book via a trusted platform rather than through a direct booking site they’ve never encountered before.
2. SEO and Traffic
Even if you have a fantastic direct booking website, getting it in front of potential guests isn’t easy.
SEO (Search Engine Optimization) can take months or even years to pay off, and that’s if you’re highly skilled or can afford a top-tier SEO agency.
In contrast, OTAs already dominate Google search results and mobile app rankings.
This means your listing on an OTA will be seen by thousands of potential guests right from the start.
3. Low Barrier to Entry
Setting up a listing on Airbnb or another OTA is relatively simple compared to building and maintaining your own direct booking site.
With OTAs, all the tools you need—payment processing, guest communication, availability calendars—are built into the platform.
You won’t have to worry about designing a site, handling tech issues, or paying for marketing campaigns to get eyes on your property.
The Power of Recapturing Guests with Direct Bookings
Once you’ve acquired first-time guests through OTAs, that’s where your direct booking website can really shine.
Instead of trying to bypass platforms like Airbnb altogether, focus on using your direct booking site as a tool to recapture previous guests.
1. Building a Relationship with Guests
The real value of a direct booking website isn’t in getting first-time guests—it’s in turning one-time visitors into repeat customers.
Once someone has stayed at your property and had a great experience, they’re much more likely to want to return.
This is your opportunity to introduce them to your direct booking site and offer them incentives to book directly next time.
During their stay, you can leave personalized thank-you notes or printed materials promoting your direct booking site, offering a discount or exclusive benefits for future stays.
These guests now trust you and your property, making them much more likely to skip the OTA fees and book directly next time.
2. Loyalty and Guest Retention
A direct booking website becomes especially valuable when you focus on loyalty.
If guests loved their stay, offering them perks like discounted rates, early check-ins, or other exclusive bonuses through your site can make a big difference.
You can even build an email list of past guests and send them special offers or updates to keep them engaged.
Instead of investing heavily in trying to compete with OTAs for first-time bookings, direct your marketing efforts toward retaining past guests through your website.
3. Avoiding OTA Fees for Repeat Guests
One of the biggest reasons property owners want to move away from OTAs is the fees.
While OTAs typically take a percentage of each booking, direct bookings allow you to keep the entire amount.
This is where recapturing previous guests comes into play.
You’ve already paid OTA fees for the initial booking, so recapturing them directly avoids those costs on future stays.
By using your direct booking site strategically, you can minimize OTA fees over time, particularly as you build a loyal base of repeat customers.
When a Direct Booking Website Is Worth the Investment
That’s not to say a direct booking website doesn’t have its place.
There are situations where it makes sense to invest in a strong direct booking strategy:
- Multiple Properties: If you manage several properties, it might make sense to have a direct booking website that showcases all your rentals in one place. This can streamline the process for guests who are familiar with your brand and want to explore other properties in your portfolio.
- Brand Development: If you’re working to build a distinct brand around your properties (perhaps boutique stays or a unique vacation experience), a direct booking website can enhance your brand presence and offer a personalized booking experience that’s difficult to achieve on OTAs.
- Targeted Marketing: For property owners who are investing in paid ads, email marketing, or social media marketing, directing that traffic to your own booking site allows for greater control over the guest journey. But for most first-time hosts with a single family home property, your marketing costs will end up being the same as if you just listed directly on airBNB or other sites.
For the average property owner, you don’t need to stress about creating an elaborate direct booking site to compete with the likes of Airbnb.
Focus on leveraging the power of OTAs for guest acquisition, and use direct bookings to drive repeat business.
Direct booking websites can cost hundreds if not thousands of dollars to setup and maintain, and for one property in the suburbs, you’d be better off taking that money and reinvesting it into guest experience on your property.
Final Thoughts: The Hybrid Approach
Ultimately, the key to success is a hybrid strategy: use OTAs like Airbnb to bring in first-time guests, then recapture them through your direct booking website for future stays.
OTAs are unmatched when it comes to attracting new travelers, but once guests know and trust your property, your direct booking site can help you reduce fees and increase loyalty.
By thinking of Airbnb and other OTAs as partners in marketing, rather than competitors, and using your direct booking site as a tool for guest retention, you can create a balanced and efficient business model that works in your favor.
After all, in the world of short-term rentals, it’s all about smart strategy—not simply cutting out the middleman.