Hi @Isaac Tanner-Dempsey thanks for the thoughtful feedback and the additional context. For Direct basic, though we use Stripe Connect, we are not in the flow of funds, so we are not able to split payouts. However, we do have broader plans to support receiving reservation payouts (from Direct Basic and OTAs) into a Hospitable trust account where those funds would then be distributed to owners/managers based on the agreed commission split. This will be a feature of our Owner’s Portal.
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Abby Grous
Apr 25, 2025
Hi @Isaac Tanner-Dempsey thanks for the thoughtful feedback and the additional context. For Direct basic, though we use Stripe Connect, we are not in the flow of funds, so we are not able to split payouts. However, we do have broader plans to support receiving reservation payouts (from Direct Basic and OTAs) into a Hospitable trust account where those funds would then be distributed to owners/managers based on the agreed commission split. This will be a feature of our Owner’s Portal.
If that’s what you’re looking for, you can upvote this feature request to stay tuned! https://feedback.hospitable.com/p/owner-portal
Teal Savanna
Apr 24, 2025
Understanding Booking Fees and Stripe Connect Usage for Direct Bookings
OTA Booking Fees
Online Travel Agencies (OTAs) typically charge around 20% as a booking fee.
Direct Booking Strategy for Property Managers
Property managers can recoup some of their direct booking marketing costs by using Stripe Connect.
Stripe Connect allows for split payments, so funds can be automatically divided at the time of booking.
When to Use Stripe Connect
This method is most relevant when payouts are sent directly to the property owner's bank account.
In such cases, the property manager (or platform) can take a 20% commission or booking fee directly via Stripe Connect.
Alternative Use Case: Marketing Agencies
Stripe Connect can also be used if there is a marketing agency promoting direct bookings.
Instead of paying the agency a fixed or upfront marketing fee, an agreement can be made to pay them a percentage of each booking.
This ensures the agency is compensated only when they generate results (i.e. performance-based payment).