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Sales and revenue

OTA (online travel agency)

An OTA (online travel agency) is an online intermediary, such as Booking.com or Expedia, that sells hotel rooms to its customers in return for a commission.

1 min read · Updated: September 28, 2026

OTAs give hotels reach they could not build alone: millions of users, reviews, apps and payments. The cost is a commission on every booking and a weaker relationship with the guest before arrival, which is why hotels balance OTA sales with direct bookings.

How it works in practice

Example: a hotel sells a room at £160 through an OTA at 15% commission and keeps £136. Across 1,000 OTA room nights a month, commission comes to £24,000. Moving even part of that demand to direct bookings changes the bottom line.

How technology helps

A channel manager keeps OTA availability in sync. hotelspot supports direct bookings through its services for hotels: websites built for direct bookings, SEO and AI visibility. During the stay, the hotel stays in direct contact with guests through the guest app.

How it works with hotelspot See: Services for hotels

Frequently asked questions

What is an OTA in hotels?
An online intermediary, for example Booking.com or Expedia, that sells hotel rooms in exchange for commission.
How much commission do OTAs charge hotels?
It depends on the platform, contract and visibility programmes. Hotels commonly pay a percentage of the booking value in the mid-teens.
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