A direct booking is when a guest books directly with the hotel. This can be done through the hotel's website, by phone, by email, or at the hotel front desk. It does not involve third-party platforms such as OTAs (Online Travel Agencies).
When a customer books directly with a hotel, the hotel has more control over the customer relationship, pricing, and communication. It eliminates the commission fees typically paid to OTAs and allows hotels to collect and use guest data more effectively.
This data can be used to improve personalisation, loyalty programmes, and targeted upselling before and during a guest's stay. When it's connected to the PMS (Property Management System), direct bookings are automatically sent to the system, which checks if the room is available and sets the price.
Staff can manage these bookings and communicate directly with guests using CRM or messaging tools.
If more bookings are made directly, profit margins increase and guest loyalty improves. However, this requires a strong online presence, a solid pricing strategy, and a reliable booking engine.