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How much profit from booking a room on my website?

Posted on 2011-09-10
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Last Modified: 2013-11-19
I am considering adding various API's to reserve a room from my website. But only as a way to boost profits.

Does anyone have any idea what kind of money we are talking about?

If there were a hotel room for $100 reserved on my website, what could I expect to earn?

Pennys?  Dollars?

Please give me some idea. You don't ned to be exact.

Personal experience s good also.

Thanks,
newbieweb

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Question by:newbieweb
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9 Comments
 

Author Comment

by:newbieweb
ID: 36517333
I see this page but don't really understand it fully. My website does not involve hotel rooms, but I thought I could add that capability and earn some money.

Please let me know....

http://expediaaffiliate.com/commissions-payments
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LVL 13

Expert Comment

by:AielloJ
ID: 36517700
newbieweb:

That's a pretty open ended question that depends on a lot of variables.  How much traffic does your website get?  Is it the type of site someone looking to book a hotel room would go to?  How well is the site placed on search engines?  How many rooms per month do you think you can book?

All that being said, the success factor in most businesses is "What differentiates your business from the thousands of competitors out there?"  If you have a unique service or something that goes above and beyond the competition then yours will come out on top.

AielloJ
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Author Comment

by:newbieweb
ID: 36517880
Thanks. But my question is how much I could stand to profit if I booked one room at $100? Getting that sale is a different mater entirely. But I am trying to understand if the profit motive is worth the exercise.
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Websites are getting bigger and complicated by the day. Video, images, custom fonts are all great for showcasing your product/service. But the price to pay in terms of reduced page load times and ultimately, decreased sales, can lead to some difficult decisions about what to cut.

 
LVL 81

Expert Comment

by:David Johnson, CD, MVP
ID: 36520531
it would greatly depend upon your contract with the hotel chain
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LVL 81

Accepted Solution

by:
David Johnson, CD, MVP earned 500 total points
ID: 36520542
The commission rate varies with the brand, the price range and the length of the stay. The average is 8%
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Author Comment

by:newbieweb
ID: 36520543
I am so confused.

I thought the deal would be with Orbotz, for example. Then if your user reserved a room on Orbitz, there would be a payout for landing that order.

I must have no idea how this whole thing work...

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Author Comment

by:newbieweb
ID: 36520548
Sorry, I did not see your last post before I posted. So that means I'd get typically $8.00 of the room amount was $100?
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LVL 81

Assisted Solution

by:David Johnson, CD, MVP
David Johnson, CD, MVP earned 500 total points
ID: 36520573
yes if the user clicks on your affiliate link to book the room. I don't know hotels.com or orbitz commision rates but it probably is less.  The 10% is paid to travel agencies that book the rooms
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Author Closing Comment

by:newbieweb
ID: 36546831
Thanks!
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