What Is Direct Booking?

Did you know that 67% of travelers find it easier to book directly on a brand’s website rather than through a third-party platform? That means there’s a huge opportunity for vacation rental owners to attract more direct bookings — no middlemen, no extra fees, just a smooth experience for both you and your guests.

If you’re new to direct bookings, it might seem overwhelming at first, especially if you’ve never built a website before. But don’t worry! With the right tools and a little know-how, setting up a direct booking strategy is easier than you think. In this guide, we’ll walk you through what direct booking is, why it’s a game changer and how to get started.

The Convenience (and Cost) of Third-Party Sites

Imagine you’ve got a cozy beachfront apartment, beautifully furnished with charming wicker decor. You’re new to hosting, so you list it on Airbnb — and just like that, the inquiries start rolling in. It feels effortless, like turning on a faucet of guests.

Why? Because platforms like Airbnb and Vrbo have the marketing power, tech resources and massive audience that individual hosts can’t easily match.

But here’s the catch — convenience comes at a price. These platforms charge service fees that can take a 3% to 20% bite out of your earnings. Plus, you’re playing by their rules. Their policies, algorithms and rating systems constantly change and staying compliant can feel like walking on eggshells. Many hosts find themselves stressed over maintaining high rankings, avoiding penalties or dealing with sudden policy shifts that can impact their business.

While OTAs can be a great way to gain exposure, relying on them entirely means less control over your bookings, guest relationships and profits. That’s where direct booking comes in.

What is Direct Booking?

Direct booking is when guests reserve your vacation rental directly with you — without using third-party platforms like OTAs. Whether they book through your website, call you or message you on social media, the key is that you’re handling the reservation yourself. This means no middlemen, no extra fees and complete control over the booking process. Plus, it allows for direct communication with guests, making their experience more personal and seamless.

What is a Direct Booking Website?

A direct booking website is your digital storefront — where guests can explore your property, check availability and book their stay hassle-free. It typically includes property photos, a detailed listing description and a built-in booking engine. The best part? You don’t need a developer or coding skills to set one up.

With the Hostaway direct booking website builder, you can create and customize your own direct booking site easily, adding all the key details that help guests book with confidence. Some standard information found on direct booking websites include:

Tip: To make it as easy as possible for guests to book, place a “Book Now” button in multiple spots — like the top right corner and within different pages — so guests never have to search for it.

Why Vacation Rental Owners Need a Direct Booking Website

One of the biggest questions we hear after “What is a direct booking website?” is, “Is it really worth it?”

The answer? Absolutely! The benefits far outweigh the initial effort, giving you more control, higher profits and a stronger connection with your guests.

To help you see why having your own direct booking website is a game-changer for your vacation rental business, we’ve outlined some key advantages below — but when you have control over your reservations, the possibilities are truly endless.

No commissions

OTAs can take 15%–20% in booking fees from you and your guests. These extra costs can quickly add up, making your rental less attractive to budget-conscious travelers. Here’s a breakdown of what major OTAs charge:

While OTAs provide exposure, these fees cut into your profits and make direct bookings a much more lucrative alternative. Instead of paying commissions to listing sites, you can reinvest those savings into things that enhance guest experience of potential guests — like offering a welcome basket, providing breakfast or adding thoughtful touches that encourage positive reviews and repeat bookings from loyal guests.

By shifting to direct bookings, you gain more control over pricing and remove unnecessary fees to create better value for both you and your guests. It’s a win-win.

More value with direct bookings

One of the biggest advantages of direct bookings is the higher value per reservation — both for your business and your bottom line. When guests book directly with you, you keep more of your earnings instead of handing over a percentage to OTAs.

A report by VRMintel, ”The Value of Direct Bookings” found that the average Airbnb booking is worth around $906, while a direct booking averages $1,935. That’s a staggering $1,029 difference per reservation — more than double the value.

Beyond just higher revenue, direct bookings open up more opportunities for upsells and extra services. H2c’s 2023 Digital Hotel Operations Study found that property managers, hotels and vacation rental owners who accept direct bookings can nearly double their ancillary revenue — jumping from 15% to 29% — by offering extras like early check-ins, local experiences or premium amenities.

With OTAs, these opportunities can be limited, but with a direct booking site, you’re in full control — meaning more revenue and a better guest experience.

Increased length of stay

Any seasoned host knows that higher guest turnover means more work — more check-ins, more cleanings and more time spent prepping for the next arrival. Even with a channel manager and automated tools to streamline guest management, shorter stays can still be a hassle.

That’s why many hosts aim to attract longer stays. Not only do they reduce the workload, but they also help minimize vacancies, providing a steadier income with fewer disruptions.

And here’s the good news: direct bookings naturally lead to longer stays. Let’s look at the numbers:

The average length of stay from a direct booking in the US according to VRMintel was 5.9 days, compared to 4.5 days on Airbnb. That extra day (or more) adds up quickly when it comes to revenue.

Let’s break it down:

Suppose you get four bookings a month at $100 per night. On an OTA, with an average stay of 4.5 days, you’d make $1,800/month before fees. With direct bookings, that average increases to 5.9 days, bringing in $2,360/month — a $560 boost, just by hosting guests a little longer.

Full control over your vacation rental

When you list your vacation rental on third-party platforms, you’re required to follow their rules — from pricing structures to cancellation policies and guest expectations. While these guidelines create consistency for travelers, they can be limiting for hosts.

With a direct booking strategy, you take back control. By using your own website and booking engine, you decide how to handle reservations, check-ins and payments — without restrictions. Instead of being bound by ever-changing platform policies, you can set your own house rules, pricing and terms that best suit your business.

Access to guest data for smarter marketing

The more you understand your guests, the better you can market your vacation rental. With direct bookings, you gain valuable insights into guest demographics, preferences and behaviors — data that OTAs usually keep to themselves.

This information allows you to personalize your marketing efforts, especially with social media marketing. For example, when running a Facebook ad campaign, you’ll know exactly who to target and what messaging will resonate, helping you attract more direct bookings with precision.

Debunking Myths About Direct Booking Websites

Even with all the benefits of a direct booking website, some might argue that it’s not worth the effort. But the truth is, many of the so-called "downsides" are simply misconceptions — and we’re here to bust them.

1. Do you have to choose between OTAs and your direct booking website?

Some vacation rental owners think they have to pick between OTAs or a direct booking website, but that’s not the case. You can list your property on Airbnb, Vrbo, Booking.com and your own direct booking website — all at the same time!

In fact, most listing sites expect hosts to cross-list their properties. The more places your rental appears, the more potential guests you’ll reach, increasing your chances of securing online bookings. So why limit yourself?

2. Do direct bookings come with more risk?

At first glance, having a third-party platform manage your vacation rental bookings might seem safer. Many OTAs offer host protections for cancellations or property damage, which can make some owners worry that without them, their property is more vulnerable to last-minute cancellations or house parties.

But the reality is, direct booking doesn’t mean less protection — it means more control. With your own website, you set the rules, from damage deposits to vacation rental insurance, ensuring your property is covered on your terms.

In fact, many hosts find that OTA protections aren’t as reliable as they seem. Filing claims can be difficult and getting compensated for damages isn’t always guaranteed. If you’re investing in additional insurance anyway, why not fully benefit from direct bookings and keep more of your earnings?

With the right policies in place, direct booking is just as secure — if not more — than relying on OTAs.

Building and Setting Up Your Direct Booking Website

If you want to start receiving direct bookings, you need a dedicated website — there’s no way around it. While listing on OTAs might be your starting point, having your own vacation rental website gives potential guests a trusted place to book directly.

Handling reservations informally — like accepting cash payments from friends and family or manually blocking off dates — can make your vacation rental seem unprofessional. Plus, without a secure payment gateway or an organized booking system your business could lose credibility.

So, how do you create a bookable website? You have three main options:

• Website builder – Vacation rental direct booking website builders, like Hostaway, offer predesigned templates, making it easy to set up a professional site in no time.

• Custom website – If you have the budget, hiring a web design agency allows for a fully custom site tailored to your brand.

• Booking widget – If you already have a website, you can add an embeddable booking widget to start accepting online bookings seamlessly.

Setting up your direct booking website

Setting up your direct booking website starts with choosing a domain name that’s not only easy to remember but also specific to your property or brand. Next, you’ll need web hosting to keep your site running smoothly, along with a well-designed user interface that makes booking simple for guests. A secure payment gateway is also crucial to process transactions safely and build trust.

If you’re tech-savvy, you might handle some of this yourself, but if not, hiring a web developer can help ensure a professional setup. And when it comes to design, don’t cut corners — your website is the digital face of your business and a polished, user-friendly look will make all the difference.

Depending on your approach, startup costs can range from a few hundred to a couple of thousand dollars, but the investment is well worth the long-term benefits.

How to Increase Direct Bookings for Your Vacation Rental

Building a beautiful, engaging direct booking website is a great first step, but many hosts feel frustrated when the reservations don’t start rolling in right away. While having a well-designed, user-friendly site is essential, the real challenge is getting potential guests to find it in the first place.

So, how do you drive traffic to your direct booking website and turn visitors into confirmed guests?

Optimize for SEO

The goal of search engine optimization (SEO) is simple, when potential guests search for your property or related keywords, your vacation rental website should be one of the first results they see. A strong SEO strategy not only boosts your visibility but also helps you reach new guests who might not have otherwise discovered your rental.

How does this work? Let’s say your direct booking website includes helpful content like a local area guide, guest stories or restaurant recommendations. By incorporating strategic keywords — such as “things to do in Denver, California” or “best brunch spots in Denver” — your site can attract visitors searching for travel tips. Once they land on your page, you have the opportunity to convert them into guests.

Pro tip: A frequently updated blog with SEO-optimized content can attract guests to your website.

Use listing sites to your advantage

It might seem counterintuitive, but OTAs can actually boost your direct bookings. Airbnb alone saw 448 million bookings in 2023 and many travelers use these platforms to discover properties before searching for a direct booking website to find a better deal.

To make your vacation rental stand out, build a strong brand presence across all platforms. Use a unique property name in your listing titles and descriptions — like “Lifty Life Hideaway Beach Bungalow” instead of a generic title like “Three bedroom beach bungalow”. This makes it easier for guests to search for your rental online and book directly.

Once they land on your site, rewards and exclusive deals — like a discount, welcome basket or a free bottle of wine — can turn them from potential guests into confirmed guests.

Turn one-time guests into ambassadors

Building guest loyalty is one of the easiest ways to increase direct bookings. Once a traveler has stayed at your vacation rental and had a great experience, they’re far more likely to book again — especially if you incentivize direct reservations.

If a guest originally booked through an OTA, gently guide them to your direct booking website through targetted emails for future stays. A simple reminder at checkout — along with a discount code, free additional night or special offer — can encourage them to book directly next time.

But don’t stop there. Happy guests are your best marketing tool. A solid referral program can turn past guests into brand ambassadors who spread the word about your rental.

A family that stays at your beach house every summer likely interacts with friends, neighbors or teammates who would enjoy a similar getaway. By encouraging them to refer others — perhaps with a small discount on their next stay — you tap into new potential guests while rewarding loyal ones.

How to Easily Manage Your Direct Bookings

As your direct booking calendar fills up, managing reservations manually can quickly become overwhelming. Double bookings, slow turnovers and human error can all add unnecessary stress. Here are a few essential tools to keep your vacation rental running smoothly:

• Channel manager – Syncs all your booking calendars to prevent conflicts.

• Booking widget – Allows guests to book directly from your website.

• Automation tools – Handles guest communications, confirmations and reminders.

• Task management system – Helps coordinate cleaning and property prep.

• Accounting features – Keeps track of revenue and expenses effortlessly.

Having all these tools in one place ensures nothing falls through the cracks. An all-in-one vacation rental management software like Hostaway unifies everything, making it easier to scale your direct booking success.

Take Control of Your Bookings and Boost Your Profits

The vacation rental industry is evolving and hosts who embrace direct bookings are seeing the benefits firsthand — higher profits, longer stays and full control over their business. While OTAs provide valuable exposure, relying on them entirely means giving up a significant share of your earnings and flexibility.

By building a direct booking website, optimizing for SEO, leveraging guest loyalty and using the right tools, you can attract more guests, increase bookings and create a seamless experience — without the middleman.

Now’s the time to take charge of your vacation rental business. Whether you’re just getting started or looking to grow your direct bookings, implementing these strategies will set you up for long-term success.