Work with OTAs, Not for Them: Regain Control of Payments

OTAs are an essential part of a hotel’s ecosystem. They drive visibility, fill rooms, and open up global markets. But somewhere along the way, hotels began sacrificing more than they bargained for, especially control.

• Control over guest relationships.
• Control over payment timing.
• Control over cash flow.
• Control over the experience you’ve worked hard to shape.

The truth is, OTAs can’t be everything to every hotel. They’re not built to adapt to your unique guest journey. And for independent properties that rely on breakage deposits, need flexible prepayments, or face cash flow constraints, that lack of control becomes a real operational risk.

This blog explores how hotels can work with OTAs without losing control over payments or guest relationships. You’ll discover two ways to drive more direct bookings and take back control, while still letting OTAs do what they do best: bring you visibility.

Quick Navigation

• Introducing RoomRaccoon Payments: Direct Payments, More Power
• Driving Direct with Google & RoomRaccoon

Why OTA dependence is costing you more than you think

For many independent hoteliers, online travel agencies (OTAs) like Booking.com, Expedia, and Airbnb feel like a necessary evil. They bring in bookings but at a price. On average, 61% of independent hotel reservations still come through OTAs. For RoomRaccoon users, that number drops to just under 50%. That’s a significant difference when you consider how much revenue passes through third parties before it even reaches your bank account.

And it doesn’t stop there. With typical OTA commissions ranging from 15% to 25%, plus additional transaction or payout fees, your margins are quietly eroded. Even worse, OTA payment models often delay your cash flow. With global booking lead times averaging 24 to 51 days, depending on the season, you could be waiting nearly two months between a guest confirming their stay and receiving any of that revenue. That’s cash you could be using to pay staff, invest in upgrades, or grow your business.

Then there’s the issue of control. When OTAs process payments, they often keep real card details hidden. That means:

• No pre-authorisations
• No easy way to charge for no-shows or breakage deposits
• Fewer opportunities to upsell directly to your guests

This dependency doesn’t just impact your bottom line; it limits your flexibility, weakens your forecasting, and gives OTAs the upper hand in your guest relationships.

The problem with OTA payment models

If you’ve ever waited days for a guest’s payment to land in your account, you’re not alone. OTA payment models are built to serve the platforms, not your property. And while they may offer convenience on the surface, they create layers of friction and financial drag behind the scenes.

What happens when OTAs control the payment process?

There are three main OTA payment setups:

• Virtual Credit Cards (VCCs): Guests prepay the OTA, and you’re issued a virtual card to charge later, often only on the guest’s check-in or check-out date. That means no early access to funds and high transaction fees.
• Bank Transfers: The OTA holds the funds and pays you after the stay. Payouts can take days or weeks. Additional fees of 1.4–1.5% per transfer apply.
• Hotel Collect: With RoomRaccoon, this becomes a powerful advantage. The OTA sends you real card details, and you’re in full control of when and how to collect payments.

The hidden costs are adding up

OTA models typically skim 15% to 25% off every reservation in commission alone. Add processing fees on VCCs or transfers, and you’re giving up even more. Worse, without access to real card details, you can’t:

• Preauthorise for damage
• Charge for no-shows or late cancellations
• Upsell before arrival

The result? You’re left managing fragmented payments, unpredictable cash flow, and missed revenue opportunities, all while relying on a third party that controls your guests’ journey.

Why independent hotels need a direct payment strategy

Every delayed payout limits your ability to operate efficiently. You can’t reinvest in your property, pay vendors, or cover unexpected expenses when your cash is locked in OTA limbo. The uncertainty makes it harder to forecast accurately, especially during peak seasons when liquidity matters most.

Then there’s your guest data. When the OTA handles payments, they often keep key details to themselves. That restricts your ability to:

• Communicate directly before arrival
• Offer targeted upsells or upgrades
• Build lasting guest relationships through loyalty programs

Without direct payment tools, you’re also stuck with rigid OTA policies. Need to charge a cancellation fee? You may be out of luck unless the card details are shared and even then, you’re at the mercy of their terms.

Introducing RoomRaccoon Payments: Direct Payments, More Power

What if you could simplify your payment process, lower your costs, and take back control, all at once? That’s exactly what RoomRaccoon Payments is designed to do. RoomRaccoon Payments puts independent hoteliers back in the driver’s seat with a set of modern, flexible tools built around your needs, not the OTAs.

A toolbox for modern hoteliers

• Advance collect: Send secure, automated payment requests up to 255 days before arrival. You decide the timing and amount, RoomRaccoon handles the rest with 3D Secure protection and zero manual effort.
• Online Check-in with Payment: Capture full payment while guests check in online, and seamlessly include upsells. It’s one unified, secure flow that improves conversion and guest convenience.
• Manual Payment Links: Need to collect a deposit, settle a balance, or handle last-minute charges? Send a branded, secure link in seconds and get paid instantly.
• Real Card Storage & Preauthorisations: Unlike OTAs, RoomRaccoon allows you to store real card details securely. Preauthorize for damages, charge no-shows, and process refunds without involving a third party.

Built for independence, not compromise

Every feature is designed to reduce reliance on third parties and give you more financial agility. Whether it’s improving cash flow, minimising transaction fees, or boosting upsell revenue, RoomRaccoon empowers you to run your business on your terms with full transparency and total control.

Real Results: What You Gain with RoomRaccoon

Independent hotels don’t need more complexity, they need better outcomes. RoomRaccoon delivers exactly that by replacing fragmented, OTA-controlled payment processes with a single, streamlined solution built to serve your business.

Here’s what that looks like in practice:

• Cost Savings: Avoid virtual card fees and costly international transfer charges. With direct payments through RoomRaccoon, you cut out the middle layers and keep more of every booking.
• Improved Cash Flow: Choose when you get paid — before arrival, at check-in, or in scheduled installments. No more waiting weeks for payouts from third-party platforms.
• Operational Control: Store guest card details securely. Preauthorise for damages. Charge for no-shows. RaccoonPay gives you the flexibility OTAs can’t.
• Higher Conversion and Engagement: Tools like Booking Proposals, Payment Requests, and Online Check-in don’t just streamline operations, they actively boost guest engagement and revenue per booking.
• Full Transparency: Say goodbye to hidden fees and unpredictable timelines. With RoomRaccoon, every transaction is tracked in real-time and fully visible in your dashboard.

Whether you run a boutique city hotel or a countryside retreat, these benefits translate directly into stronger margins, more predictable income, and better guest relationships.

Case Study: Strandhotel de Logerij

When Jean-Paul van der Weele took over Strandhotel de Logerij, he faced the challenge of building a hotel business from scratch. With no prior hospitality experience, he needed a comprehensive solution to manage operations efficiently.

Key Achievements with RoomRaccoon:

• 90% of bookings paid in advance: By implementing RoomRaccoon’s integrated payment system, Jean-Paul ensured that the majority of guests paid either in full or partially before arrival. This approach significantly reduced no-shows and improved cash flow.
• 10+ hours saved per month: Automating payment processes eliminated the need for manual reconciliation, saving valuable time that could be redirected towards enhancing guest experiences.
• Enhanced operational efficiency: With payments linked directly to reservations, the front desk staff no longer needed to manually track transactions, reducing errors and streamlining check-in procedures.

Jean-Paul’s experience demonstrates how leveraging RoomRaccoon’s payment solutions can transform hotel operations, especially for independent hoteliers seeking to optimise their revenue streams and operational workflows.

Driving Direct with Google & RoomRaccoon

Reducing OTA dependency isn’t just about changing how you get paid, it’s about changing how guests find and book you in the first place. That’s where Google Hotel Ads comes in.

When paired with RoomRaccoon Payments, Google Hotel Ads empowers independent hotels to own the full guest journey, from discovery to payment, while reducing costs at every step.

Here’s how it works:

• Direct traffic, direct control: Google Hotel Ads drives qualified traffic straight to your booking engine via Google Search and Maps. You’re listed right alongside major OTAs but when a guest clicks your ad, the booking happens on your website, not theirs.
• Lower commissions, higher margins: Unlike OTAs that take 15–25%, Google Hotel Ads offer a lower, performance-based commission, and only when the guest actually stays. That means more revenue stays with you, starting from day one.
• Integrated guest experience: Guests book directly, pay through RoomRaccoon, and receive communication from your team, not a third party. That means better upsell opportunities, full access to guest data, and a more personal experience from the start.
• Improved cash flow: With payments processed instantly through RoomRaccoon, you’re not waiting for OTA payouts or dealing with virtual cards. You own the transaction and the timeline.

Together, Google Hotel Ads and RoomRaccoon form a powerful ecosystem for independent hoteliers. One brings the guest. The other gives you control of the revenue. That’s how you scale your direct channel, profitably.

Use Case: What It Looks Like in Practice

The transformation:
You move from passive recipient to active operator. From OTA delays to cash flow control. From fragmented payments to a streamlined, profitable process.

Quick Takeaways

If you remember just one thing, let it be this: OTA convenience comes at a high cost financially and operationally. Here’s what RoomRaccoon helps you achieve:

• Stop overpaying: Eliminate commissions, VCC charges, and payout delays.
• Improve cash flow: Get paid before the guest arrives, not weeks after they leave.
• Own your guest data: Drive direct bookings and upsell with confidence.
• Protect your revenue: Preauthorise, refund, or charge no-shows on your terms.
• Make more from every booking: Combine RoomRaccoon Payments with Google Hotel Ads to create a self-sustaining, direct revenue engine.

OTAs still have their place; they’re great at driving visibility and filling rooms. But they shouldn’t control your guest relationships or hold your revenue hostage.

With average lead times of 24 to 51 days and commission cuts of up to 25%, total OTA dependency creates a costly cash flow gap. Add the lack of guest data and limited payment control, and it’s clear the model no longer works in your favour.

RoomRaccoon flips the script.
It gives you the tools to get paid faster, engage smarter, and operate with full transparency. And when paired with Google Hotel Ads, you unlock a direct booking engine that cuts costs, boosts revenue, and puts you back in control.

Let OTAs do what they do best – visibility. But take ownership of the rest.