What causes OTA commission overcharges?
Last reviewed 2026-07-02
OTA commission overcharges come from a few recurring causes: commission charged on cancelled or no-show stays, a rate billed above your negotiated percentage, commission taken on taxes and fees instead of room revenue only, and the same reservation billed twice. Each is small per booking and easy to miss across a full statement.
- Commission on cancelled and no-show stays is a leading cause.
- A rate billed above your negotiated percentage is common.
- Commission on taxes and fees inflates the base it is taken on.
- Duplicate charges on the same reservation slip through at volume.
The recurring causes
Commission on stays that cancelled or no-showed, an overstated commission rate above your agreement, commission taken on the full charge including taxes and fees rather than room revenue, and the same reservation commissioned twice.
Why they go uncaught
Statements carry many reservations across several channels and rate plans. Reconciling the total looks fine while individual charges are wrong, so the errors survive unless each is matched to the reservation in your PMS.
How big it is
There is no solid public benchmark for hotel commission recovery. One industry illustration assumes roughly 1% to 2% of the commission you pay is overpaid or uncollected (Hotel Yearbook), which is an assumption, not a measurement. A free review reconciles your real statements and returns your actual figure.
Common questions
Which cause is most common?
Commission on cancelled and no-show stays, and commission taken on taxes and fees rather than room revenue only. Both recur across most independent properties.
How much is typically recoverable?
There is no reliable public figure, and we will not put a fabricated number on it. The illustrative 1% to 2% of commissions paid is an assumption (Hotel Yearbook); your real number comes from reconciling your statements.
Can these be recovered?
Charges that break your agreement, on cancelled stays, above your rate, on the wrong base, or duplicated, are disputable. Documenting each against the OTA's own statement makes the case.
See your own number, free
A free three-month review reconciles your real data and shows you exactly what is recoverable. You keep the findings.