Expedia-owned HomeAway is going to introduce a fee increase of 25% from 12 January 2018, raising fees to $499 annually per listing, for those owners opting to make subscription payments rather than commission per booking. The increase comes less than a year after HomeAway last raised its subscription and bookings fees for owners.
The company has denied wanting to phase out its subscription plan completely in favour of the pay-per-booking model, which charges 8% commission for each booking, describing the commission route as better for occasional and small-time renters while professional managers are better off paying by subscription.
Airbnb has announced that HomeAway’s fee a “tremendous opportunity” with “significant upside” as it looks to attract homeowners, bed-and-breakfasts and boutique whole-home properties to its own website and mobile app, while other holiday rental booking sites including Booking.com and Tripadvisor have commented.
HomeAway is also looking to penalise property managers closing bookings off its platform, by charging the owners a 10% fee per booking that doesn’t get completed. There has been owner backlash against the increased fees as well as what is seen as snooping, especially as they say bookings are down; HomeAway says bookings are actually up, but this is hard to track if they are begun on the site, but completed elsewhere.