Learn how to apply a markup percentage to listing prices and understand how markup affects channel pricing and displayed rates.
How to Set Up a Markup Percentage?
What is Markup?
A markup is a percentage that is added on top of your calendar rate. See the example below:
| Hostaway calendar rate: $100 | |
| Expedia markup: 5% | Price exported to Expedia: $105 |
| Booking.com markup: 2% | Price exported to Booking.com: $102 |
| Website markup: 1% | Price on Website: $101 |
Notes
- Markup can be negative
- Markup needs to be set up per listing
- Hostaway does not convert into another currency
Setting Markup Percentages
To set a markup, please follow the next steps:
- Go to Hostaway Dashboard > Listings
- Click on Price & Fees
- Enter markup percentage
- Save
Compensation Guidelines
When determining your markup percentage, use the reference table below, called Markup suggestions (click on it), as your starting point.
It's important to understand that channel commissions are deducted from the entire booking value, while your markup only applies to the base nightly rate (which represents just a portion of the total booking amount).
Therefore, your markup percentage needs to exceed the channel commission rate to ensure proper compensation for the commission loss across the full reservation value.
Disclaimer: The markup can be a decimal value only when the channel/OTA is Airbnb (for example, 5.26). For all other channels/OTAs, the markup must not be decimal.
Markup suggestions (Click me to view the suggestions)
| Channel commission | Suggested markup |
|---|---|
| 5% | 5.26% |
| 6% | 6.38% |
| 7% | 7.53% |
| 8% | 8.30% |
| 9% | 9.89% |
| 10% | 11.11% |
| 11% | 12.36% |
| 12% | 13.64% |
| 13% | 14.94% |
| 14% | 16.28% |
| 15% | 17.65% |
| 16% | 19.05% |
| 17% | 20.48% |
| 18% | 21.95% |
| 19% | 23.46% |
| 20% | 25.00% |
| 21% | 26.58% |
| 22% | 28.21% |
| 23% | 29.87% |
| 24% | 31.58% |
| 25% | 33.33% |
| 26% | 35.14% |
| 27% | 36.99% |
| 28% | 38.89% |
| 29% | 40.85% |
| 30% | 42.86% |
What is Bulk Markup Update?
Bulk markup update allows you to apply the same markup percentage across multiple listings simultaneously, saving time when adjusting rates for commission fees across different booking channels.
Supported Channels for Bulk Update
You can bulk update markup percentages for Airbnb, Vrbo, Marriott, Booking.com, and the Booking Engine.
How to Bulk Update
The following process is recommended for Airbnb, Vrbo, Marriott, and the Booking Engine.
- Go to Hostaway > Listings > Price & Fees
- Enter markup percentage
- Save
- Near Price & Fees on top, click the clipboard icon
- A new window will pop up with options to copy settings to other listings
- Choose and tick your target channels
- Click on Next
-
Select the listings you would like to export
- Choose whether to export to channels
- Save
Booking.com Markup Bulk Update Process
Markup bulk updates are available for Booking.com; however, the process differs slightly from the one used for Airbnb, Vrbo, or Marriott. This is due to the rate plans that can be linked to a listing on Booking.com.
How to Bulk Update Markup for Different Rate Plans
To bulk update the markup for different rate plans, please follow these steps:
- Go to your Hostaway Dashboard > Channel Manager > Booking.com
- Tick the rate plans you would like to update
- Click on the Bulk Update Rate Plans button
- A new window on the right side will pop up
-
Enter the Markup and the Minimum Stay (if desired)
- Click Save
Please note the following when using this feature:
- Uniform markup application: The system applies the same markup to all rate plans connected to the listing (e.g., if a listing has 7 rate plans, all 7 rate plans will be updated with the same markup)
- Optional minimum nights update: To avoid updating the minimum nights requirement, leave the minimum stay field blank, and only the markup will be updated
This bulk update feature helps streamline your pricing management across multiple rate plans while maintaining consistency in your Booking.com listings.
Can I set up the markup in other places in Hostaway?
From the Calendar page
- Go to Calendar
- Select a Date
- Click on Pricing > Show prices per channel
- Click on the wheel to be redirected to the Channel Manager page
From the Channel Manager page
- Go to Channel Manager
- Click on Settings
- Enter the markup per channel
- Click on Save per channel
Recommendations
- To apply a markup percentage to direct bookings made through the Hostaway booking engine, you will need to set the markup when creating the direct booking reservation manually. The markup percentage set for the Hostaway booking engine will only apply to bookings made through the website, and not to direct bookings. When creating a direct booking in Hostaway, you can adjust the pricing, including any desired markup, at the time of booking creation.
- To set up a markup percentage for the Hopper channel on Hostaway, you will need to have Hopper set the markup on their side. For other channels, you can set the markup percentage directly on Hostaway. If you continue to have issues with the Hopper channel, you may need to contact Hopper support for assistance with their markup settings.