Many villa companies charge their client based on net revenue (after agent commission), but we only charge our management fee on the published rate. We have some important reasons for it.
We will be motivated to set a reasonable price, not too high to lose clients, and not too low to damage the level of the villa or diminish revenue. As we work on a commission base, we are eager to sell more room nights at a high price.
As opposed to net revenue based commission, our commission model enables us to selectively focus on channels (especially direct booking) as opposed to agents who charge a high commission (normally 20 – 30% off publish rate).
This is done to make sure the owner gets the most benefits while paying minimal amounts of marketing commissions to other marketing agents.
It is important to work with agents to fill up the room during low season, but it’s also important to control their shares of room nights, as their level of commissions is too high.
At Bali Management Villas, we aim to generate the best profits for the owner by minimizing expenses (but not to compromise service quality) and maximizing exposure. We want to help the owner achieve their desired ARR and ROI, and get their investments’ worth.
Therefore, we actively engage in various marketing activities, such as online advertisements, and hiring experts in each field to constantly watch and monitor the market trend to set the most competitive pricing strategy for your villa.
You will never have to worry about having an additional charge for every Branding & Marketing work we do, as you are entitled for this service for FREE!