As you may already know, Google Hotel Ads with the Pay Per Stay (PPS) bidding model ends on October 31, 2024.
What is Google Hotel Ads and what is the Pay Per Stay model?
Google Hotel Ads is a metasearch engine, or price comparison site, on which you can launch campaigns to convert ready-to-book travelers and drive direct bookings. The PPS model is a commission-based bidding strategy, allowing hotels to pay only when the guest stay occurred, free of cancellations and no-shows.
What are the benefits of the Pay Per Stay bidding strategy?
The PPS bidding model, now maintained by Cendyn, allows hotels to easily manage their campaigns in a simple and automated way while accessing a certain level of detail. The metasearch system will automatically optimize the bids and thus guarantee the campaigns’ cost of distribution.
With the PPS model, the commission is due after the customer’s stay. It is free of cancellations and no-shows, so hotels don’t have to pay commission on unfulfilled bookings. This simple approach gives additional security to their online distribution and ensures a guaranteed return on investment.
What is changing?
For some hotels, the PPS campaigns are important to keep, so because of Google retiring their PPS model, we, at Cendyn created our own PPS model! This means hotels can continue with the bidding strategy they used successfully for many years.
When does it start and how can I activate it?
Since July 1st, 2024, hoteliers can switch to Cendyn’s PPS model:
- It is active on all markets with a fixed 10% commission
- There is a minimum 3-month campaign duration
- Invoicing takes place on the Stay Date (same as Google)
- Google Free Booking Links free of charge (depending on contract)
