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Tourism & Hospitality vocabulary · Travel Agencies & Tour Operators

Commission

Meaning in tourism & hospitality, with examples

/kəˈmɪʃən/nounCommon term

In tourism & hospitality, commission means: A percentage of the price that a hotel or supplier pays an agency or online platform for each booking it brings.

In Turkish: komisyon, prim

How it is used

Contracts state the commission rate, for example 15% of room revenue. Agencies earn commission on the tours and transfers they sell, and hotel staff may earn commission on excursions or upgrades. A rate is commissionable when commission is paid on it.

Example sentences

  1. The OTA charges a commission of 18% on every booking.

  2. Guest relations staff earn a small commission on the excursions they sell.

Common collocations

  • pay commission
  • earn commission
  • commission rate
  • commission on bookings
  • OTAShort for online travel agency: a website or app that sells hotel rooms, flights and tours online, such as Booking.com or Expedia.
  • travel agencyA business that sells holidays, tours, tickets and hotel stays to travellers, often earning a commission from suppliers.
  • tour operatorA company that puts together holiday packages from flights, hotels, transfers and tours and sells them directly or through travel agencies.
  • room rateThe price a hotel charges for a room for one night, which can change with the season, room type and booking channel.

This word in other fields

The same English word can have a different meaning in another field:

More terms: Travel Agencies & Tour Operators

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