Booking.com Update: Transparency, Challenges and Moving Forward

We recently held a detailed and constructive meeting with Booking.com following a number of ongoing operational issues and wider performance discussions. We believe it is important to keep both our property owners and our guests fully informed, particularly when it comes to such a significant booking partner.

Before addressing the challenges, it is important to put things into proper perspective.

The Importance of Booking.com to Our Business

Booking.com remains a major contributor to our occupancy levels and overall booking performance.

In 2025 alone, Booking.com delivered:

  • 456 bookings

  • 2,207 nights occupied

That is a significant volume of business and a substantial contribution to our revenue across the portfolio.

Looking at 2026 (and already into 2027), from 1st January 2026 to present, we have already secured:

  • 212 bookings

  • 1,205 nights

This demonstrates continued demand and highlights why, commercially, it would not have been in our interests to “play hardball” or risk destabilising the relationship. While frustrations have certainly existed, maintaining a strong working partnership remains essential for occupancy, visibility and long-term performance.

However, that does not mean we ignore issues. Quite the opposite.


The Payment Issues – What Happened

The primary operational challenge has centred around payments.

At the end of 2024, a significant issue arose whereby we were not receiving payments for six properties. This was not an isolated missing booking — it was an ongoing failure to remit funds correctly. Understandably, this created concern and required immediate escalation.

It took some time for Booking.com to identify and rectify the underlying cause. During this period, a breakdown in trust occurred, and as a result we made the decision to temporarily take control of the payment process ourselves.

On paper, this seemed sensible.

In practice, it proved extremely difficult.

Managing Payments Ourselves

For approximately six months we managed guest payments directly. What quickly became apparent was the sheer administrative burden this created.

Chasing payments.

Monitoring due dates.

Handling failed cards.

Contacting guests repeatedly.

Reconciling amounts.

Managing disputes.

This became, quite literally, close to a full-time role for Kasie.

Whilst we are always willing to go the extra mile, this was not an efficient or scalable solution. It diverted time and energy away from revenue generation, owner communication and guest experience management.

Following careful consideration, we made the decision to pass payment handling back to Booking.com.


The Payout Structure Complication

Historically, Booking.com would:

  • Collect the guest’s full payment

  • Deduct their commission and card processing fees

  • Pay us the net amount

This model worked well and allowed for straightforward reconciliation.

However, we requested an improvement: faster payments and payouts issued per booking rather than in batches. Batched payments made reconciliation unnecessarily complex, especially at higher volumes.

Booking.com agreed to move to per-booking payments.

Unfortunately, this is where the next issue arose.

Instead of paying us the net amount per booking, they began transferring the full guest payment, and then issuing a separate invoice at the end of the month for their commission and card fees.

This created accounting complications and unnecessary financial risk exposure.

We immediately challenged this and requested a return to the previous structure — namely:

Payment received per booking, less commission and card fees.

What should have been a simple adjustment became far more complex than anticipated. Errors were made at their end during the transition, and as a result, payments were paused whilst the system was being corrected.

Something that, in theory, was administratively straightforward unfortunately escalated into a prolonged operational issue.

We are still awaiting resolution of some outstanding payments. However, following our recent in-depth meeting, we are hopeful that this will now be fully rectified and stabilised.


Cancellation Rates – The Reality Behind the Numbers

Another key topic during our meeting was cancellation levels.

On initial review, cancellation numbers appeared concerning. However, once we analysed the data in detail, the picture became much clearer.

96% of cancellations were automatically triggered by Booking.com due to guests failing to pay within the required time frame.

This is not unusual. In fact, we experienced exactly the same issue during the six months we handled payments ourselves. A significant proportion of guests simply do not complete payment within the permitted window.

The remaining cancellations fell into two main categories:

  1. Guests booking multiple properties and later cancelling the “spare” ones.

  2. Guests citing review scores on Booking.com and/or TripAdvisor as not meeting their expectations.

The latter point is particularly important.


The Importance of Review Scores

We were advised — and we agree — that improving review scores across Booking.com and TripAdvisor must be a priority.

Modern guests are increasingly review-driven. Even minor score differences can influence booking decisions, particularly when guests are comparing multiple similar properties.

This does not mean our properties are poor — far from it. However, perception is powerful. A 7.9 versus an 8.6 can significantly impact conversion.

We are therefore taking proactive steps.


Encouraging More Reviews

Amy is now contacting guests who cancelled their bookings to provide our direct website details, should they wish to rebook. Booking direct is of course cheaper for them, as it removes third-party commission costs.

In addition, we are implementing positive review-generation initiatives.

Several owners have already signed up to participate in our review incentive programme, whereby:

  • Guests who leave a review on Booking.com or Airbnb receive a £18 Devon hamper.

This small gesture:

  • Encourages feedback

  • Increases review volume

  • Enhances guest goodwill

  • Promotes local Devon produce

  • Strengthens property ratings

Higher review volume statistically stabilises and improves overall scores over time.


Arrival Experience Improvements

As previously communicated, Devon Holidays is also funding a trial initiative of adding complimentary:

  • Teas

  • Coffees

  • Biscuits

for guests on arrival.

This is a modest cost per stay, but psychologically it makes a meaningful difference. First impressions matter. Small touches often translate directly into more positive reviews.

When combined with proactive communication and strong property presentation, these incremental improvements compound.


Why We Did Not Escalate Aggressively

Some may reasonably ask why we did not take a more confrontational approach with Booking.com given the payment frustrations.

The answer is simple: commercial reality.

With 456 bookings and 2,207 nights in 2025 alone, Booking.com is a major revenue stream. To jeopardise that relationship would not have been commercially responsible.

Our approach instead has been:

  • Firm but professional

  • Persistent but constructive

  • Solution-focused rather than adversarial

The recent meeting was detailed, candid and productive. Issues were acknowledged. Corrective measures were discussed. Escalations have been logged internally within Booking.com.

We are cautiously optimistic that the systems will now be stabilised.


Lessons Learned

This situation has reinforced several key points:

  1. Payment handling at scale must be efficient and automated.

  2. Reconciliation clarity is critical.

  3. Review scores directly impact revenue.

  4. Operational simplicity is vital.

  5. Maintaining strong platform relationships is commercially essential.

Whilst frustrating at times, the process has highlighted areas where we can strengthen systems and protect both owners and revenue streams moving forward.


The Bigger Picture

Despite operational hurdles, the performance figures remain strong.

  • 2025 delivered over 2,200 nights via Booking.com.

  • 2026 already stands at over 1,200 nights and growing.

Demand is there.

Occupancy is strong.

Forward bookings are encouraging.

The focus now is on:

  • Resolving outstanding payment reconciliations

  • Strengthening review scores

  • Enhancing guest arrival experience

  • Increasing direct bookings alongside third-party exposure

  • Continuing transparent communication with owners


Moving Forward

We remain committed to:

  • Protecting owner income

  • Maintaining occupancy levels

  • Improving guest satisfaction

  • Strengthening platform relationships

  • Streamlining operational processes

The recent meeting with Booking.com was necessary and, ultimately, constructive. Whilst the payment situation has been frustrating, we believe the path forward is now clearer.

As always, we will continue to act in the best commercial interests of our owners and the long-term stability of Devon Holidays.

If you have any questions regarding the Booking.com update or would like to discuss performance in more detail, please do not hesitate to contact us.

Transparency matters — and we will always keep you informed.