Glossary · Selling online

What is OTA commission for hotels and restaurants?

OTA commission is the percentage of a booking's value that an online travel agency — Booking.com, MakeMyTrip, Agoda and the like — or a food delivery app such as Swiggy or Zomato keeps for bringing the customer. The rate, and the amount it is calculated on, are set in the business's agreement with that platform.

Also called Booking site commission, Delivery app commission, Aggregator commission · Selling online · Last reviewed 25 September 2026

What to check in the agreement

  • The rate — often different by room type, season or promotion.
  • What it is taken on — the value before tax or after it. On the same order the two give different answers, and booking the wrong one overstates the cost every time.
  • Who collects the money — the guest pays the property (and the platform bills its commission), or the platform takes the payment and pays out the rest later. The second kind of money is a settlement to be matched against the payout, not cash in the drawer.

For a restaurant, commission is one half of a question most cannot answer: after the app's cut of a price that was marked up to absorb that cut, what is actually left on each dish once it has been cooked?

Examples

Hotel. A ₹10,000 booking (room revenue before tax) at an illustrative 15% commission: ₹1,500 to the site, ₹8,500 to the property.

Restaurant. An order worth ₹1,000 before tax and ₹1,050 with it, on an app whose agreement takes 25% of the pre-tax value: the commission is ₹250. Taking 25% of ₹1,050 books ₹262.50 — a cost overstated by the commission on the tax.

How Nivasik handles it

  • Hotels: the channel manager keeps a commission register, and the parity sheet shows the list price that nets your own rate after each channel's cut. A travel agent in the City Ledger carries its commission rate.
  • Restaurants: a Swiggy or Zomato order is punched in at the counter; the app's commission is booked as a cost on the pre-tax value and stored on the order; a payout register checks the weekly transfer; and a per-dish view shows cost to make, what it earns at the counter, and what is left after the platform's cut.
  • Commission and menu markup percentages are set per property, because both are negotiated.

What Nivasik does not do

  • Swiggy and Zomato orders do not arrive in Nivasik by themselves — they are punched in at the counter. The order feeds are only for approved POS vendors.

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