Business models
Properties or chains can use one of three different business models with Expedia Group, and this will be specified in their contract. Providers need to know which business model their properties use in order to develop their interface accordingly.
For example, if a developer codes to and tests Expedia Collect (EC) bookings only, their properties using Expedia Traveler Preference (ETP) or Hotel Collect (HC) business models will not be able to use that interface.
For details about which elements or entities are impacted by business model, consult the detailed element descriptions in the Reference section.
Expedia Collect
In this business model, Expedia Group collects payment from travelers at the time of booking. This model is sometimes called "Pay Now" and is sometimes referred to as "EC" or "Merchant," depending on context.
The reservation is paid for and funds are sent to Expedia Group. After the traveler's stay, the property sends an invoice to Expedia Group or charges an Expedia Virtual Card to collect monies owed for the provided services. The net rate reflected in bookings that integrate into the property's system should not be disclosed to guests.
Hotel Collect
In this business model, the property collects payment from the traveler. This method is also known as "Pay Later" and is sometimes referred to as "HC," "Agency," or "Property Collect" depending on the context. This business model may allow travelers to book same-day and next-day reservations on Expedia.com and Hotels.com without a credit card.
The reservation is confirmed, but the payment is not collected until the traveler checks out after their stay. Expedia Group subsequently collects commission from the property.
Expedia Traveler Preference
This business model allows travelers to choose whether to pay online during booking with the Pay Now (EC) feature or pay the property directly during their stay with the Pay Later (HC) feature. This enables properties to accept reservations from more travelers.
Expedia Traveler Preference (ETP) is the business model preferred by both Expedia Group and travelers. Partners using the Expedia Traveler Preference model receive both Hotel Collect and Expedia Collect reservations. Depending on context, Expedia Traveler Preference (ETP) is also referred to as "Dual" or "Flex."
Accounting should be completed for each reservation based on the payment type, which will be either Hotel Collect or Expedia Collect.
For more information or to switch to Expedia Traveler Preference, contact us.