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betts
Joined: 26 Dec 2010 Posts: 9 Location: costa del sol, spain
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Posted: Sun Dec 26, 2010 7:14 pm Post subject: Villa Renters/ Rental Systems |
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Well I have been advertising with Villa Renters 3 years and they keep changing their site without enough notice or information to the owners. This is a nightmare when you get an enquiry and you try to explain to the renters how to book and pay online. They have also put up the costs to the renters which will prevent alot of bookings. As I have 6 properties to deal with for friends this is an absolute nightmare as I put all bookings through them.
This is the scenario
Villa renters get me a 2week booking in high season for one of the villas the cost to the client is £5200.00
They take 10% plus vat off me £611.00
Plus a £10.00 security holding charge
Plus they now charge the customers 4.5% to cover booking fee and credit charges £234.00
This means they receive £855.00 for this 1 booking.
This is certainly not ethical does anyone have any advice as to whether this is in fact legal.
I appreciate any reply as I know you are fully aware that it is coming up to the busiest booking period for properties.
Is there any other companies that offer a similar system with rental agreement, online credit card payment and money transfers to several account.
Thanks and Merry Christmas
Betts _________________ Holiday rentals across Costa del Sol |
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KostasPapahatzis

Joined: 11 Aug 2010 Posts: 39 Location: Mostly on the Greek Islands
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Posted: Sun Dec 26, 2010 7:44 pm Post subject: |
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OK, I think you are right to be frustrated, but let me make my points on your post.
-They do take 10%, but only if the booking comes through them; if you were marketing your property online, you would not have this problem with the extra 10%
- VAT has nothing to do with them
- The security holding charge, meaning the breakage fee? you don't have to take the breakage fee option.
- The booking fee to the customers is not only with them, other online systems charge a booking fee.
You can use vipvillas if you don't like rentalsystems. there are others as well (guestlink.co.uk, eviivo.com, holidayrentalmanagement.com,
supercontrol.co.uk, maximize.com)
I will agree with you that they do not have a good communication with their clients; I think that this is because of two possible reaosns: 1. they are a Media company (Daily Mail, Evening Standard Group, very powerful) and they have an attitude 2. They lack Marketing and Markomms people, and the whole system works with Technical guys, who are very bad communicators. Worse, the Group do not give them the budget to expand and get a better communication bridge towards their clients-thus the chat window and 'Holly' and the supportdesk email as the only means of communicating with them. _________________ tinos villas |
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LaVilleauTady

Joined: 27 Jan 2007 Posts: 513 Location: Southern Brittany (& Lancashire)
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Posted: Sun Dec 26, 2010 7:55 pm Post subject: |
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Betts, their booking fees are unreasonable when you compare what they take off a high value booking compared to, say, another website charging a flat fee regardless of bookings received.
I think their business model will be perfectly legal. You now have to tick a box to accept their terms and conditions every time you access the site! I suspect this came about following complaints about their fees.
I still advertise with them, and get the occasional booking, but they seem to be pricing themselves out of the market. _________________ www.brittany-cottage.me.uk |
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betts
Joined: 26 Dec 2010 Posts: 9 Location: costa del sol, spain
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Posted: Sun Dec 26, 2010 9:08 pm Post subject: Thank you for your replies |
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Thank you both for your replies.
I will take a look at the other companies, I have had quite alot of bookings from Villa Renters, but they have only just added the 4.5% on top and it worries me the costs will be too high for clients. I do advertise with other companies but put all bookings through them due to the online booking system.
Thanks again.... goodbye villa renters _________________ Holiday rentals across Costa del Sol |
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betts
Joined: 26 Dec 2010 Posts: 9 Location: costa del sol, spain
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Posted: Sun Dec 26, 2010 9:13 pm Post subject: http://vipvillas.com/ |
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vipvillas.com is rentalsystems _________________ Holiday rentals across Costa del Sol |
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KostasPapahatzis

Joined: 11 Aug 2010 Posts: 39 Location: Mostly on the Greek Islands
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Posted: Sun Dec 26, 2010 9:21 pm Post subject: |
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Last time I checked, I had the impression that they are just affiliates: they show rentalsystems properties where they have to fill the blanks, and get a commission from rentalsystems if a booking initiated through them.
If you are worried so much about the 4.5% why don't you reprice to eliminate the problem? It did not matter the clients that booked through them, why are you so anxious about it? _________________ tinos villas |
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Windy

Joined: 02 Oct 2007 Posts: 3194 Location: Windermere UK
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Posted: Sun Dec 26, 2010 9:26 pm Post subject: |
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| Quote: | | If you are worried so much about the 4.5% why don't you reprice to eliminate the problem? It did not matter the clients that booked through them, why are you so anxious about it? |
If we could all just add 5% to our prices don't you think we might have done it already?  |
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HelenB
Joined: 30 Apr 2005 Posts: 10659 Location: Durham/Le Monetier-les-Bains, Serre Chevalier
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Posted: Sun Dec 26, 2010 9:33 pm Post subject: |
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| As a client, I would think twice about paying a 4.5% surcharge to Villarenters/Rental Systems for something I had expected to pay x euros for. I have recently booked and paid for some accommodation using the system, and to be honest wasn't particularly impressed with it. |
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betts
Joined: 26 Dec 2010 Posts: 9 Location: costa del sol, spain
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Posted: Sun Dec 26, 2010 9:37 pm Post subject: Exactly! |
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Thanks Windy that is my point exactly... I am now wondering if KostasPapahatzis actually works for VR lol  _________________ Holiday rentals across Costa del Sol |
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Windy

Joined: 02 Oct 2007 Posts: 3194 Location: Windermere UK
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Posted: Sun Dec 26, 2010 9:42 pm Post subject: |
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| I'm sure that Kostas would have told us up front if he had any paid relationship with VR but it would be nice to get his confirmation that he doesn't. |
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KostasPapahatzis

Joined: 11 Aug 2010 Posts: 39 Location: Mostly on the Greek Islands
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Posted: Sun Dec 26, 2010 10:07 pm Post subject: |
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| Windy wrote: | | I'm sure that Kostas would have told us up front if he had any paid relationship with VR but it would be nice to get his confirmation that he doesn't. |
No, I don't. But I will tell you what I have done. I run 21 villas and 25 hotels in the same way that you run your property. By outsourcing all the rental process nitty gritty stuff of ALL THOSE to rentalsystems, I am able to focus on bringing more customers in by utilising my past proffessional exposure on mobile and internet marketing.
For instance, I am working now on building a list with the Top 5,000 travel agencies in the UK, and the Top 50,000 agencies in the US and Canada. Will send them a mail with my Net prices and start building a relationship with at least a few of them...I would not be able to do such things If I did not have the rental process automated somehow...
Now that you told me...I see this surcharge as an opportunity to bring more bookings in through rentalsystems. _________________ tinos villas |
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Windy

Joined: 02 Oct 2007 Posts: 3194 Location: Windermere UK
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Posted: Sun Dec 26, 2010 11:40 pm Post subject: |
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| Quote: | | Now that you told me...I see this surcharge as an opportunity to bring more bookings in through rentalsystems. |
No - you've lost me there Kostas.... |
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KostasPapahatzis

Joined: 11 Aug 2010 Posts: 39 Location: Mostly on the Greek Islands
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Posted: Mon Dec 27, 2010 7:09 am Post subject: |
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| Windy wrote: | | Quote: | | Now that you told me...I see this surcharge as an opportunity to bring more bookings in through rentalsystems. |
No - you've lost me there Kostas.... |
I can absorbe part of the surcharge. Say 2.5%. I will issue a discount code for 2.5% and offer it to my clients. They will bear the charge, but only less than half of it. I loose 2.5%, but my booking chances are better. And I communicate the increase through my listing, and RentalSystems gets all the negative impact.
The other thing would be to create a new pricing which will be the old pricing+2.5% and issue a discount code for 2.5%; but I suppose it is not very ethical. _________________ tinos villas |
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Windy

Joined: 02 Oct 2007 Posts: 3194 Location: Windermere UK
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Posted: Mon Dec 27, 2010 8:10 am Post subject: |
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So now I am losing 4.5% of my previous turnover, my client still think she I being charged 4.5% by VR, but she also thinks I have given her a small discount which half covers the booking surcharge. I also lose my price point.
I'm still not convinced that this is a good marketing model from the customer or the owners' point of view.
Also these guys are charging 16% for processing a booking & payment and providing a management system.
For 15% I could turn my lodges over completely to one of two people I know who would manage them (very professioanlly) themselves from marketing through to departure and I could just sit back and let the money come in.
As I'm running a business I'd rather keep the 15% of turnover, and use a booking system like e-richards PIM system combined with a merchant agreement and card terminal for which I pay about in total about 1% of my turnover including card processing fees.
That way I can decide what supplements my customers have to pay and I am a lot better off too.
(But then I am a control freak ) |
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KostasPapahatzis

Joined: 11 Aug 2010 Posts: 39 Location: Mostly on the Greek Islands
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Posted: Mon Dec 27, 2010 8:13 am Post subject: |
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| Windy wrote: | So now I am losing 4.5% of my previous turnover, my client still think she I being charged 4.5% by VR, but she also thinks I have given her a small discount which half covers the booking surcharge. I also lose my price point.
I'm still not convinced that this is a good marketing model from the customer or the owners' point of view.
Also these guys are charging 16% for processing a booking & payment and providing a management system.
For 15% I could turn my lodges over completely to one of two people I know who would manage them (very professioanlly) themselves from marketing through to departure and I could just sit back and let the money come in.
As I'm running a business I'd rather keep the 15% of turnover, and use a booking system like e-richards PIM system combined with a merchant agreement and card terminal for which I pay about in total about 1% of my turnover including card processing fees.
That way I can decide what supplements my customers have to pay and I am a lot better off too.
Why are they charging 16%?
(But then I am a control freak ) |
_________________ tinos villas |
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