Google Hotel Ads to Offer Pay-Per-Stay Model

Recently, Google announced updates to its metasearch advertising (also known as Google Hotel Ads). To support hotel recovery, Google updated its bidding options. Previously, bidding was exclusively on CPC-basis whereby costs were incurred as a result of advertiser bidding. Now, with the pay-per-stay approach, Google will charge for Google Hotel Ads based on completed bookings while adjusting those fees based on cancellations.

We believe this is indeed an attractive opportunity. Now more than ever, it is important to minimize risk and maximize conversion. Using completed stays ensures properties pay only for completed bookings. Having an adjustment process to account for cancellations, makes it a full commission-based model.

“What became clear as the COVID crisis unfolded was that cancellations especially were a major factor. Helping share risk with our partners and helping our partners manage cancellation risk – that motivated us to prioritize and scale up this program and accelerate it,” says Michael Trauttmansdorff, Google’s group product manager for travel ads.

Milestone is now extending Google’s pay-per-stay Metasearch campaign format to its customers. As it is a new offering for Google and Milestone, the commission rate would be determined on a case by case basis. For more information, eligibility, program cost and implementation please email us at sales@milestoneinternet.com.