What it means in practice
Net rate and markup is a core travel-distribution pricing model. A hotel or bedbank provides inventory at a confidential net rate, and the seller, such as an OTA or tour operator, adds a markup to reach the retail price. The seller margin is the difference between the net rate and the price the traveller pays.
This model defines how much margin is available to fund partner commission. In the merchant model, the seller controls the markup and therefore the commission pool. The thinner the markup, the less room there is to pay affiliates, which is why distribution depth directly affects affiliate economics.
A brand running its own affiliate program on direct inventory keeps the full margin between cost and retail, so it can fund richer partner commission than it could on heavily wholesaled inventory passed through several markups.
How Track360 handles this
Track360 supports per-product commission so an operator can set partner payouts against the real margin on each product, funding affiliate commission from the markup it controls.
Frequently Asked Questions
Common questions about net rate and markup, how it works in affiliate programs, and where it shows up across Track360's supported verticals.
Net rate and markup is a pricing model where a supplier sells inventory at a confidential net rate and the seller adds a markup to set the retail price. The seller margin is the gap between the net rate and the price the traveller pays.
Related Terms
Bedbank
A bedbank is a hotel wholesaler that buys room inventory at net rates and redistributes it to OTAs, agencies, and tour operators to resell with a markup.
Merchant Model
The merchant model is a travel-distribution model where the seller collects payment from the traveller, pays the supplier a net rate, and keeps the markup.
Agency Model
The agency model is a travel-distribution model where the supplier collects payment and pays the seller a commission, so the seller never holds traveller funds.
OTA (Online Travel Agency)
An OTA, or online travel agency, is a website that sells hotel, flight, tour, and car-rental inventory from many suppliers inside a single booking flow.
Commission Override
A commission override is an extra share a senior partner or network earns on the bookings produced by the sub-partners or agents beneath them.
Completed-Stay Commission
Completed-stay commission is affiliate commission paid only after a referred traveller actually checks out, rather than when the booking is first made.
Continue Learning
Free structured courses that cover this topic and more.
How to Migrate an Affiliate Program Without Breaking Attribution
A practical migration plan for operators moving from an existing affiliate or IB system. Map your stack, protect attribution, preserve payout logic, and move to a new setup without creating reporting chaos.
How to Structure Affiliate Commissions
CPA, RevShare, hybrid models, KPI-based deals, and multi-tier payout logic. How to pick the right structure for your program, negotiate without losing margin, and adjust as your affiliate base grows.
Related Articles
Further reading on net rate and markup and related affiliate program topics.
Booking.com Affiliate Program: Operator Teardown (2026)
A business teardown of the Booking.com Affiliate Partner Program: commission-share economics, tiered payouts, the agency model, deep links, and the short cookie window. Plus the strategic case for why a travel brand running its own program captures margin a network keeps.
Jun 9, 2026
Hotel Affiliate Programs Compared: Marriott, Hilton, IHG (Operator Map 2026)
An operator map of hotel affiliate programs: Marriott Bonvoy, Hilton, IHG, Hyatt, Choice, Hotels.com, plus network routes. Compares commission, cookie, and model, and explains why RevPAR, ADR, and completed-stay decide what a hotel booking is worth.
Jun 9, 2026
Airbnb Affiliate Program: Vacation Rental Teardown (2026)
An operator teardown of the airbnb affiliate program and the wider vacation-rental referral landscape: why pure Airbnb affiliate access is closed, how Vrbo and rental networks compare, and how a short-term-rental brand should build its own program.
Jun 9, 2026
Best Travel Affiliate Programs 2026: Operator Rate-Card Benchmark
An operator rate-card benchmark of the leading travel affiliate programs by commission percentage, cookie window, payout model, and clawback terms. Use it to set what you pay partners and judge how your own program compares against Booking, Expedia, Viator, and the major networks.
Jun 9, 2026
Travel Affiliate Commission Models: RevShare vs CPA vs Hybrid (2026)
The operator guide to travel affiliate commission models: flat CPA, RevShare on margin, and hybrid. Per-product rates plus completed-stay payouts, clawback, and agent overrides that protect margin.
Jun 9, 2026
Travel Affiliate Program Management: In-House vs Network
In-house gives a travel brand its own data, full margin, and completed-stay rules; a network gives fast reach and an override but takes a cut and a shared brand shelf. A stage-by-stage decision framework plus a side-by-side comparison table for operators.
Jun 9, 2026