The Swiss price monitoring authority ordered on Wednesday the travel platform "Booking.com" to reduce its excessive commissions on hotel bookings by nearly a quarter.
The authority stated in a statement that it contacted the American platform to find a solution, but these efforts were unsuccessful despite intensive negotiations.
She added that her analysis showed that the commission rates imposed by the company on Swiss hotels were excessively unjustified.
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Deadline for implementation within three months
Accordingly, the platform was ordered to reduce its average commissions by about 25 percent within a period not exceeding three months.
The authority noted that this measure aims to enhance the competitiveness of Swiss hotels in light of strong international competition, while reducing the indirect financial burden on platform customers.
Response and appeal against the decision
In contrast, Booking.com, based in Amsterdam, announced that it would appeal the decision to the Federal Administrative Court in Switzerland, confirming that commission rates would not change until a final ruling is issued.
The company clarified, "Our hotel partners have many ways to market their properties to customers, so their choice of platform is voluntary," adding, "We do not agree with a mandatory reduction of the cost of a completely optional product."
