Payment Links vs. a Booking Engine - Which is Right for your Business?
Business Tips
"Tab helps me take deposits for bookings and keeps you safe in the case of cancelation."
Ansta Farmhouse Hotel and Camping
Namibia
Whether you run a beach hostel, jungle retreat, or walking tour in a historic city, how you accept payments from guests plays a big role in your success. The right approach can improve your cash flow, reduce no-shows, and give guests a smoother booking experience.In this article, we break down the main ways to collect payments, and the pros and cons of each.
What form of payments should your travel business accept?
1. Payment Links
How it works: You send a secure payment link to the guest, via email or Whatsapp. They pay online - often for a deposit or full booking - using their card.
Pros:
Fast and simple setup
No need for a website or booking engine
Great for international payments
Reduces no-shows with upfront deposits
Cons:
Not ideal for automated bookings
Requires manual messaging or follow-up
Conclusion: A flexible option for small teams that want to secure payments quickly, especially when guests reach out via email or Whatsapp.
2. Booking Widgets (Payments directly through your website)
How it works: You embed a booking and payment widget directly on your website. Guests can check availability, book, and pay, all in one place.
Pros:
Professional guest experience
Accepts payments instantly
Embedded directly onto your website, rather than linking to external platforms or sites
Manage availability through a simple portal
Cons:
Requires a website (or a basic landing page)
Slightly less customisable than full PMS tools
May not integrate with channel managers
Conclusion: A solution for operators who want customers to be able to see availability, pricing, and book without having to directly message the business first.
3. In-Person Card Payments
How it works: Guests pay in person using a card reader or payment app - either on arrival or during their stay.
Pros:
Ideal for walk-ins and extras
Allows the exact amount to be received, and quick payouts
Cons:
Requires card reader or mobile device
No advance payment option increases the likelihood of no-shows
Conclusion: Useful if you're in a location with reliable infrastructure and want to offer payment flexibility on-site.
4. Virtual Credit Cards (VCCs)
Best for: Hotels and hostels using Booking.com, Expedia, or similar OTAs
How it works: When a guest books through an OTA, the platform issues a virtual credit card that you charge manually by inputting the details provided in the VCC.
Pros:
Guaranteed funds from OTAs
Reduces fraud and no-shows
Cons:
Manual or semi-manual workflow
Typically more expensive to process
Conclusion: Best used alongside other payment methods; reliable for OTA payments but limited flexibility.
5. Cash Payments
How it works: Guests pay in local currency, usually on arrival.
Pros:
No fees or setup
Offline and straightforward
Cons:
Risk of no-shows or last-minute cancellations
Safety and accounting issues
Less convenient for international travellers, who prefer to pay with card, and in their currency
Conclusion: Still relevant in some places, but becoming less common. Travellers increasingly expect digital options.
Consider offering a variety of payment methods
Tourism businesses in emerging markets are increasingly moving away from cash and relying less on expensive or complex systems. Modern tools let you accept international payments, reduce no-shows, and give guests the convenience they expect - without needing a tech team or big budget.
Many operators today are using simple booking widgets, links, and multi-channel payment solutions that are easy to set up and manage through a single inventory portal.
Looking to upgrade how you take payments? Check out tab.travel for low fee payment methods tailored for tourism businesses.