Another corporate digs its claws into our industry

 This latest move by Stayz has that same destructive grab and run feel about it. Sort of reminiscent of  RealEstate.com.au all over again.

When Stayz acquired Yesbookit late last year, there was much concern from the YBI users around the country on just how it would affect them.

Well now they know…

Over the past couple of weeks Stayz, (trading as Yesbookit ) has rolled out its new Client Services and Distribution Agreement (These have been removed for legal reasons)

Some quite incredible terms and conditions here, including the requirement that if you leave the Stayz/YBI fold, you have to hand back all documentation including the agreement!

That might be unusual, but have a look at this requirement:

“This Agreement will continue at least for the Initial Term. You may give us notice at least 28 days prior to the expiration of your Initial Term that you would like your subscription to terminate upon the expiration of the Initial Term. If you do not give us such notice, the Agreement will automatically renew for a further term of 12 months and the new Service Charges and Support Charges (as notified to you) will apply for that period”.

I have spoken with several YBI users during this past week. Already, some have been shut down/turned off because of non compliance, and many feel that they have been “bullied” into signing this agreement by Yesbookit. Of course, if it’s not signed it can be automatically invoked or, if they please, revoked.

Another significant element of the agreement is that Yesbookit users’ only option now in working with Stayz is to cop the 8.5% + GST charge for each and every booking.

All they need to wait for now is the gradual increase of fees, a change that Stayz will be a mandatory part of the product integrated into the offering with no way for the users to defy the current honesty system which I am certain the bean counters at Fairfax would be very pleased to eliminate.

Disclaimer: Glenn Smith owns and operates GENKAN Property Management Software which competes with Yesbookit

Fairfax, Realestate.com.au, Stayz, YesBookit

The Homepage
SEO For Real Estate
Listing Leads
Agentpoint Real estate

About Glenn Smith

Glenn was educated in Australia, trained as a photographer and photo lithography before moving to the UK in the early 1980's joining the pioneers of digital image scanning and manipulation firstly as a training instructor, product manager and sales and marketing travelling the world making presentations on technology change. Returning to Australia in 1993 he was instrumental in the establishment of Indigo digital imaging in Australia before the desire to build his own business began. Targetmailer was the first venture, the building of one of the first email marketing softwares. Seeing the opportunities being developed by the internet established Response Mechanix for Web Design & SEO services in 2000 before embarking on Holiday Rental Marketing and management under the guise of Thredbonet Marketing in the NSW Snowy Mountains. In 2006 he began the development of the innovative GENKAN Property Management Software which launched in 2010. Currently CEO of GENKAN and Thredbonet Marketing. Seen by many as a maverick marketeer, a visionary agent of change in pioneering new ideas and technologies. Has a vision to see the Holiday Rental Managers Association (HRMA) get off the ground in Australia to represent a major part of Australian Tourism.

4 Responses to Another corporate digs its claws into our industry

  1. Glenn Rogers March 21, 2013 at 8:12 pm #

    Someone wrote an article on here a while ago about how the accommodation portals in the USA first took all the good search engine positions then they could charge what they liked ……….and they did.

    Sound familiar ?

    Good business though but no different to REA and Domain but at least they compete, I’m not sure if there is a real competitor for Stayz.

  2. Ryan O'Grady March 27, 2013 at 3:06 am #

    I spoke to YesBookit in relation to this article and they provided me with the following response:

    YesBookit is an independently operated business unit within Fairfax.

    As part of ongoing YesBookit product and service improvements the agreements were updated for clarity, simplicity and to enable future products and services to be offered. Customers were consulted in the redrafting and update of the Client Service and Distribution Agreements. Two customers provided critical feedback which was addressed, other customers provided positive feedback and all customers accepted the agreement. All customers were retained and no customers were lost or sought termination as a result of the update to agreements.

    Fairfax is significantly investing in the YesBookit application, partnerships as well as extending the training and support.

    YesBookit customers have the choice to connect to all or none a range of distribution partner portals including HomeAway, Wotif and Rentahome and BookitNow as well as Stayz. There are a range of commission pricing options with distribution partners which range from no cost to the agent to no cost to the consumer.

  3. Glenn Smith March 28, 2013 at 3:08 pm #

    Ryan I suppose time will reveal all.

  4. Paul D April 26, 2013 at 5:52 pm #

    And along comes Airbnb.com This website will shoot many holes in the online holiday marketing sector. It is aimed at private rentals and I guess, as Glenn S has just said, time WILL reveal all.

Leave a Reply