While the Internet was not specifically designed to cut out the middleman, that is what the Internet and next generation programs like Webervations enables.  Today you can buy automobiles, computers, virtually anything, directly from the manufacturer or supplier over the Internet - bypassing the added cost of the middleman.

Selling your rooms on travel Web sites like Travelocity and Expedia actually involves layer upon layer upon layer upon layer of middlemen with additional commissions being added on every layer of what could best be pictured as a pyramid of middlemen.  The travel reservation industry easily and quickly transitioned to the Internet because prior to the Internet they in effect had their own private Intranet.  In their move to the Internet they quickly cut costs by removing one of their own layers of middlemen, the neighbor travel agents, and replaced them with a new layer of Web site owner travel agents.

The fact of the matter is that owners of most small properties have already discover first hand that the high cost, both in dollars and customer satisfaction, make other alternatives preferable.  Today, more and more larger hotel and resort properties are also discovering the immediate and long term advantages of bypassing the commission based middleman systems.  As more and more properties drop from the commission based systems commission costs may raise even higher to make up for the lower volume.

Nearly everyone that has had a chance to review their Web site statistics knows most customers come from local and regional Web sites, followed by state and national Web directories.  Most travelers know that nearly every town and area in the world now has their own Web site.  Someone wanting to travel to Cape May NJ is not likely going to start out by saying, "show me a Web site that has all the lodging properties in the world", they most likely are going to say "show me capemay.com".  Likewise if they want to travel across the country and stay in B&Bs, they are not going to say "show me a Web site that has all the lodging properties in the world", they most likely are going to say "show a Bed and Breakfast directory".

So here is the better solution:  For half the money you might pay to commission based middleman Web sites,  you can pay to be listed on nearly every local and regional Web site and nearly every state and national Web directory known to mankind.  These Web sites will send guests directly to your Web site where they can see exactly what you have to offer.  This logic is based on not paying 20% commissions on one $200/night room 365 days a year = $14,600.00 in commissions.   For half the cost, you could list your property on 36 $200/year Web sites or 146 $50/year Web sites.  With the other $7,300, give yourself a raise and don't worry about what all the Web site owners wanting to make commissions off of you are telling you you're missing.