How do Google Hotel Ads work? A guide for hotel managers

Imagine a traveler searching for a place to stay in a major city. They type “hotel in downtown Dallas” into Google. The first results they see are a map, photos, room rates, and availability—all from Google Hotel Ads. 

If your Dallas property isn’t showing up there, you’re already behind.

This guide explains how Google Hotel Ads work, what they cost, and how to incorporate them into your marketing strategy.

What are Google Hotel Ads?

Google Hotel Ads are a paid advertising tool that displays your hotel’s availability, pricing, reviews, and booking options to travelers searching for accommodations. These ads appear in Google search results, Google Maps, Google Travel, and Google My Business pages.

People don’t flip through travel guides to find hotels anymore—they search online, usually through a Google search. Google’s travel tools have become a key part of how travelers plan and book their stays, and hotels use them to keep their property front and center in search results. 

Integrating Google Hotel Ads into your marketing plan can lead to more direct bookings, better guest targeting, and less dependence on online travel agencies (OTAs).

Here’s an example: Someone searches Google for “hotels in Toronto.” They’ll see a map, hotel prices, listings, and booking options among the results. If you’re using Google Hotel Ads, your property can appear there, with live prices and a “Book Now” button.

This is a big deal because it puts your hotel in front of people actively looking to book, letting you convert them before they go to a competitor or OTA.

How do Google Hotel Ads work?

Google Hotel Ads pull data from your hotel’s feed, including prices, availability, amenities, and photos. This information is displayed in real time alongside search results. When someone clicks your ad, they’re taken directly to your hotel’s website (or booking platform), where they can complete the reservation.

The user experience is seamless. It feels like an extension of the search process, making it easy for travelers to compare options and book on the spot.

For hotel managers, running Google Hotel Ads means keeping your inventory and pricing up to date while working with a connectivity partner or booking engine that meets Google’s tech requirements. This is where a partner like Engine can make a difference. Engine helps manage the technical setup, ensures your ads are compliant, and optimizes your campaigns to reach the right audience. 

Before launching your ads, consider a few things. Ensure your inventory is synced adequately across platforms, that your landing pages provide a smooth booking experience, and that you’re ready to monitor performance and adjust your bidding strategy.

Benefits of Google Hotel Ads

Google Hotel Ads offer several benefits for hotels that want to attract more guests directly and reduce reliance on third-party platforms.

1. Increase your hotel’s visibility

Hotel ads put your property in front of people actively planning trips. This isn’t passive promotion; these are high-intent searches from people ready to book. Appearing in Google’s hotel results can give you a major visibility boost.

2. Drive revenue

When you show real-time prices and booking options, you make it easier for guests to book directly, often avoiding the commission fees that come with OTAs. Hotels that run Google Hotel Ads regularly report increases in direct bookings.

3. Enable upselling opportunities for hotels

When guests book through your website, you can offer add-ons like breakfast, parking, or late checkout—things you can’t easily do through third-party booking sites. This boosts revenue per booking and improves the guest experience.

4. Offer targeted advertising

Google allows you to tailor your ads based on location, device, time of day, and other factors. Want to target people searching for summer stays in Las Vegas from their home in Germany? With Google Hotel Ads, you can do that.

5. Provide cost control

With flexible bidding models, you stay in control of your budget. You can spend as little or as much as you’re comfortable with, only paying for actual clicks or bookings.

How much do Google Hotel Ads cost?

The cost of Google Hotel Ads depends on the bidding model you choose. The most common options include:

• Commission (per stay): In this model, you only pay when someone completes a stay. Google recommends a 10% commission rate. If the guest cancels or doesn’t show up, you don’t pay.
• Cost-per-click (CPC): With CPC, you pay when someone clicks your ad. You can set this manually or use an enhanced CPC model where Google adjusts your bids based on conversion likelihood.
• Percentage-based CPC: Percentage-based cost-per-click is similar to manual CPC, but you base your bids on a percentage of the room rate.
  

Each model has pros and cons. Commission is great for hotels that want to reduce risk, while CPC can give you more control over exposure and budget.

Real-life example: A small hotel in Colorado used commission-based hotel ads and saw a 35% boost in direct bookings within three months, without spending money on ads that didn’t lead to actual stays.

How to set up a campaign in Google Hotel Ads

Getting started with Google Hotel Ads doesn’t have to be complicated. Here’s a simple breakdown of the steps involved:

1. Claim and optimize your Google profile.
2. Make sure your Google business profile is verified and up to date. Add current photos, amenities, and a compelling description. People see this when they search for your hotel, so it’s worth the time.
3. Connect inventory and rates.
4. Work with a connectivity partner (like Engine) to sync your live inventory, pricing, and availability with Google. This ensures the information in your ads is accurate and up to date.
5. Meet Google’s listing requirements.
6. Google has specific requirements for feed quality, data accuracy, and usability. A partner platform can help you navigate this and avoid common mistakes.
7. Create and launch your ads.
8. Set up your campaign, choose your budget, and define your targeting preferences—then you’re ready to go live.
9. Monitor your hotel ads and analytics—use your dashboard to track clicks, conversions, and costs. Look at what’s working and fine-tune your ads regularly. Working with a partner can save you time and maximize your return.

Get more bookings with Partner Hub

Google Hotel Ads are a powerful way to attract more guests to your hotel without relying heavily on OTAs. With real-time visibility, flexible cost models, and tools to drive direct bookings, they’re worth adding to your marketing playbook.

If you’re ready to boost your hotel’s online presence and get more out of every search, there’s no better time to start.

Join Partner Hub free today and get $100 in ad credit when you run your first marketing campaign.

FAQs

Can I use Google Hotel Ads if my hotel is listed on OTAs?

Yes, you can use Google Hotel Ads even if your hotel is listed on OTAs—many hotel managers choose to do both. The key difference is that Google Hotel Ads lets you drive traffic directly to your hotel website, meaning guests can book without going through a third party. This often results in stronger brand loyalty, higher profit margins, and more control over the guest experience.

OTAs can still bring in bookings, but using Hotel Ads helps reduce over-reliance on them. You’ll still appear in the same search engine results, but your direct booking link gives travelers another option.

Are Google Hotel Ads a good fit for small or independent hotels?

Google Hotel Ads are a great option for boutique hotels, bed and breakfasts, and independent properties. One of the biggest advantages of using Google Hotel Ads is the ability to compete for visibility alongside larger brands in Google’s hotel search results. Small hotels and motels often see better results because they can personalize landing pages and offers in ways big chains can’t. With a partner like Engine helping you manage your ad campaign, you can maximize every click and turn it into a high-value booking.

What’s the difference between Google Hotel Ads and standard Google Ads?

Google Hotel Ads and regular Google Ads both run on pay-per-click (PPC) models, but they serve different purposes. Standard Google Ads allow you to target keywords like “hotel in Miami” and drive traffic to your website, but they don’t include live pricing, availability, or booking links. 

Google Hotel Ads, on the other hand, are built specifically for hotel searches. When a traveler Googles hotel prices, they’ll get real-time results, including photos, property amenities, and a “Book Now” button—all without leaving the search engine or Google Maps. This creates a smoother experience for the guest and a higher chance of conversion for your hotel.