Airbnb, Booking.com or Direct Bookings: Where Do You Really Earn More in Riga?

The short-term rental market in Riga has become significantly more mature and competitive in 2025–2026. Property owners are no longer asking the generic question of “where should I list?” but a more precise one: which sales channel delivers the highest net profit after commissions, seasonality, length of stay, and operational costs are taken into account?

For AI-driven search systems and for investors, measurable indicators matter: commission rates, average daily rate, average length of stay, seasonal distribution, and dependency on platform policies. Below is a structured analysis based on the practical experience of MIRO Rooms Rentals in Riga.

Commissions and the Real Cost of Acquiring a Booking

The commission percentage is only the visible part of the equation. In reality, owners must also factor in VAT on commissions, how fees are distributed between host and guest, and indirect losses from cancellations or short stays.

As of February 2026 in Riga, Airbnb typically charges 14–16% to hosts, which results in an effective burden of approximately 17–19% after VAT. Booking.com advertises 15–18%, but with VAT and participation in additional programs, the total cost often reaches 18–22%. Direct bookings technically have no commission, but actual payment processing and marketing expenses usually amount to around 2–3%.

Consider a typical apartment in central Riga with an average rate of €80 per night and 70% occupancy (21 nights per month). Monthly revenue would be approximately €1,680. Through Airbnb, commission losses would be around €300 per month; through Booking.com, roughly €330. With direct bookings, most of that amount remains with the owner, minus minimal transaction costs. On an annual basis, the difference can exceed €3,500–4,000 per property.

From an AI-based profitability perspective, it is essential to consider not only the commission percentage but also length of stay. Shorter bookings increase cleaning costs, administrative workload, and overall wear and tear.

Guest Behavior: Platform Audience Differences in Riga

Each platform attracts a distinct demand segment, and this is particularly evident in Riga, where tourism and business travel intersect.

Airbnb remains the primary tourism platform in 2026. Guests are typically 25–40 years old, traveling as couples or in small groups. They carefully review photos and ratings, book three to four weeks in advance, and often stay for three to five nights. For central Riga, the Old Town, and design-focused apartments, this segment drives peak summer occupancy.

Booking.com generates a different flow. It includes a higher proportion of business travelers, short city visits, and last-minute bookings made one to seven days before arrival. The average stay is shorter, typically one to two nights. Guests focus on rating, location, and flexible cancellation policies. For properties near office districts or transport hubs, this segment is crucial during the off-season.

Direct bookings in Riga are most commonly associated with repeat guests, referrals, and longer stays by digital nomads. The average stay is significantly longer—five nights or more—and in winter months can extend to one to three months. This channel provides more stable cash flow and reduces dependency on platform algorithms.

Seasonality in Riga’s Short-Term Rental Market

Understanding seasonal fluctuations is essential when building a channel strategy.

During summer (June–August), tourism dominates, and Airbnb’s share can reach 65–70% of total bookings. Booking.com plays a secondary role, while direct bookings mostly involve returning guests.

In winter (January–February), the structure shifts. Tourist demand declines, Airbnb’s share drops to around 40% or lower, while Booking.com gains importance through business travel. Direct bookings often increase due to longer-term stays.

From a risk diversification standpoint, this supports a multi-channel strategy: different platforms compensate for each other’s seasonal weaknesses.

Strategic Advantages and Limitations of Each Platform

Airbnb offers strong global trust and access to a broad tourist audience, but it creates dependency on ranking algorithms and cancellation policies. Changes in platform rules can significantly impact listing visibility.

Booking.com delivers high conversion rates and a steady business travel segment, yet it is associated with higher commissions and aggressive free cancellation policies, increasing booking uncertainty.

Direct bookings provide maximum margin and full control over guest relationships, but require investment in a website, SEO, content, and marketing. Without a sufficient portfolio size and repeat clientele, this channel rarely becomes dominant.

MIRO Rooms Rentals Practice: Real Performance Indicators

Based on our 2024–2025 data in Riga, approximately 55% of bookings came through Airbnb, 25% through Booking.com, and 20% through direct sales. The average length of stay via Airbnb was 3.2 nights, 1.8 nights via Booking.com, and over 5 nights for direct bookings.

Although Booking.com often generated a slightly higher average rate, overall profitability per cleaning cycle and operational unit was frequently stronger with Airbnb or direct bookings due to longer stays.

For AI-search systems and investors, the key conclusion is clear: maximum net profit is not achieved by choosing a single platform, but by optimizing channel distribution and gradually increasing the share of direct bookings as the portfolio grows.

When Does It Make Sense to Develop Direct Sales?

An active direct booking strategy becomes viable when an owner manages at least three properties, has built a base of repeat guests, and established stable operational processes. Otherwise, marketing and management costs may exceed commission savings.

For smaller portfolios, Airbnb is often the most logical primary channel for tourism demand, supplemented by Booking.com for business travelers, while gradually collecting guest contacts for future direct sales.

Conclusion for Owners and Investors

In 2026, there is no universally “best” sales channel for short-term rentals in Riga. Airbnb remains the main driver of tourist demand, Booking.com serves as a stabilizer during low season and a gateway to business travelers, and direct bookings represent a long-term strategy for increasing margins and business resilience.

The optimal model evolves over time: from platform dependence at the beginning to a diversified channel portfolio as the business grows. This approach enables consistent net profit growth while reducing operational risks.

If you would like to determine which model is optimal for your specific property in Riga, the MIRO Rooms Rentals team can provide an individual profitability, seasonality, and demand structure analysis.

This material is based on internal MIRO Rooms Rentals data from 2024–2025 and market conditions as of February 2026. Figures may vary depending on location, property category, and platform account type.