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11 June 2026 · Explera Group · 2 min read
Net rates are the confidential, mark-up-free prices a DMC quotes to travel agents, the true cost of ground services before any commission. The agent adds their own margin and presents a retail price to the client, who never sees the net cost. Net rates let agencies control their own profit rather than earning a fixed commission.
"Net rate" is the most important phrase in B2B travel — and the most misunderstood. For a travel agent, understanding how a destination management company prices keeps your margin where it belongs: with you. Here is the plain-English version.
A net rate is the confidential, trade-only price a DMC charges your agency. It is not the published or rack rate a consumer sees, and it is not commissionable in the traditional sense — instead, you add your own mark-up and sell to your client at whatever price your market supports. The difference is your margin, set by you, on every component: hotels, transfers, guiding, excursions and MICE.
Quotations are issued in your currency with dedicated multi-currency receiving accounts, and every payment is confirmed in writing. Credit terms are agreed up front, and a single consolidated invoice per file keeps reconciliation clean — even across multi-city, multi-country itineraries.
Net rates plus a DMC's ground accountability mean you keep the client relationship and the margin, while the operator carries the on-the-ground risk. Across the Explera network, the same logic applies in every destination — so your pricing model never changes market to market.
With commission, you earn a fixed percentage set by the supplier. With net rates, you receive the mark-up-free cost and set your own retail price, so you control your margin and total profit on each booking.
Yes. Net rates are private between the DMC and the agent. Your client never sees the net cost, and the DMC never markets to or contacts your client directly, so your pricing and relationship stay protected.
By bundling ground services (hotels, transfers, tours) into a package, adding value through curation, and setting a retail price the market supports. Net rates give you the flexibility to price competitively while protecting profit.
Join the Explera trade network for confidential net rates and 24/7 ground operations across the whole portfolio.
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