Finding the balance between OTAs and Hotels Reviewed by Momizat on . In ‘The Ultimate Indian Travel & Hospitality Report’ provided by Hotelivate to Hotelier India, Manav Thadani published his insights – ‘The Mighty (OTAs) and In ‘The Ultimate Indian Travel & Hospitality Report’ provided by Hotelivate to Hotelier India, Manav Thadani published his insights – ‘The Mighty (OTAs) and Rating: 0
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Finding the balance between OTAs and Hotels

In ‘The Ultimate Indian Travel & Hospitality Report’ provided
by Hotelivate to Hotelier India,
Manav Thadani published his insights – ‘The Mighty (OTAs) and the Influential
(Hotels): Finding Their Balance’, which talked about the fierce battle between
OTAs and hotels for a higher share of the consumer’s wallet.

Prior to the mid-90s, consumers could either book directly
with the hotel or rely on a travel agent for their travel and accommodation
needs. At the time, hotels were paying a commission of around ten per cent to
the travel agents. Once OTAs entered the scene; powered with sophisticated
technology, they did a far better job of providing an additional room booking
channel for both consumers as well as hotels. The reason OTAs became so popular
was that the benefits suited both, the consumer as well as the hotel.

For the consumer:

  • OTAs offered a range of options to choose from
    that gave travellers more control over their bookings.
  • They were independent, appearing to be fairer
    and more consumer-oriented than hotel brands.
  • OTA websites were intuitive and simple to
    navigate enabling a more satisfying customer experience.  

For hotels:

  • OTAs helped drive occupancy.
  • They offered a great marketing platform,
    especially for smaller chains and independent properties.
  • OTAs diversified the customer base by
    introducing new guests.
  • They also helped integrate related travel
    industries such as hotels, airlines and car rentals through innovative
    packages.

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