dimanche 6 décembre 2009

Hotels need to rethink their OTA strategy

This article deals with the problem that hotels are facing on Internet. Indeed, lots of clients are booking on Internet but rather through the OTAs’ websites than through the hotels' websites.
OTAs attract web surfers because its offers are more diversified and it meets the expectations of clients. The main consequence is that hotels' websites are losing profits, because booking on these OTAs websites means to book at lower prices than the rack rate.

Now, most of hotels are offering packages and promotion in order to counterattack online retailers but it is not enough.
For individual hotels, it is harder to be visible on OTA’s, because generally, famous group hotels chains are in the forefront.

In my opinion, hotels should sell more products linking to the activities that customers could enjoy during its stay, for example hotels could make partnership with some theatres, and then propose clients to book it through hotels’ websites. This could attract more customers. Hotels have to offer more privilege to its customers than OTAs propose.

Another point is that hotels should target efficiently on each OTAs’ websites they want to appear. In fact, the choice is very wide and it is more strategic to appear on the most efficient websites (where hotels’ customers book the most).

http://www.hotelmarketing.com/index.php/content/article/hotels_need_to_rething_their_ota_strategy/

1 commentaire:

  1. I find this article very relevant regarding hotel industry's situation. In point of fact, OTAs have reached a large range of online customers who rather book online through these sites than directly with hotels. The main reason is of course the attractive rates, that's why hoteliers need to modify their strategy face to OTAs' demand. Although hotels are offering promotions and other privileges to their customers, I think that they should at first really focus on the quality of their services, which means providing what customers are expecting (and even more). Of course, other innovative ideas should be developed as well.

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