OTA commission

Why OTA commissions are actually a steal of a deal

Reduce OTA commission

In the past six months I’ve written about increasing hotel brand fees (Hotel Loyalty Rate Analysis) and increasing loyalty fees (The Great Loyalty Rate Debate).

Both articles prompted some very interesting and much needed industry debate about how best to proactively manage hotel online distribution.

In what was a sea of negative OTA sentiment, I opted to take a deep dive into the issue and explore some of the lesser seen and even lesser understood facets of the hotel online distribution conundrum, in particular, the notion that direct bookings are always cheaper.

NB: This is an analysis by Peter O’Connor, professor of information systems at Essec Business School in Paris, and European online analyst for Phocuswright.

Thankfully in more recent times OTA disdain has been waning and my feeling is that it will continue to diminish over the next few years for several reasons.

See full article at https://www.tnooz.com/article/ota-hotel-commissions-a-good-deal/