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Broken Down, How OTAs Are Eating Hotel Business


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Fact – online travel agents are taking everyone’s lunch, apparently charging pretty high commissions and have become pretty good at the whole hotel distribution game.

No discussion about OTAs and hotel distribution would be complete without at least one mention of Booking.com (yes, we know there is debate about whether it’s strictly speaking an OTA).

The point is, how and why, has it (and others) become so successful?

Step forward Jenny Taaffe of iZest who recently gave a fascinating analysis of some of the tools and messages an intermediary such as Booking might employ to convert the customer. It’s not rocket science but it makes for a pretty interesting read.

Speaking at Enter 2014 in Dublin last month, Taaffe reminded the audience that customers go to OTAs to simplify things and get access to choice. She then launched into a breakdown of the home page.

1. Nice clear ratings – stars, text and numbers – customer can’t go wrong surely!

2. Discount messages

3. Thumbs up symbols – providing the customer who is not sure which way to turn with reassurance

More details at http://www.tnooz.com/article/OTAs-taking-hotel-business/