1. HOTEL COMPANIES RELATIONSHIPS WITH
OTAS
The marketing and pricing strategies with consequences on bookings
KATIA LEJEUNE - MBA 2A

2. OTAS  ONLINE TRAVEL AGENTS
• Resellers of Tourism & hotels products
• From the most famous ones:
Expedia.com
hotels.com
priceline.com
booking.com
etc…
• As well as a New platforms, Google hotel finder
KATIA LEJEUNE - MBA 2A

3. CUSTOMER ARE MORE DIGITAL ORIENTED
• Community, social media, online distribution: the dialogue with customers had
changed
• People seeking to buy travel and tourism product now goes on internet rather that in
a travel agency
• Hoteliers try to keep their online bookings higher on their own website than the
bookings they get via OTAs
KATIA LEJEUNE - MBA 2A

4. OTAS USE: POSITIVES ASPECTS
• Attractive packages are created
• The customers usually find it easier to book through a room those website
• Small structure do not have a well developed digital marketing knowledge to
increase their website online booking in that is why they rely on OTAs, as they bring
a lot of bookings for them.
• Hotels appears better on the Google search list
A good aspect for customers? If the OTAs did not existed, the room rates would be
considerably higher!
KATIA LEJEUNE - MBA 2A

5. OTAS USE: NEGATIVE ASPECTS
• Hotels need to respect the rate parity
• Hotels loose control on pricing and marketing strategies
• OTAs demand share increased considerably the past 4 years, especially for
independent groups and hotels.
• If OTAs did not existed, occupancy would be slightly lower.
KATIA LEJEUNE - MBA 2A

6. MAINTAIN A GOOD RELATIONSHIP BETWEEN
OTAS AND HOTELIERS
OTAs behavior Hoteliers behavior
• Should preserve rate parity • Select the right OTAs for them to
use, according to the segment they
• Should preserve price erosion
are targeting
• Restore pricing control to hotels
• Respect the rate parity
• Lower their margins till the
• Manage good relationship with OTAs
recovering of the financial crisis
• Negotiate lower margins
KATIA LEJEUNE - MBA 2A

7. CONCLUSION
• Hotels need to be aware of the importance of their online marketing strategy, and
keep on developing their own website to enhance direct bookings. Customers need
to be attracted to the hotel website and start thinking that it is the most efficient and
interesting way to book a room.
• Customers needs to be persuaded that OTAs does not necessarily offer the best
rates. They need to have the reflex of contacting the hotel directly so that hoteliers
can start managing and controlling their pricing strategy.
• Hotels need to promote their own packages, being creative, and using their own
website and social medias platforms.
KATIA LEJEUNE - MBA 2A