According to recent study by STR, US hotel revenue reached record levels in 2012, with profit climbing to 24% of total revenue. Unfortunately, despite growing consumer preference for direct bookings… most hotels also saw an increase in their dependency on expensive OTA-driven transactions. This costly channel drags down profitability and frustrates property owners seeking greater ROI on their investments. If every hotel in the US were able to reduce their dependence on third parties by just 1%… more than $280,000,000 would be generated in new direct revenue! What steps are you taking to reduce expensive OTA revenues? New direct marketing technology is empowering smart hoteliers to generate direct bookings at much lower cost than the 25%+ OTAs charge. One of the most immediate methods to reduce OTA cost is to participate in TripAdvisor's "Show Prices" feature… whereby your hotel website's direct rates can easily and quickly be published to supersede the OTAs offerings for your property!
February 22, 2013 • By Dave Spector
Thanks to web-based communities like TripAdvisor, travelers are sharing their experiences and affecting the subsequent purchase decisions of others. 70% of travelers actually change their mind about an intended hotel or destination after reading reviews of previous guests! If your past customers are talking about you online--whether it's good or bad--join the conversation! It shows transparency, honesty and appreciation... good qualities for your brand to represent.