The Blueprints for a Robust Direct-to-consumer Online Distribution Strategy
By Max Starkov President & CEO, Hospitality eBusiness Strategies Inc | January 27, 2012
As a result, many hoteliers cede control of their inventory and pricing property to online intermediaries, at an enormous cost financially and to brand integrity. Website optimization is the first step toward building a robust direct online distribution strategy.
Direct Online Distribution Should Become the Focus of Hoteliers' Internet Strategy
This year over 13% of all revenues in hospitality will be generated from the Internet. Three years from now the Internet will generate over 20% of all hotel bookings (PhoCusWright).
Roughly 52% of all online bookings in 2002-2003 will be completed directly through hotel-sponsored websites. Forrester Research confirms that people who book online prefer to use a supplier website over intermediaries.
Forrester Research: "Which of the following types of websites have you used to book travel in the past year?"
If your hotel is not generating at least 53% of its online bookings directly from the hotel website, but from intermediaries, then you are not competitive on the Web and run the risk of long term price and brand erosion.