Distribution: Difference between revisions

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This situation doesn't really match reality anymore. Looking at the market as a benchmark, it would be more realistic to have:
This situation doesn't really match reality anymore. Looking at the market as a benchmark, it would be more realistic to have:
* 30% directly from the own reservation system (CRS), royal customers, website etc.
* 30% directly from the own reservation system (CRS), royal customers, website etc.
* 20% via agents (OTA, travel companies, partners etc), who would get 10% commission on an average
* 20% via agents (OTA, travel companies, partners etc), who would get 10% commission on an average: mega partners like [https://www.expedia.com/ Expedia.com]
* 30% via [[aggregator|aggregators]] like Bookings.com, who would get [https://www.quora.com/How-much-commission-is-booking-com-charging-their-partner-hotels 10% commission on an average]
* 30% via [[aggregator|aggregators]] like Bookings.com, or who would get [https://www.quora.com/How-much-commission-is-booking-com-charging-their-partner-hotels 10% commission on an average] in many cases more.
* 15% via [[affiliate]] links, who you would pay (cost per sale) [https://blog.travelpayouts.com/en/selecting-hotel-affiliate-program/ commission would be like 5% on an average].
* 15% via [[affiliate]] links, who you would pay (cost per sale) [https://blog.travelpayouts.com/en/selecting-hotel-affiliate-program/ commission would be like 5% on an average].
* 5% via Daydeal sites like Groupon
* 5% via Daydeal sites like Groupon
Some alternative for Bookings groups, being the biggest payer, are sites like  [https://alternative.me/booking-com Hotels.com and others]. <br>
There is initiatives, like [https://moonback.com/ Moonback] setting up a more 'fair' system, starting from a steward-ownerships structure. <br>
Interesting read on Hospitality net is [https://www.hospitalitynet.org/file/152008406.pdf The economic impact of OTAs in the EU: summary report.]<br>
Interesting read on Hospitality net is [https://www.hospitalitynet.org/file/152008406.pdf The economic impact of OTAs in the EU: summary report.]<br>



Revision as of 18:05, 17 August 2021

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Which distribution channels?

For now the hotel, in their distribution (so getting customers and occupancy in the hotel) mainly relies on its own sales. So in the variable costs you will see no costs for this at all.
This situation doesn't really match reality anymore. Looking at the market as a benchmark, it would be more realistic to have:

Some alternative for Bookings groups, being the biggest payer, are sites like Hotels.com and others.

There is initiatives, like Moonback setting up a more 'fair' system, starting from a steward-ownerships structure.

Interesting read on Hospitality net is The economic impact of OTAs in the EU: summary report.

So looking ahead at the future, using these partners would also mean having the prices go up a bit, to compensate for the commissions to be paid. Or, having a higher occupancy rate to compensate for the additional costs.

Models in operating a hotel

Read the interesting article on profit-models, ownership and distribution White paper in Hospitality Management,



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