Destinations strive to provide the best experience for their visitors and hotels, which includes the best possible booking experience. When the decision comes down to booking through an OTA (booking.com, Travelocity, Expedia) or directly with a lodging property, research from Koddi is clear: consumers want to Book Direct.

The OTA and hotel relationship has been heated from the start. A common misconception centers on price in consumer's booking decisions. Think consumers will always opt for the least expensive option? Think again.

Research from Koddi shows that 65% of visitors will book direct with a hotel over an OTA listing the same price. The study goes on to show an even deeper preference for direct booking: Where there is a 1% difference in price-and the hotel option is more expensive-63% of consumers will book through the hotel. Where there is a 10% difference in price-even though the hotel is more expensive-51% of consumers will still choose to book direct with the hotel.

So why do consumers book direct even when the price is higher?

 

  • The Booking Experience Is Better: Whereas OTAs confuse consumers with competing offers, booking direct is a simple, seamless process.
  • Consumer Perception Is Better: Consumers equate a better booking experience with a better lodging experience.
  • Brand Loyalty Is Higher: Hotels are aggressively growing and improving their loyalty rewards in response to lost profit from OTAs.

 

You already know that your lodgings lose when consumers book through an OTA site. Koddi's research shows consumers believe they are losing, too. Give consumers what they want with the best possible booking experience: lodging options, availability, price, and the option to Book Direct Now.