Fight Rate Parity with Rate Cuts can Get Hotels de-Ranked
Rate Parity, where OTAs demand that hotel not undercut the rates they have, is now illegal in Europe, but many Eu hotels are opting to fight it without undercutting OTA. The reason is that they want to avoid being “de-ranked” by OTAs. In place of price cutting they are offering better value and playing up the Benefits of Booking Direct.
The TravelTripper article shows How Hotels Add Value to Direct Bookings to Fight OTA Rate Parity
Adding Value for Booking Direct the New Way
The pressure is on in America and in others parts of the world where Rate Parity is not yet illegal. Poinsettia Villa resort in St. Lucia is an example of a small Caribbean Villa Resort that is touting the Benefits of Booking direct.
Hilton Worldwide recently started its Stop Clicking Around advertising campaign where members earn HHonors Points, complimentary room nights, free Wi-Fi and access to exclusive events and experiences. In addition loyalty members can get the lowest rates when they book direct through the membership site.
Private Members Not affected
Rate Parity does not apply to private rates that are not made public. In Poinsettias case they require guest enter their email which automatically registers them in the VIP Membership program and shows rates that are private. The management change reduces the discount every few days to let shoppers know that today is the best rate; so reserve now to lock it in.
Website Messaging Strategy is Vital
Traveltrippers says “One of the most important things that independent hotels should do to increase direct bookings is to strengthen their direct web presence. This means having a responsive modern website that works across all different types of devices, especially mobile. It also means having a user-friendly booking process that makes it easy and quick for guests to book, and reassures them that they are getting the best price available.”
It is also vital that hotel Websites make full use of proven sales strategies by using engaging videos and developing a messaging strategy that talks to the guest wants and needs. This requires some sole searching so that you can isolate your special difference and talk directly to a unique target market.http://marketinghotelsandtourism.com/hotels-add-value-to-direct-bookings-to-fight-ota-rate-parity-travel-tripper/
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