In hospitality, the battle between direct bookings and Online Travel Agencies (OTAs) is at an all-time high.
OTAs, such as Booking.com and Expedia, provide properties with global exposure, while direct bookings offer better margins, data, and brand control.
But this shouldn't be a battle at all. You see, progressive hoteliers do not choose either; instead, they opt for a good mix of both, supported by the right technology.
That's where Reserveport comes in, it empowers you to utilize OTAs for visibility and drives direct bookings for profitability.
An OTA booking is a third-party travel platform that displays your hotel alongside those of your competitors. In return for visibility, sales, and convenience, they charge commissions, often ranging from 15% to 30%, depending on which OTA.
On the other hand, direct bookings are made through your website, mobile app, phone, email, or social media directly to your hotel. No intermediary. No commissions. Just a direct relationship with your guests.
OTAs (Online Travel Agencies) offer hotels significant advantages, including high global visibility that can attract travellers from around the world with minimal or no marketing spend. They also provide powerful tools and analytics to help hotels target the right audiences, build trust through guest reviews and flexible cancellation policies, and offer a fast, seamless booking experience that today's travellers expect.
On the other hand, direct bookings come with their own set of benefits. Hotels can avoid paying high commissions, leading to better profit margins. More importantly, direct bookings foster stronger relationships with guests, provide access to valuable customer data, and open doors for personalized experiences and upselling opportunities that drive long-term loyalty and revenue.
OTAs improved travel bookings by solving a key pain point of traditional agents: lack of transparency. They displayed real-time availability, transparent pricing, and guest reviews, making them the go-to choice for travellers.
Hotels initially embraced them for the exposure, but today, many are rethinking their over-dependence. Why?
Still, OTAs make a significant contribution to revenue. So, the question isn't which is better. It's how to balance both.
Rather than fighting OTAs, Reserveport helps you win on both sides by converting OTA visibility into direct bookings and managing everything from a single dashboard.
Reserveport empowers you to turn your hotel website into a revenue-generating machine with the following features:
Reserveport acts as your central control hub, syncing your inventory, rates, and promotions across multiple online travel agencies (OTAs) while eliminating double bookings and manual updates.
Use data-driven pricing tools to:
Your relationship doesn't end when a guest books via an OTA. Use Reserveport to:
Travelers love rewards, and online travel agencies (OTAs) struggle to compete in this area. Offer perks like:
Use Reserveport's revenue tools or consult revenue managers to:
Many OTAs have rigid refund timelines. Give your direct bookers a better experience with the following:
Use Reserveport's guest data and email marketing tools to:
So, Which Is Better: OTAs or Direct Bookings?
OTAs deliver visibility and volume. Direct bookings deliver control and profit. When combined with the right strategy and a powerful tool like Reserveport, you can maximize the strengths of each.
Think of OTAs as your lead generators and your booking engine as your profit centre.
Ready to increase your direct bookings without ditching OTAs? Let Reserveport show you how.