Insight
Direct bookings typically cost hotels roughly 4% to 5% of revenue to acquire, versus OTA commissions that top 15%.
Hotel Execs Reveal New Revenue Priority: Making More from Loyalty
Summary
Hotel companies are leveraging loyalty programs as revenue engines, particularly through co-branded credit cards. They're also shifting bookings away from OTAs, where commissions are significantly higher, favoring direct bookings. These strategies aim to boost customer acquisition and competitive advantages in the hospitality sector.
Key takeaway