How technology and data are redefining hotel distribution
Maintaining an offline distribution network can be costly and time-consuming and often requires substantial discounts and incentives to intermediaries
Hotels struggle to track and manage unauthorized forward rate distribution by bed banks and wholesalers, which results in unintended rate appearances on OTAs and metasearch engines that undercut direct sales channels.
Key takeaways
- The lack of visibility and control over rate distribution exacerbates these issues;
- Revenue management becomes a complex task, with static rate agreements limiting flexibility and adding to the challenge of maintaining control in response to market changes;
- As the hospitality industry grapples with these challenges, hotel chains are compelled to rethink their approach to wholesale distribution and revenue management.
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