Ryanair's OTA war has left it wounded

The airline has largely settled its dispute with online booking platforms by establishing "approved partnerships" with most major OTAs

When Ryanair takes on an adversary, it usually aims to come out on top. But its long-running conflict with online travel agents (OTAs) - referred to as "pirates" by CEO Michael O'Leary - has left the European low-cost carrier with some unexpected setbacks.

Key takeaways

• Ryanair recently acknowledged a factor that some analysts had suspected: its ongoing battle with OTAs contributed to a 10% year-over-year decline in average fares in the first half of the year, to €52;
• In late 2023, Booking.com, Expedia and Kayak abruptly stopped listing Ryanair flights. Initially, Ryanair expected that customers would simply switch to booking directly on its website. However, it underestimated the loyalty of OTA users, prompting it to lower fares to fill seats;
• However, Ryanair's challenges appear to be temporary. It has now established "approved partnerships" with most OTAs, addressing many of the issues that led to the dispute, such as access to customer data. Importantly, these partnerships allow Ryanair flights to be re-listed on OTA platforms.

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