AccomNews – Australia Keeping Accommodation Industry Professionals Informed
Stop competing on rates. Win back bookings from OTAs by reminding guests of how unreliable, uncertain and problematic OTA reservations can be.
Think hotel consumers are always driven by the lowest price?
Think again.
Travel decisions are also based on emotions, not just practicality. And, there’s one emotion that hotel marketers need to tap into more: FEAR.
According to a recent study, people are more likely to have a bad hotel experience (ie: hidden fees, unfair cancellation policies, and canceled reservations) if they booked through a third-party, like Expedia or Travelocity.
In fact, it doesn’t take long to find legions of complaints and horror stories of travellers left in the lurch because of strict OTA policies or apathy from OTA call centres. Travel plans are likelier to be unraveled by OTAs, not hotels.
So, tap into that fear to remind customers that you offer two things that OTAs don’t:
- A reliable reservation from a trusted source
- AND a staff that actually cares about them
We should remind prospective guests at every opportunity that booking direct is the safer play. That your family vacation, business trip or long-awaited romantic weekend is too important to risk in any way!
Hotel marketers should communicate this critical message in key touchpoints with prospective guests during the research phase of their purchase journey:
• On your direct hotel website home page
• In your search/PPC ads
• In your retargeting ads that follow consumers after they visit your website
• In social media posts
• In call/reservations center training
• Inside your booking engine, where most abandonment occurs
Why doesn’t the industry band together and put up some advertising on various media outlets advising that cheaper rates are available for direct bookings and discuss unit options direct with hotel.
I always book directly with my accommodation. I myself have a Bed and Breakfast at Bundaberg and when I receive a booking enquiry I always phone the person enquiring and speak to them personally. That way I can help with any special requirements they may have and also helps to decide which particular room may better suit their needs. We are very fortunate in having been recommended by Lonely Planet.
I’m skeptical, and I’d love to read the quoted study.
OTA’s only adhere to the cancellation policy set by the hotel, so if there is an issue more likely to be the hotel’s fault, with the OTA taking the blame.
In fact, the fear of providing credit card details to untrustworthy businesses is one of the reasons OTA’s are so successful.
If I’m travelling to a country I don’t know, staying in a small hotel I’ve never heard of, I’d much rather book through a reputable online company who has strict credit card compliance measures. In my eyes, it’s far less risky.
Alex. One of the OTA,s now has a set menu to choose from for booking and cancellation policies which is not always consistent with the hotel policies or Fair Trading Accommodation Guidelines. The hotel can ow only select from a set % menu for deposits ie 10%, 20%,30% etc up to 100%. This decision locks in the equivalent % as the default cancellation fee. Our hotel operates on 50% deposit and $25 cancellation fee. However the OTA only allows the default 50% fee.
The same OTA,s system no longer adjusts the total tariffs for seperate rates for extra adults and children. The total tarif presented to the guest is in error and left to the hotel to resolve post point of sale. The Tarif in their new system is only calculated correctly if one rate is used for both. For this OTA only, we can no longer discount for children.
Alex. One of the OTA,s now has a set menu to choose from for booking and cancellation policies which is not always consistent with the hotel policies or Fair Trading Accommodation Guidelines. The hotel can ow only select from a set % menu for deposits ie 10%, 20%,30% etc up to 100%. This decision locks in the equivalent % as the default cancellation fee. Our hotel operates on 50% deposit and $25 cancellation fee. However the OTA only allows the default 50% fee.
The same OTA,s system also no longer adjusts the total tariffs for seperate rates for extra adults and children. The total tarif presented to the guest is in error and left to the hotel to resolve post point of sale. In their new system the tariffs is only calculated correctly if one rate is used for both. For this OTA only, we can no longer discount for children.