Module Details

Module 2.1 - OTAs And The New Customer Digital Journey

  • About OTAs And The New Customer Digital Journey
  • Methodology
  • Learning Outcome

About OTAs And The New Customer Digital Journey

OTAs and hotel companies are often said to be in a zero-sum game – hotels invest heavily into their direct channels and loyalty programs to reduce OTA commissions, but ineffective strategies mean that they sometimes end up spending more than what they would have paid to OTAs. Meanwhile, OTAs continue to increase their presence and gain market share, reminding us that they are here to stay.

Furthermore, many travellers begin their search on OTAs, and then look for the direct websites of the hotels they are interested in. It is important for hotels to ensure that their direct website is discoverable, optimised, and secure. As rate parity becomes a thing of the past, hotels need to be bolder and use this to their advantage to compete against the big OTA players and make the best out of those new touch points where value can be created.

Methodology

Interactive lecture, with discussions and case study including team-based brainstorming and exercises

Learning Outcome

Knowledge

  • Understand the new customer digital journey and associated touchpoints
  • Lessons from the digital giants (Airbnb, Expedia, Google, et al.)


Competencies

  • Leverage OTAs to gain new customers and engage them in loyalty with direct booking
  • Create value leveraging the new touch points in the customer journey


Mindset

  •  Leading the pack in a world of co-opetition

About OTAs And The New Customer Digital Journey

OTAs and hotel companies are often said to be in a zero-sum game – hotels invest heavily into their direct channels and loyalty programs to reduce OTA commissions, but ineffective strategies mean that they sometimes end up spending more than what they would have paid to OTAs. Meanwhile, OTAs continue to increase their presence and gain market share, reminding us that they are here to stay.

Furthermore, many travellers begin their search on OTAs, and then look for the direct websites of the hotels they are interested in. It is important for hotels to ensure that their direct website is discoverable, optimised, and secure. As rate parity becomes a thing of the past, hotels need to be bolder and use this to their advantage to compete against the big OTA players and make the best out of those new touch points where value can be created.