This is the third part of an exclusive seven-part series that takes a look at how top cities in various regions have performed in terms of rate parity. The first six parts will look at trends in each of the regions below:
- NORTH AMERICA (This part)
- MIDDLE EAST
- LATIN AMERICA
The last part of this series will feature an in-depth comparison between the performance of these 6 regions and a check on the impact if any of rate parity being abolished in France.
Part 3: RateGain’s Top North America Cities Parity Performance (August 2015)
Read part 1 (APAC) here – http://bit.ly/ParityinAsia
Read part 2 (Europe) here – http://bit.ly/ParityinEurope
If you read both of the earlier parts with rate parity statistics in APAC and Europe, you will immediately notice that the North American region at an average of 61% hotels in 3-star, 4-star and 5-star category in parity is doing marginally better than Asia at 60% and substantially better than Europe at 27%. Another number that hints towards rate parity abolishment in Paris (and other countries considering it in Europe) as the next big thing that hotels in Europe will need to battle against to keep their revenues intact.
Another interesting thing to notice is that the North American trend of the average percentage of hotels being cheaper on the hotel brand site and those on the OTA site is almost identical to Asia. However, Europe clearly stares at a full-blown price war.
The trend of % of hotels in parity increasing as the category of the hotel increases still seems to be the norm.
*Please Note: For North America 5-star category, the % reflects only for one data available for one city i.e., New York. So it may not be reflective of the entire sample set.
Statistics and analysis related to the 5-star category is excluded from the scope of this report due to unavailability of adequate data sets from all the listed cities.
Did you notice?
- Seattle tops the list with 77% hotels in parity followed by Boston and Chicago at 72% each. However, Seattle and Chicago are doing fairly well compared to Boston in terms of number of hotels being cheaper on the OTA sites.
- Top tourist destinations like Las Vegas and Miami rise to the top as OTA driven markets with 61% and 53% hotels being cheaper on the OTA sites respectively.
- Las Vegas is also the only city with none of the hotels offering a cheaper price on their brand website in the 3-star category and a mere 7% in the 4 –star category.
RateGain specializes in competitive price intelligence and price optimization solutions for hotels, online travel companies and airlines. It currently tracks more than one billion hotel rates every month across countries in US, Europe, Middle East, Asia and Latin America.
The above data is indicative in nature and RateGain can’t be held liable for its accuracy or usefulness for any purpose.