The degree of rate parity observed for Asian hotels between their brand websites and the OTAs shows continuing variation by location in the February 2016 report. Beijing at 92% & Jakarta at 64% though were cities where 3-star hotels maintained parity while Bali and New Delhi emerge as clear winners in the 4-star and 5-star categories, respectively. Interestingly while Jakarta had 64% of hotels in parity, remaining 36% in 3-star category were selling cheaper on OTAs than Brand.com.
Hotels being cheaper on OTA sites has increased sharply compared to the last parity report we published in August 2015. 39% hotels in the 3-star category (28% in Aug 2015), 44% in the 4-star category (23% in Aug 2015) and 40% in the 5-star category (22% in Aug 2015) are cheaper on OTA sites vs. 10%, 9% and 5% of hotels respectively being cheaper on brand sites; showing an increase in Hotel’s dependability on OTAs.
Overall, Phuket seems to be most affected as 62% of the hotels across all segments were not in parity and 54% of the hotels were cheaper on an OTA site.
Did you notice?
- Phuket & Hong Kong emerged as top OTA driven markets with 54% hotels across all segments selling at rates lower than Brand website.
- While China is holding tight in the 3-star segment, it seems to be immensely competitive in the 4-star and 5-star segment, Singapore too is in the same boat with OTA selling cheaper in 5-star segment for as high as 77% of the hotels.
- India seems to be extremely competitive in 4-star segment while hotels tend to be dominant in 5-star segment.
RateGain specializes in establishing rate parity across channels for hotels, online travel companies and airlines.
The above data is indicative in nature and RateGain can’t be held liable for its accuracy or usefulness for any purpose.