What is distribution?
Distribution in a hotel is the process of marketing and selling rooms. It mainly involves the distribution of the offer to different distribution channels, such as the hotel's own website, online booking platforms (OTAs) and travel agencies. Aspects such as pricing and visibility on the distribution channels also play an important role.
Distribution via OTAs
OTAs have grown significantly in recent years and are an important part of distribution for hotels. While they offer a wide reach, the commission costs are high for the hotel. It is therefore important for hotels to promote direct bookings on their own website. The right pricing policy plays an important role in this. The room rate on an OTA should never be lower than the rate on the hotel's own website.
Dynamic pricing in the hotel sector
Another distribution option is dynamic pricing. This involves adjusting room prices according to occupancy and demand in order to achieve optimal occupancy.
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The most important questions about hotel distribution:
What is hotel distribution?
Hotel distribution is the process of marketing and selling rooms and services to potential guests. Distribution involves the selection and use of different distribution channels to achieve maximum occupancy.
What are online travel agencies (OTAs)?
Online travel agencies (OTAs) are platforms where hotels can list their rooms and services. They allow travellers to search for hotels, compare prices and book rooms directly through the platform.
What distribution channels are available to hotels?
Hotels have several distribution channels at their disposal, including their own website, travel agents and online travel agencies (OTAs) such as Booking.com. Each channel has advantages and disadvantages in terms of reach, cost and control over pricing.
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