Hotel sales

Armin Gögele
last updated on
10 March 2023

Definition: What is hotel distribution?

Hotel distribution refers to the process of selling and selling hotel rooms to potential guests. This includes various channels such as direct bookings on the hotel website, bookings through travel agents, and online distribution channels such as OTAs (online travel agents). The goal of hotel distribution is to maximize hotel occupancy and increase profitability by using the right channels and strategies to market hotel rooms and reduce reliance on OTAs.

The benefits of direct distribution in the hotel industry

  • Higher profit margin for the hotel
  • Direct guest communication and improved guest loyalty
  • Strengthening of own hotel brand by increasing reach

Potential challenges in hotel distribution

  • Complexity of the online and offline sales landscape (example: which online channels make sense and which less)
  • Dependencies, costs and fees of the OTAs
  • Availability management in the hotel to be able to organize more bookings

The most important questions about hotel distribution:

How can I reduce dependence on OTAs?

One way to reduce dependency on OTAs is to specifically promote direct bookings, for example through a user-friendly website, attractive offers and clear positioning of your own brand. In addition, cooperations with online marketing agencies can help to address a broader target group and attract new guests.

How can hotels effectively manage marketing and sales methods?

Hotels can manage their marketing and sales methods effectively by setting clear goals, understanding their target audience and addressing it with targeted advertising measures, as well as by regularly measuring and optimizing marketing activities. Close collaboration between marketing and sales teams, along with clear communication of objectives and strategies, is essential.

How can I increase my direct bookings?

Hoteliers can increase the number of direct bookings through a user-friendly hotel website and active engagement on social media channels. In additon, investing in online marketing activiteis helps raise awareness of the hotel among potential guests and drive more direct bookings.

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