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Spotlight on: Direct Bookings in Asia-Pacific
By Clare Hutchison
Thursday, 25th January 2018
 

Asia-Pacific is now the world’s largest regional travel market, it holds great promise for hoteliers who can delight a growing audience with new and unique experiences.

It is also a prime target for online travel agents, including global giants like Priceline and Expedia. In fact, OTAs have now captured 70% of the region’s online hotel market, according to Phocuswright.

So where does this leave hotels and their growth plans? A new report by Triptease explores exactly that.

Spotlight on… Direct Bookings: Asia-Pacific reveals the impact OTAs are having on the market. Data based on nearly 8 million searches for rooms on Triptease clients’ websites shows that on average OTAs undercut hotels in the region by 11.4%, or US$12.06. For hotels that want to further benchmark their performance, the report contains a country-by-country breakdown of undercut rates.

As a result of the scale of undercutting, many hoteliers in APAC are exploring ways to grow direct bookings and reduce their reliance on OTAs like Agoda, Ctrip and Traveloka. Guided by industry experts and Triptease’s experience working with 17,000 clients worldwide, the report looks at some of the best strategies to boost the direct channel.

For example, nailing the mobile experience. Phocuswright data shows mobile bookings accounted for an estimated 37% of the total online travel market in APAC in 2017, so it’s essential that hotels offer great service on mobile and be highly visible via the medium. The report details tips for mobile, including honing paid search campaigns and raising your profile in local search engine results.

It also guides hoteliers through the complex world of OTA and wholesaler contracts and how to make sure they work in hotels’ favour. With expert insight from Hyatt, it explains how to cut out loose phrases and earn a reputation for being firm but fair with partners.

Other topics include Agoda’s pricing strategy, something that has left many hoteliers puzzled, online guest experience, customer relationship management, social media, metasearch and attracting Chinese travellers.

The Direct Booking Movement is in full swing in Asia-Pacific and this report will help hotels there progress in the journey towards a more profitable future.

As Web In Travel (WIT) founder Siew Hoon Yeoh, who provided her insight for the report, put it: “There’s huge upside for growth coming from new markets in Asia-Pacific, secondary cities, for instance, and new customers, so there’s greater room for innovation. These are exciting times for those willing to experiment and innovate.”

Download it now to read it for yourself and share it with your team members. If you want to know more about how we put the report together or the data we used, feel free to get in touch at content@triptease.com.

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