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How does an OTA make money?

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How does an OTA make money?

Increasingly users are turning to OTAs to book things to do so it is important for attractions, experiences, activities and tours to be listed on the sites relevant to them. They make their money from commissions, and their rates vary from 10\% to 30\% of the holidaymaker’s stay.

What is OTA in revenue?

Booking was the online travel agency (OTA) recording the highest revenue in 2020. However, the company’s revenue more than halved over the previous year due to the coronavirus (COVID-19) pandemic, dropping from roughly 15 billion to around 6.8 billion U.S. dollars.

What is an OTA website?

An online travel agency (OTA) is a web-based marketplace that allows consumers to research and book travel products and services, including hotels, flights, cars, tours, cruises, activities and more, directly with travel suppliers.

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Why are OTAs so important?

OTAs translate hotel listings into several languages, something that would be expensive for most independent hoteliers to achieve. OTAs act as the main point of contact for amending or cancelling bookings, freeing up hoteliers to focus on the guest experience in-house. For consumers, the attraction of OTAs is clear.

Who is the largest OTA?

Booking.com is the biggest player in the European OTA market with a 67.7\% share in 2019, according to Statista. Expedia and HRS had the second and third largest shares of the market, at 12.8\% and 6.3\% respectively.

Why is OTA important?

The role of an online travel agency, or OTA for short, has become increasingly important within the hotel industry, because they provide a convenient way for customers to compare hotels and to book them over the internet, from the comfort of their own home, or on the go.

How can I be successful in OTA?

5 tips to make your OTA more successful

  1. Homepage optimization. When accessing an OTA’s site, the first thing customers see is its homepage.
  2. Good hotel mapping. Mapping is something every travel business has to do.
  3. Personalization.
  4. Big Data analysis.
  5. Customer value.
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How do you manage an OTA?

3 ways to manage your distribution on OTAs more effectively

  1. Use a channel manager to save time and increase exposure.
  2. Keep things up-to-date with live inventory.
  3. Minimize admin with real-time pricing.
  4. 5 ways tour operators can re-engage followers on social media.