Choosing the Right Online Booking Channels: Quality Over Quantity

Many hotels believe that being present on as many online booking channels as possible will automatically increase bookings. In reality, a successful channel mix is not about quantity, but about selecting the right partners.

When evaluating channels such as Booking.com, Expedia, or regional OTAs, hoteliers should consider:

✅ Commission vs. Value
Don’t focus only on commission levels. Evaluate the overall return, including booking volume, average daily rate (ADR), and guest quality.

✅ Market Reach
Different channels perform better in different source markets. Analyze where your guests come from and choose partners that strengthen your exposure in those regions.

✅ Guest Acquisition Cost
Compare the total cost of acquisition across channels and benchmark it against your direct booking strategy.

✅ Rate Integrity & Distribution Control
Choose channels that support your pricing strategy and help maintain rate parity and brand positioning.

✅ Data & Insights
The best partners do more than sell rooms. They provide valuable market intelligence, traveler trends, and performance data that support better decision-making.

A Real-World Example

A 60-room boutique hotel in a Greek island destination was generating nearly 80% of its online bookings from a single OTA. While occupancy was healthy, profitability was under pressure due to high distribution costs. By analyzing source markets and booking patterns, the hotel diversified its channel mix: maintaining Booking.com as a key partner, introducing Expedia to strengthen its North American reach, and investing in direct booking campaigns. Within one season, the hotel reduced its dependency on one channel, increased direct bookings, and improved net room revenue without sacrificing occupancy.

A healthy distribution strategy is not about relying heavily on a single OTA. It’s about building a balanced channel mix that maximizes visibility, profitability, and long-term sustainability.

Remember: Every hotel is unique. The best channel mix today may not be the best one tomorrow. Continuous monitoring, testing, and optimization are essential for long-term success.

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Thomas

Thomas POULIOS is a Laboratory Teaching Staff at the Department of Business Administration of the School of Management and Economics of the University of Thessaly. His teaching experience is related to topics such as e-business, Internet Strategic Presence Planning, International Distribution and Sales Systems in Tourism, e-marketing.
His research interests includes entrepreneurship development, especially onlin, and Internet marketing. He participated in several European programs funded mainly by the European Social Fund (ESF) and national resources. Some of the projects are "Go-Digital Project" (a European project assisted the micro and small companies enter the digital economy and do their first steps on the internet business environment), "Entre - Developing Entrepreneurship in Higher Education" (a project for helping the tertiary education students develop entrepreneurial skills), "Examining the Obstacles of Female Entrepreneurship on the Internet" (research about the female entrepreneurship).
In addition to his academic activities, he also participates as an e-Business Consultant for startup establishment, especially in the field of Tourism. He is founder of hotel channel manager Provider Company.

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