But what is happening in hotel distribution? Inseparable partners, hotel operators and distribution platforms are once again challenging each other in search of a new balanced relationship.
Since the rise of online booking sites, which was somewhat poorly anticipated, tensions have risen between hoteliers and the platforms that market them. Both major and minor players in our industry tacitly acknowledge having missed a technological turn due to a lack of vision or resources. They have, at least partly, let slip direct contact with their customers by relying too easily on intermediaries.
Since then, they have tirelessly worked to bring these customers back to direct channels, by introducing new regulations, engaging in power struggles, or enhancing loyalty programs—all with varying degrees of success. Each percentage gain in direct sales is a small victory, quickly challenged by a technological innovation or an intense media campaign by international platforms. The fight is somewhat uneven given the resources at their disposal.
Sometimes, the victory turns into a disaster when a European Digital Market Act counteracts its initial purpose, worsening the distortion of competition on the internet.
Can the cards be reshuffled? This is a multi-billion dollar question.
The growth objective pursued by hotel leaders is not unrelated to the desire to have a greater impact in discussions with online agencies. The time is for aggressive strategies when the size is sufficient to impose radical choices. How else to interpret the decision by the Accor group to work in B2B only with four exclusive intermediaries at a global level?
Another priority is to focus on the strong customization of new brands, even more vital for groups that lack critical size. This is a response to the "commoditization," the trivialization of a hotel product reduced to a rate, a date, and a location.
This new confrontation puts the customer back at the center of the game. After all, it is up to them to choose their distribution channel. So how do we indicate the right choice to them? How do we convince them of the benefits they can gain from a direct link with their favorite brand, if such a link can be established? This presents a fantastic playground for marketers who must prove their added value.
The period is ripe in the context of recent competitive intensity between platforms and other internet giants. It is likely to rebalance the channels and power dynamics...
A new technological revolution is upsetting all projections. The straightforward use of chat, driven by artificial intelligence, may lead the customer to bypass platforms to choose the establishment most in line with their profile and expectations, without even touching a keyboard or a screen. Try it out; you will be surprised by how easily Gemini and other ChatGPTs direct you to targeted proposals and direct booking links.
Nearly 30 years ago, a technological breakthrough named the Internet was born...
In recent months, another breakthrough, at least as powerful, has emerged. It will certainly establish new rules of the game, even more rapidly than the first did.
Should we rejoice? Surely in the short term, as all competition is good for shaking up dominant positions. But let's not be naive, there's no such thing as a free lunch, as the Americans readily say. Will the natural proposals of artificial intelligence remain so for long?
Will overly confident hoteliers simply move from one domination to another? Are the apparently friendly Huns any better than the somewhat too arrogant Romans?"