31 Mar

Hotel chains and travel websites in a tug of war for customers

The symbiotic relationship between hotel chains and online travel agencies has been under increasing strain for some time. While online travel agencies offer consumers a wide array of options and bring customers to hotels, they do not develop the holy grail of customer relations: brand loyalty.
According to Phocuswright, a travel market research company, 34 percent of people in the United States used online agencies for their travel needs last year, and 66 percent booked directly, slightly up from 2013. Last year, the Marriott chain, which includes the Ritz-Carlton, ran its own campaign, “It pays to book direct,” that featured the YouTube personality Grace Helbig and offered perks such as free Wi-Fi to Marriott loyalty customers who booked directly through the hotel, rather than through a third party. Next month, Marriott will add more benefits, including exclusive member rates and the ability to use its mobile app to check in and out. Hilton is also offering similar deals to members who book directly. “I think what Hilton is doing is quite creative and has the potential to be very, very successful,” said Henry Harteveldt, founder of Atmosphere Research Group, a travel industry research company. “It’s all about building trust in the Hilton website, and the most effective way is to go after the online travel agencies.”
Source: hotelmarketing.com
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