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LoginOver the past few years,Global OTA giants Expedia and Priceline Group have begun to dig deeper into the hotel industry with a large number of new services that mainly serve small and independent properties。
2015,Priceline has created a new service called BookingSuite,Help hotels manage their related businesses by paying。Soon,Expedia has also begun to provide hotels with services including how to set prices and maximize online distribution。
Now there is another sign,OTA attaches great importance to the strategy of pursuing and deepening partnerships with hotels。Expedia-controlled hotel search engine Trivago said,It has officially reorganized its business,To help improve hotel bookings by creating a subsidiary focused on selling and maintaining business software services and technology for hotel operations。
Trivago is also the first OTA to formally establish a subsidiary to promote this service。188bet app However,The company’s financial reports will not undergo any changes。
Company representation,Trivago Hotel Relations is a wholly owned subsidiary of Trivago,However, revenue and marketing revenue will not be announced。Although Trivago, as the parent company, will provide corresponding technical support,But Trivago Hotel Relations is a separate tool provided to salespeople to attract hoteliers。
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Today,We can see that the big trend here is,Global OTA companies, including Trivago parent company Expedia and its competitor Priceline Group, are trying more and more enterprise software services for hotels。While these new businesses often generate incremental revenue,But the more important strategic goal is to increase the interaction between each OTA brand and hotel operators,Further increase the participation of hotels,Thus improving the overall business level of the industry。
These services may be more effective in hotel markets outside of North America, which are dominated by hotel chains。For example, in Europe,Most hotels are independent hotels。
so far,Hotels rely more on third-party management tools from smaller businesses,Such as SiteMinder,Eviivo、Wubook、Special Red and Hotel Perfect, etc.。
But recently,Some of the world’s largest OTAs are starting 188bet Online Sports Betting and Casino to build B2B tools useful for hotel partnerships,Invest more technology development and user experience resources。
According to Skift Research,Trivago’s move also shows another larger industry trend,That’s when hoteliers are increasingly looking to metasearch as a way to drive direct bookings,To reduce dependence on OTA。Because hotels don’t like OTAs starting to charge higher commissions,And control the behavioral patterns of customer booking experience。
Trivago Hotel B2B Tool Cost Geometry
While this new subsidiary’s underlying external network,That is, Trivago Hotel Manager’s metasearch marketing platform is free,But there are three other services that are charged,Includes an advertising tool called Rate Connect,Property management system that provides a booking engine for the hotel's own website and analytical tools to help with hotel pricing。
There are different payment modules according to each property。For example,Trivago Pro charges an annual fee,Rate Connect charges based on clicks。Base7 is a subscription service,The cost varies depending on the number of properties。
Trivago’s new subsidiary will focus on sales,The engineers will mainly work in Trivago’s core technology department。At the same time,The newly established subsidiary also plans to recruit 188bet online sports betting sales personnel by building its own brand awareness and promoting corporate culture。
Stipe Dikic and Benedikt Schreinemacher, who have been in charge of Trivago’s hotel relations team for two years, will run the new subsidiary。Trivago’s Chief Revenue Officer Johnannes Thomas will be responsible for overseeing and managing this new business。
Trivago’s efforts to build rapport with hoteliers allow it to compete with Priceline’s continued development of BookingSuite and Expedia’s external network partner center tool, which has been in expansion mode。
can see,Competition in the hotel B2B tool service market will become increasingly fierce,In addition, many hoteliers are now skeptical of OTAs,Even if the hotel can be persuaded to open more data、Investing more funds to maintain relationships with hotels will not directly improve the hotel’s B2B tool business。
Trivago can leverage additional subscription-based revenue and hoteliers’ commitment to the platform,To meet the ambitious expectations of its major shareholder Expedia and investment analysts。
Last month,Trivago’s revenue from working with advertisers is much lower than expected,Forced the hotel search company to lower its second-half revenue and profit forecasts。
But at the same time,Trivago still expects its total revenue growth in 2017 188bet sports betting app download to be 40% higher than last year。
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