The Achilles’ heel of Chinese hotels and revenue 188bet Live Casino of OTAs

Big accommodation Author of 188bet Live Casino article: Hu Zhijian 2015-06-21
Why Starwood is not afraid of 188bet Live Casino,Because it has SPG;Why is Intercontinental not afraid of 188bet Live Casino,Because it has Priority Club。

Many hotels are like a “doorstep” little daughter-in-law,Suffering from the economic downturn on the one hand、Government anti-luxury、Anti-corruption、The suffering of shrinking customer base under the influence of the anti-public consumption policy,On the other hand,Also suffering from the oversupply of hotels caused by the “land enclosure movement” in the past decade,Extremely competitive whipping,In addition, various OTAs and channel providers will make the cake bigger,Seize the land and fight the 188bet Live Casino at all costs,The squeeze of trying to get cash back and so on... I can almost breathe,I don’t know when the “daughter-in-law” will “become a mother-in-law”。

This year’s May Day is not peaceful。First, Huazhu Group suddenly disconnected Ctrip、Housing supply from the three major OTAs, Qunar and Elong,Then the Hunan Provincial Tourist Hotels Association denounced Qunar.com for breach of contract promotion,Confusing the market and 188bet Live Casino pricing system。Of course,Qunar immediately send a message to counterattack,Saying that promotion is a normal behavior of preferred customers。Today,The holidays are over,Seems to be calm again,But the author thinks that similar debates or verbal battles will continue,And it continues to increase。If you don’t believe it, please watch the Mid-Autumn Festival coming soon、Peak travel seasons such as National Day。After about ten years of sweet marriage between China’s 188bet Live Casino industry and OTAs,I have endured the “seven-year itch” for a long time,The midlife crisis will eventually break out。

Always,Hotels love and hate OTAs。On the one hand, I am happy to see that 188bet Live Casino has actually brought bookings and revenue,On the other hand,There are many comments about 188bet Live Casino’s “willful” behavior,Even intolerable,The quarrels and fights described above occurred。

Actually,OTAs and hotels should not be competitors,But a partner。Although,In order to maximize their respective profits,They also play games with each other,But,From the perspective of natural business attributes,The game between the two,It shouldn’t be a zero-sum game,It should be a win-win and multiple-win game。The author also thinks,188bet Live Casino is neutral。Is it positive or negative,positive、What a burden, how little,Depends on the level of the decision-maker。

Many hotels hope to use OTAs as online marketers,But when formulating the 188bet Live Casino system,But mistakenly regarded OTA as a distributor。These hotels are under various pressures and inducements,Not insisting on 188bet Live Casino consistency,Sell preferential prices lower than hotel direct sales prices on OTA without restrictions,Even the lowest prices from offline travel agencies and private room operators,Also let them get it on OTA、Publicly sold on various e-commerce platforms and websites。OTA、Offline travel agencies and private room operators should have added extra meals to the hotel tables,That is, the number of bookings outside the hotel’s direct sales channels,But in such a situation of 188bet Live Casino inversion and "naked selling",But it turned into grabbing hotel meals from the hotel table。Guests who originally wanted to book through the hotel’s direct sales channel saw OTA’s prices online and the “naked” prices of offline travel agencies and private room vendors compared to the hotel’s official website、Reservation Department、Telephone call center、The front office or sales department and other direct sales channels are still low,Of course I will book with the former,So the hotel has to spend commissions to "buy" guests from indirect channels,Isn’t it weird and ridiculous?As the saying goes,"The wild goose plucks its feathers",The hotel’s own wild goose,How can it be handed over to a third party so easily,Will be handed back after the hair is plucked and the flesh is cut?If the hotel insists on 188bet Live Casino consistency,A bowl of water is level,Put the same 188bet Live Casino on both direct sales channels and OTA channels,We compete fairly with service and technology,Wouldn’t it be better?otherwise,Customers have all gone to OTAs and distributors,and sticky to them,Didn’t they kidnap the hotel’s customers,Revolutionized the life of the hotel?

三、Four-year sign,OTA’s booking page only has one rebate 188bet Live Casino,And now the prices on OTA are dazzling,Dazzling consumers。What is the group purchase 188bet Live Casino、Flash sale 188bet Live Casino、Limited sale 188bet Live Casino、Member 188bet Live Casino、Agency 188bet Live Casino、Prepaid 188bet Live Casino、Promotion 188bet Live Casino、Cashback 188bet Live Casino...。Promotional methods are also constantly updated,What kind of tailgate sale、Mysterious Hotel、Specially recommended hotels、Gold Medal Hotel、Silver Hotel...。There are a lot of prices for each room type,But each 188bet Live Casino is lower than the standard rebate 188bet Live Casino。The more these prices are、The more business models there are,Is it true that the sales volume and proportion of hotel direct sales prices are lower?

Does anyone know,OTAs are also studying revenue management,Find ways to make income、Maximize profits and market share。For this,They have also recruited many professional 188bet Live Casino managers with a background in revenue management in international hotels to serve as OTA marketing managers、Account Manager,Trade for them,Manage their pricing、Promotions and Strategies。I originally thought that only foreign OTAs were like this,But recently I started talking with friends in the revenue management WeChat circle I created,I just discovered that the backbone of several mainstream OTAs now come from revenue management positions in the 188bet Live Casino industry,The development speed of domestic revenue management seems to have suddenly accelerated。

OTA bosses are focused on expanding market share,Thinking only of squeezing out competitors。And their only method seems to be 188bet Live Casino reduction,Plus increase cash rebate。The result is that profits have been declining。OTA 188bet Live Casino war is filled with smoke,Completely disregard the hotel’s 188bet Live Casino system。The hotel essentially became cannon fodder in this war。

The key topic of the 188bet Live Casino sales meeting is how to improve the 188bet Live Casino’s ranking on OTA booking pages,How the 188bet Live Casino’s own sales team develops the market has become a secondary issue。80% of some hotels’ business comes from OTAs,The 188bet Live Casino sales department has completely lost the need to exist。

188bet Live Casino,The 188bet Live Casino should establish its own official website、APP、WeChat、Online reservation system and membership system,And pricing should be based on the “Five Proper Principles” of revenue management、Marketing and Promotion,In order to effectively protect your direct customers from losing。OTA production can make up for areas that 188bet Live Casino sales cannot cover,But never rely too much on OTA,Even give up your own Internet marketing completely。

Even a hotel with an official website,Most of them have not established their own online channels,The output of online direct sales channels is less than 3% (or there is no output at all),Incomplete channels,The 188bet Live Casino system is confusing,Don’t understand revenue management,Direct sales channel output is not high,How dare you leave OTA and private room operators?Long-term reliance on OTAs and private room providers,How dare you bargain with them?To have dignity,Be able to stand up first,Walking independently!If you want to be able to negotiate,Must have strength!

Some hotels think so,The hotel’s customer attraction and maintenance system is weak,Can’t compete with OTA。Let’s look at some revenue management done well,Successful local hotel group with tight 188bet Live Casino consistency。More than 30% of their customers are members,Members plus other direct sellers account for more than 85% of the customer base。Their senior management attaches great importance to revenue management,Develop channels strictly in accordance with the ideas and principles of revenue management、Develop membership system、Management 188bet Live Casino system。So,They dare to fight head-on。It is said,Their revenue team has torn through my book "Revenue Management"。

The hotel industry in the United States、The retail industry maintains 188bet Live Casino consistency very well!Their direct sales channels even guarantee the lowest 188bet Live Casino!They dare to say,If you find the 188bet Live Casino is lower than mine on other channels and merchants,And proven to be true,I will promise to give you the same low 188bet Live Casino,Even 10% off the lowest 188bet Live Casino you find。Niuba!

Last month I went to the Houston electronics chain Best Buy to buy a personal cloud server (WD MyCloud)。I studied in the store for a long time,The clerk figured out my thoughts,Say to me,It seems you like this 4TB personal cloud server,But I’m a little worried that the 188bet Live Casino isn’t the best, right?You can check online in our store,See which one has a lower 188bet Live Casino than ours,Such as Amazon, etc.,If they give you a lower 188bet Live Casino,We can sell this cloud server to you immediately at that low 188bet Live Casino。Wow!I was shocked!He not only guessed my thoughts,And so confident!Equal to say,Please come to our hotel to book a room,Please use our computer in our front hall to check the OTA room 188bet Live Casino,If their 188bet Live Casino is cheaper than our direct sales channel 188bet Live Casino,We can give you the same 188bet Live Casino (or even an additional 10% off)。What the retail industry can do,Why can’t hotels also learn and do it?Actually,The hotel industry in the United States has already done this!Are Chinese hotels too slow to respond??Due to dependence on OTA or to obtain imaginary benefits,Many hotels offer OTA prices that are lower than their direct customer prices。The result of doing this,I personally push the guests who should belong to me to OTA!

Be willing to pay OTA a commission of 300,000 to 1 million per year (note,It is paid every year),Reluctant to spend thousands of dollars at a time to learn income management (June 30 to July 3,I will hold a revenue management training class in Shenzhen;July 7 to 10,The same training class is held in Chengdu),Reluctant to take tens of thousands of dollars、More than 100,000 yuan to set up income positions,Carry out revenue management training、Education and Consulting Work,Hire a revenue manager to manage 188bet Live Casino and channels,I don’t want to spend money to build a really good one、2 with booking and payment functions.Official website of version 0,Didn’t I lose the watermelon,Picked up sesame seeds?

Why Starwood is not afraid of 188bet Live Casino,Because it has SPG;Why is Intercontinental not afraid of 188bet Live Casino,Because it has Priority Club。If you kneel and speak,It will not be respected by others。If you stand,Straighten your back and speak,No one dares to underestimate you。This is the relationship with 188bet Live Casino!Self-reliance、Self-improvement is the first priority!

Of course,Some hotels will also say,We are an independent 188bet Live Casino,Invest in website、APP、WeChat and various channels,The cost is too high,Management is too difficult,The effect is too slow,The investment payback period is too long。a few months ago,I’m thinking,If I were something small、The owner of a guest room-oriented 188bet Live Casino,Can the 188bet Live Casino focus on providing products and services,Such as the cleanliness of guest rooms、Maintenance and landscaping,Reception and service in the front office, etc.,Completely cancel the reservation and sales departments,Only one revenue management manager?This manager is responsible for forecasting market supply and demand,Maintain contact and cooperation with various OTAs and channel providers,The 188bet Live Casino does not have its own official website、APP,And other direct sales channels,Sales completely rely on various OTAs and channel providers,Achieve more than 85% of customers from various OTAs and channel providers。Do this,Is the 188bet Live Casino more efficient??Now I know,The 188bet Live Casino I imagined actually appeared,They actually outsource pricing and marketing to OTAs and channel providers in disguise。It is said that the benefits are good。

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