Spanish Hoteliers Complain about Online Distributors’ High Commissions

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Hosteltur’s III Forum was held last 22 March in the Hotel Silken Cigarral El Bosque de Toledo. Entitled “The Challenge of Global Distribution: technology or new business models?”, the forum attracted 200 hoteliers and directors from the sector’s chief hotel groups and organisations.

Chief complaint
The hotel sector’s chief complaint is that instead of boosting direct sales and therefore profits, the Internet has become just another intermediary, with commissions in line with those of tour operators (25%) and much higher than those charged by travel agents (10%). In fact, one of the questions hoteliers ask themselves is why they have to pay higher commissions for Internet bookings than for those made through travel agents, which offer clients a more professional service.

What is more, the average stay of those clients who book online is usually much shorter than that of those who book through a travel agent.

More than 1,200 million customers worldwide
Online travel has more than 1,200 potential customers worldwide. In 2006, Internet registered a total turnover of 39,000 million euros. It is hoped that turnover will reach the 56,000 million euro mark this year, and 61,000 in 2008.

As regards Internet’s share of the travel market, by 2008 online booking will represent 82% of all bookings in the States, whereas in Europe and Spain figures are expected to be in the region of 43 and 35%, respectively.

Published
27/03/2007