Optimizing OTA performance is all about accuracy in the product description in their channels. With prioritizing the task, a steady flow of bookings is managed.
Managing the OTA(online travel agents) booking pace, and price point is the most important factor for a hotel's commercial team leaders. The reason for optimizing the OTA business is that almost all hotels are getting over half or over 50% of the revenue mix through online travel agencies. If we get into detail, we will find that medium and budget hotels, and especially the regional brand hotels or even individual hotels, have over 80% of the total flow of the OTA share.
That's a big number and gives an urgency to manage it on a priority.
In the commercial meetings, specific focus should also be on the 'contents in the OTA websites', which means accuracy in the description of the Guest Room and then on the high-quality pictures.
I always feel the impact of high-quality pictures the most.
Our internal targets are set for each OTAs. This gives the most important juncture in every commercial meeting where the actual performance is updated weekly. This is in comparison with the target business.
It is essential to find out if any OTA is not producing as per the pre-set target, if not, one must question,
What changes are needed?
Even if the production is higher, can we make a slight strategy change, and start yielding in a few room categories?
Also, check if the value-added methods are giving a huge influx in the business. The above questions are always a discussion point in all OTA performance reviews.
If we have to list down the main focus areas, they will be;
a. Using amazing and replica photographs at OTA sights,
b. Description of facilities, and services,
c. A strong relationship with Market Managers of OTAs,
d. Knowing the action of competition (first rule of strategy),
e. Right price based on event, seasonality,
f. Finally - the strongest point - managing guest review.
We must agree that OTAs are improving the hotel's presence in the market. Increasing the visibility gives an increase in the audience base.
The point to be noted is that the customers and audience are not the same. Thus, increasing the audience base and converting them into customers, is the technique used for revenue optimization. The social media channels work hand-in-hand in this process along with OTA websites.
I will say that adopting the right price point is must, so that all factors as mentioned above work in favor of business. Lowering the price to generate the business is a limited-day plan and not a strategy.
A fine mix of all ingredients in the right proportion which is assessed by past data and trends makes optimisation a success.
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"The point to be noted is that the customers and audience are not the same."
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