The travel industry is one of the most diversified areas in tourism that’s not regulated enough or at all.
Online travel agents are the perfect example of how a highly fragmented industry can be taken over in less than a decade.
Leaving behind the travel giants in the industry in terms of turnover by leaps and bounds.
If you are managing a resort, chain hotels or themed properties travel agents are an essential component of your revenue.
However, these Travel Agents cover the online and offline landscape thoroughly.
Among the Online Travel Agents, there are 2 main segments,
For hotels, both these segments are equally advantageous.
However, the B2C business model captures last-minute businesses that are travelers who would be traveling at the moment or planning to travel within 3 months and this generates revenue in less volume but more frequently compared to B2B channels.
Many Travel businesses in Sri Lanka are not aware of some of the B2B channels that generate in high volumes but it’s kept as an industry secret among the top travel agents.
These B2B channels are destination/market-specific travel experts that sometimes offer rates in bulk to tour operators or Travel Agents.
Now many hotels offer a B2B rate to avoid the local travel agent rates from being published on Online Travel Agents around the world.
B2B business captures the advance planners and offers attractive packages.
Global Distribution Systems is another way you can expand your revenue streams in sales which we can take a look at in a different article.
Also, you need to make sure that going on OTA B2C channels is the right choice for your hotel since most of these channels contain a huge marketing budget. hence, they will not hesitate to redirect your brand website bookings to their channel.
Therefore be vigilant that you won’t end up paying a commission for a booking that should have been yours in the first place.
You can have market-specific or season-specific rates for both B2B & B2C channels for your hotels.
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