book now on a mobile phone reflecting the importance of hotels building a best in class hotel direct booking strategy

Success begins with a clear plan, measurable goals, and continuous performance tracking. Hotels that implement structured measurement frameworks see up to 20% higher revenue growth and a 15% improvement in booking conversion rates, as they are able make data-informed decisions and timely strategy updates.

NB: This is an article from Hospitality Solutions

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In our analysis of 650+ top-performing hotels distributing to all three channels – Booking Engine, GDS, and OTA – Booking Engine contribution averages 35% of the channel mix. (range 20-66%, excluding outliers).

2024 Statistics for Meta Search reflect that the cost of sale through the hotel’s booking engine is 70% lower than OTA margins (at just 5%) . Results from Meta campaigns consistently drive more direct bookings with a return on ad spend of up to 20 to 1.

Optimize value proposition and marketing strategy

To drive direct bookings and maximize revenue, hotels must clearly communicate their value proposition while aligning marketing efforts across all channels.

Craft a clear value proposition

Understand your market and competitors through SWOT analysis to demonstrate the property’s unique value within the selling strategy.

  • Depending on your market, offer flexible and/or advance purchase rate options including direct booking benefits such as late checkout, free upgrades, and exclusive loyalty rewards.
  • Use compelling visuals and concise descriptions to showcase rooms and add-ons.
  • Provide upsell options and ancillaries at varied price points to meet diverse guest needs.

Align marketing across channels

  • Drive traffic with SEO, content marketing, and paid media.
  • Invest in meta search and sponsored listings (e.g., Google Hotel Ads, TripAdvisor, Check Rates) with direct links.
  • Control brand usage in paid search to minimize OTA leakage.
  • Promote direct booking benefits consistently across platforms.
  • Highlight partner products that enhance the booking/stay experience.
  • Engage on social media – hotels responding within an hour see a 12% increase in booking conversions.
  • Expand reach with integrated campaigns across digital, print, and broadcast media.

Mobile-first, user-centric booking experience

With over 50% of bookings now made on mobile, a mobile-first strategy is essential. Design booking flows to be fast, intuitive, and conversion-focused using urgency triggers and promotional messaging (e.g., “Book now and save”). Maintain rate parity and use OTA price comparison widgets to retain shoppers.

Reduce friction and boost confidence:

  • Display rooms before rates – preferred by 90% of users (4) and used by 85% of top-performing hotels
  • Simplify rate options to reduce scrolling and improve comparison
  • Use clear room and rate names, bullet-pointed key features and selling points including direct booking benefits, along with utilization of amenity icons

Read the full article at Hospitality Solutions