Online travel agency (OTA) search rankings can often leave hotel revenue and channel managers perplexed. It’s not always apparent why one hotel is placed above another in the rankings.
NB: This is an article from Lighthouse
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And to complicate things even more, the algorithms that determine the listings are always changing.
However, the financial implications are indisputable: Booking.com frequently emphasizes that a staggering 80-90% of bookings are captured by hotels appearing on the first two pages.
But what propels a property to a higher position in these rankings?
The influencing factors may differ across OTAs, but a common thread includes: commission payout, room availability, rate parity with other OTAs and metasearch sites, and guest reviews.
One constant across all platforms is the conversion rate. A high conversion rate can catapult your property up the ranks. After all, booking platforms aim to streamline the customer’s journey, quickly connecting them with their ideal stay. Hotels that satisfy this need are rewarded with an elevated ranking.
So, how can you optimize your positioning on these platforms? Here are six strategic tips to elevate your hotel’s ranking, thereby attracting more guests.
1. Invest in reputation management
The importance of ratings and reviews in the hospitality industry cannot be overstated and OTAs are no different.
According to a 2023 purchase study report published by Expedia for hotel guests, ratings and reviews were a top five consideration.
OTAs are committed to ensuring that the on-site experience of their customers align with their expectations and the eventual reality of their stay. This is a key reason why there’s a direct correlation between a hotel’s reputation and its revenue: an OTA naturally steers customers towards properties with stellar reputations.
Understanding how OTAs use this information to rank hotels is crucial. They use algorithms that consider both the sentiment and quantity ratings and reviews. It goes without saying, a high volume of positive ratings and reviews can significantly boost your hotel’s ranking.
So, how can you effectively manage your reputation?
- Leverage all available tools to monitor your reputation across OTA and social media platforms
- Make it a priority to respond to all reviews, especially negative reviews. This shows that you value customer feedback and are committed to improving their experiences
- Have a robust crisis communication strategy in place. So you can respond effectively to any potential reputational threats
Remember, beyond your physical property, your reputation is your most valuable asset.
2. Leverage guest reviews as social proof
Effective reputation management begins with the guest experience. Instead of merely reacting to reviews, take a proactive approach by encouraging departing guests to share their experiences.
This could be as simple as training your front desk staff to incorporate this request into their farewell interactions. Additionally, review requests should be seamlessly integrated into guest communications, as long as they align with contractual obligations.
Requesting reviews serves three key purposes:
