In March 2024, the EU’s Digital Markets Act (DMA) came into force with the intent to create a fairer and more contestable digital landscape across Europe. Just two weeks later, the European Commission launched a formal investigation into Google’s compliance, specifically concerning Article 6.5 – a key section governing self-preferencing behavior by digital gatekeepers.

Fast forward more than a year, and we’re now seeing the real implications unfold – and they should be setting off alarm bells across the hotel industry.

Subscribe to our weekly newsletter and stay up to date

In this video, we talk with Javier Delgado Muerza of mirai, one of our Expert Partners, and break down the latest developments following the European Commission’s investigation into Google’s compliance with Article 6.5 of the DMA

Here is the link to the LinkedIn post Javier mentions in the video: https://www.linkedin.com/pulse/european-commission-condemns-hotels-direct-sales-visibility-wzhbf/

What’s Article 6.5 Really About?

In simple terms, the Commission told Google: stop favoring your own services – such as Google Hotel Ads – over similar third-party ones in search results. To comply, Google offered two proposals: Option A and Option B. Neither satisfies the intent of fairness. Worse, both threaten to devastate the visibility of direct hotel websites (aka supplier.com) in search results.

Option A proposes Google display boxes from Vertical Search Services (VSS) like Expedia, Booking.com, and TripAdvisor – with no obvious links to hotel websites. Option B, considered the “less bad” alternative, adds a supplier box below the VSS boxes – buried beneath them, especially on mobile. In both cases, visibility and traffic to hotel websites plummet.

Why This Matters to Hotel GMs and Revenue Managers

The DMA’s stated goal is fairness – but ironically, its current interpretation gives disproportionate power to large intermediaries. Direct hotel websites are pushed further down the funnel, which means:

  • Reduced visibility for direct channels
  • Increased reliance on OTAs
  • Higher distribution costs
  • Less control over pricing and customer data

Revenue managers know that direct bookings are not only more profitable, but they also provide better long-term customer value. If guests increasingly book through OTAs, your profit margins shrink, and your ability to build loyal, direct relationships erodes.

Who’s Winning? Not Hotels.

The biggest winners under this interpretation of the DMA are large North American OTAs. Since March 2024, Booking Holdings’ stock has soared – coinciding with legislative moves that ultimately favor intermediaries. The irony? A European law, crafted to support European consumers and businesses, may be undermining European suppliers in favor of non-European platforms.

Google’s compliance efforts – while flawed – at least attempt to maintain some balance. Yet both their proposed solutions end up favoring VSS visibility at the cost of direct suppliers.

Where Is the Hotel Industry?

While airlines, through IATA and companies like Ryanair and EasyJet, have actively engaged with the European Commission, most of the European hotel sector remains silent. Only a handful – including the European Hotel Forum, NH/Minor, and Mirai – are involved in the discussion.

This lack of engagement is dangerous. Rules are being rewritten in real time, and if hotels don’t raise their voices now, they’ll be left with fewer options and higher costs.

What’s Next?

A final ruling is expected from the Commission this September. If Google decides the risk of fines is too high, they could revert entirely to “10 blue links” – stripping away all hotel-related content and severely disrupting how travelers discover and book accommodations online.

What Should Hotels Do?

  • Stay informed – This is not just a tech or legal issue. It’s a business-critical one.
  • Get involved – Support industry associations and pressure them to advocate on your behalf.
  • Diversify your channels – Invest more in direct booking strategies now.
  • Make noise – Voice your concerns to regulators, partners, and your peers.

The future of hotel distribution is being shaped right now – and silence could come at a very high cost.

Final thought: If you’re a hotel GM or revenue manager, ask yourself this – are you comfortable with a future where your visibility depends entirely on OTAs and platforms you don’t control? If not, now is the time to act.