A heavy reliance on their bookings means it is unlikely that European hotel operators will dis-intermediate from OTAs any time soon.
Phocuswright research revealed at last week’s conference in Dublin found direct online and direct call centre channels were the two most important channels for hotel owners.
Instant Book on TripAdvisor was the fourth most important distribution channel and is expected to overtake OTAs, in third, before long.The research found significant differences between the Europe and US markets where, in the latter, 43% of revenue is booked online compared to just 36%.
And Europe has a far more diverse hotel sector with twice the volume of capacity in independent properties compared to the US where chains dominate.
Europe covers a wider range of accommodation types from campsites to inns, bed and breakfasts to aparthotels, whereas hotels and motels predominate in the US.
However, hotels in the US generate twice as much revenue per room as their European counterparts.
In Europe of the 36% of revenue booked online 71% come through OTAs, whereas the in the US the proportion of OTA versus direct is 50:50.
Lorraine Sileo, senior vice president of research at Phocuswright said: “How realistic is it to say they [hotels] are going to pull back from OTAs anytime soon?
“They know OTAs give them visibility and are important partners to fill room nights and consumer like them.”
