Hotel Rates Hurt Direct Business

OTAs gain followings at the expense of the direct channel. Price is a huge reason for their success. They advertise 50% discounts and have been know to sell below cost to create the expectation that they have the best deals around. Hotels have been asked to step up the game with Deals and Specials layered onto the already deep discounts, leaving many with little margin on rooms sold in the OTA channels. See Blog