Hotels are driving more value per booking via their websites than through distribution partners, according to a report.
SiteMinder's latest Hotel Booking Trends study revealed an average of $519 per booking direct on their websites in 2024 compared to $320 via online travel agencies.
The revenue per direct booking is 8.5% higher than 2023's figure and also 30% more than the average booking of $380 made through global distribution systems and 15% more than the average booking of $446 from wholesalers and tour operators, SiteMinder said.
"You tend to find the hotel has more options and availability to upsell through their own direct channel." said James Bishop, vice president of ecosystem and partnerships at SiteMinder.
"So, when someone is landing on their website they will definitely have all their room types available whereas through other distribution channels they might not be selling their premium rooms They have the ability to really showcase the other amenities at the hotel too."
The annual report, which analyzes more than 125 million hotel reservations, also revealed hotels' own websites are retaining a top two position across most countries when it comes to distribution channels.
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In Ireland, Portugal and Spain, for example, hotel websites are second only to Booking.com when it comes to the top sources of bookings. And, it's a position hotel websites have held for more than five years.
The strength of hotel booking websites as a distribution channel could be due to savvy hoteliers in those regions as well as the availability of good technology, said Bishop.
He also said it could be bookings for domestic, leisure hotels, which are using the SiteMinder platform, which would also explain the strength of hotel websites.
In the United Kingdom and United States, hotel websites come third in the top distribution channels with Booking.com and Expedia occupying the top two slots.
The report also found 17 new distribution partners on its lists in 2024, including Trip.com, Hopper and TBOHolidays, who have either made the top 12 distribution source list in some countries or are just outside it.
"It's encouraging to see hotels continue to broaden their distribution options and that additional distribution remains relevant," Bishop said. "It's also good to see a stronger mix of B2B partners as well B2C distribution."
Further findings from the SiteMinder report include that the average hotel room rate was $200, representing an increase for 65% of markets covered. It also revealed that about 78% of hotel stays globally were for a single night while 11% were for three nights or more.
Travelers booked 32 days in advance on average and cancellations fell to below 20%, the report also said.