Online Travel Agencies - GOOD
1. The OTA increase the occupancy in the hospitality industry with one exception luxury hotels
2. Also as we now the people is going online the more and more, so OTA’s is a good way to be close to new markets and people’s getting in the web
3. Also they let companies to know the rates of their competitors so play in a more healthy and respectful market.
4. Some companies are saving in marketing cost thanks to OTA’s.
Online Travel Agencies - BAD
1.Increase the buyer’s negotiation power, as this websites are giving more and more information. Therefore prices are going down
2. Hotel’s are obligated to go online - and sometimes some extra costs.
3. Theirs web sites sales are going down as the market share changed.
4. The promotions set by the OTA’s are decreasing the hotel revenues, in some ways but with the exception of the luxury hotels.
5. Room prices are going down, as customers know the prices.
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