Hotel chains’ new weapon against OTAs

Major hotel companies leap into direct booking wars
InterContinental Hotels Group has joined Marriott, Hilton and Hyatt in the direct booking wars against online travel agencies. It has launched the global roll out of an exclusive IHG Rewards Club member rate for booking direct. Other big hotel companies have announced similar tactics.
Going by the name of Your Rate by IHG Rewards Club, the new members-only direct booking opportunity launches this month in Europe and the Americas. It will be promoted in campaigns across its brands, such as InterContinental, Crowne Plaza, Kimpton, Hotel Indigo and others. The rates will extend to Asia, the Middle East, Africa and China later this year.
IHG Rewards Club members can use IHG-branded websites, the IHG app or call IHG’s global call centres to take advantage of the rates.
Most insiders see this as a move by large international chains to take back market share from online travel agencies, which often take commission of 10% to 30%. Although OTAs help to fill rooms, they also eat into revenues.

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