Trends

Online Distribution Channels Experience Healthy Growth in First Quarter 2013

Growth on Online Channels Still Steady

TravelCLICK In the first quarter 2013, online channels that include Online Travel Agents (OTAs) and hotel websites (Brand.com) continued to experience the most growth according to data from the TravelClick North American Distribution Review (NADR; Second Quarter 2013), which aggregates hotel bookings by channel for the transient segment (individual leisure and business travelers).

The OTA channel saw a 13.7 percent increase in demand in the first quarter while bookings through the Brand.com channel increased by 5.0 percent. The hotel direct channel, consisting of phone calls direct to the property and walk-ins, increased 3.7 percent. The GDS (used by travel agents) and CRS (calls to a hotel's 800-number) channels, however, showed decreases of -0.3 and -4.1 percent, respectively, from a year ago.

Average daily rates in Q1 across all channels grew 4.2 percent compared to last year. The OTA channel had the highest ADR growth of 11.0 percent. OTA ADR for Q2 is currently tracking ahead by 11.0 percent as well. ADR for the other channels is also growing, up 4.5 percent, 2.7 percent, 2.7 percent and 2.3 percent for CRS, Hotel Direct, GDS and Brand.com, respectively.

Share of Transient Rooms Sold by Channel

The table illustrates the share of transient room nights by channel based on actual reservations.

The table illustrates the share of transient room nights by channel based on actual reservations.

“As occupancy continues to grow across all segments, we are seeing a corresponding and expected growth in ADR, especially in the leisure segment.” said Tim Hart, Executive Vice President, Business Intelligence, TravelClick. “With respect to the OTA segment, while we are seeing an uptick in transient demand for this channel, we are also seeing discounts narrowing. This combination ultimately means higher ADR for hotels.”


About TravelClick, Inc.

TravelClick (www.TravelClick.com) is the leading provider of revenue generating solutions for hoteliers across the globe. TravelClick offers hotels world-class reservation solutions, business intelligence products and comprehensive media and marketing solutions to help hotels grow their business. With local experts around the globe, we help more than 30,000 hotel clients in over 160 countries drive profitable room reservations through better revenue management decisions, proven reservation technology and innovative marketing. Since 1999, TravelClick has helped hotels leverage the web to effectively navigate the complex global distribution landscape. TravelClick has offices in New York, Atlanta, Philadelphia, Chicago, Barcelona, Dubai, Hong Kong, Houston, Melbourne, Orlando, Shanghai, Singapore and Tokyo. Follow us on www.twitter.com/TravelClick and www.facebook.com/TravelClick.



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