When searching for hotels, the majority of users visit major travel booking websites like Expedia, Travelocity, Priceline, and more. These sites are known for providing deals at a significantly reduced cost which reinforces the assumption that booking through a third party is cheaper than booking directly.
Hyatt is now one of the latest hotel chains looking to change people’s minds about booking directly with a chain by removing the third party and providing incentives, in their case special discounts for direct reservations. To be more specific, Hyatt is providing a ten percent discount for guests that are members of its free loyalty program and book either through its website or its mobile app. Hyatt is also willing to match a lower rate within 24 hours of booking and include a twenty percent discount.
Hyatt is following in the footsteps of other chains like Marriott which is also offering discounts for its loyalty program members and rate price matching, albeit with a slightly higher 25 percent discount. Hilton is yet another hotel chain offering exclusive room rates and other perks if a guest books directly.
While hotel chains don’t necessarily have anything against third party websites, they must pay the site a fifteen percent commission. By encouraging direct bookings, the hotel is able to keep the commission for itself.
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