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Hotel brands cheer direct bookings trend

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But not all major hotel companies are so keen
One of the biggest trends on hotel chief executives’ minds this year is setting up direct bookings as a way to give discounts to loyalty members.
Marriott and Hilton have led the way and Hyatt, InterContinental, Wyndham, Choice and others are not far behind. But there may be short-term pain in return for the very long-term gain.
Hilton CEO Christopher Nassetta said back in April that direct channels – Hilton.com and the Hilton app – accounted for 25% of Hilton’s business, while “OTAs are, plus or minus, 10 percent of our business.” He added: “The direct channels are significantly larger than those channels and they are growing at a much faster pace.”
Hilton’s HHonors enrolments are up 80% so far this year, with 2.4 million new members in the second quarter, totaling more than 55 million members. HHonors occupancy rates are at around 56%.
But not all brands are positive about direct booking. Sebastien Bazin, chief executive of AccorHotels, for example, tells Skift: “Are they going to be successful in taking market share away from Booking and Expedia? I doubt it.”
Skift

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