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April 2019

Technology opening up hotel market possibilities

Mega hoteliers might appear to hold all the power since consolidation of chains gave them more leverage. But a clever, innovative travel manager can still achieve savings beyond negotiated rates at the same time as driving compliance to their travel programmes.

Technological advances such as content aggregators and reshopping tools are changing the travel landscape. Technology now allows huge amounts of hotel content and different rates to be available within approved channels, providing a more satisfactory outcome for travel managers and travellers alike. According to CWT Solutions Group, a fixed negotiated rate is best suited to those companies that can guarantee very high volumes in particular cities. The consultancy’s research shows that companies with at least 150 room nights in a city can achieve a 23-per-cent discount on the best available rate. Drop below the magic number, however, and with it the discount drops too.

“If you don’t have high volume then mega mergers won’t affect you as much because you can benefit more by utilising content from other sources,” says Peggy Studer, vice president marketing, RoomIt by CWT. “If you could get a RoomIt Rate or a non-refundable rate through an aggregator at up to 20 per cent off, then those are likely to be cheaper than what you could negotiate if you’re not guaranteeing those 150-plus room nights.”

And fewer negotiations mean a welcome reduction in the workload associated with the RFP process, points out Valentijn Bilars, senior director at RoomIt by CWT, who recommends embracing new content sources. “By having non-GDS hotels available in your corporate TMC solution and by adding aggregated content from major players, you significantly increase choice for the traveller,” he explains. Companies can also drive savings by using new reshopping tools that constantly search for lower rates and automatically rebook them when they become available at the same hotel in the same type of room. “Technology is enabling travellers and buyers to have a better experience,” says Studer. “Travellers are able to find their hotels more easily through personalisation.

And technology allows us to consolidate all these hotels from different sources into our tools and to rebook at a better price.”

Please find the complete article with tipps for hotel booking success and on how to react to market changes in the current issue of the UK Connect Magazine from page 18.


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