Rising OTA Commissions Push Hotels Toward Direct Bookings

Rising OTA Commissions Push Hotels Toward Direct Bookings

By Manu Vardhan Kannan

Published on March 4, 2025

For years, online travel agencies (OTAs) have dominated the hotel booking industry, controlling pricing, customer data, and charging commissions as high as 40%. However, hotels are now reducing their reliance on OTAs and embracing direct distribution channels to regain control and build stronger guest relationships.

With the rise of new technology, evolving consumer behavior, and regulatory shifts, the hospitality industry is set to redefine its distribution model. The future of hotel bookings lies in a balanced, guest-centric approach that prioritizes direct bookings, personalization, and innovation.

Key Industry Shifts

Healthier Channel Mix

  • Rising OTA commissions have made direct bookings a priority.

  • By 2030, direct digital bookings are expected to surpass OTAs, generating over $400 billion in revenue.

Personalization & Differentiation

  • Travelers are seeking more customized experiences, shifting focus from generic stays to experiential travel.

  • AI and data analytics are enabling hyper-personalized guest journeys and targeted marketing.

  • Loyalty programs are evolving beyond traditional point systems to offer personalized rewards based on guest preferences.

Customer-First Approach

  • OTAs often prioritize hotels that pay higher commissions, which limits true consumer choice.

  • Regulatory measures like the EU’s Digital Markets Act (DMA) are pushing for fairer distribution ecosystems by promoting transparency and competition.

End of Rate Parity Clauses

  • Legal rulings, including the EU Court of Justice decision, now allow hotels to set their own rates.

  • Hotels must invest in direct booking strategies using advanced pricing models and competitive technology.

Rise of Mobile Bookings

  • Over 50% of hotel bookings now come from mobile devices, making mobile-first design a necessity.

  • Previously, only OTAs and major hotel chains leveraged mobile apps, but new disruptive platforms are emerging to bridge this gap.

AI’s Role in Hotel Distribution

  • AI-powered tools such as chatbots, price optimization software, and personalized marketing solutions are driving direct bookings.

  • AI-driven platforms like D3X.ai and Allora.ai are already transforming the industry with intelligent booking systems and automated guest engagement.

The Future of Hotel Distribution

With hotels regaining control over pricing, data, and guest relationships, the industry is moving toward a more transparent, guest-friendly ecosystem. Direct booking strategies, AI-driven personalization, and mobile-first innovations will define the future of hotel distribution, ensuring a more sustainable and competitive marketplace.


Manglam Group Enters Hospitality With Launch of The Westin Jaipur Kant Kalwar Resort & Spa

Manglam Group Enters Hospitality With Launch of The Westin Jaipur Kant Kalwar Resort & Spa

By Manu Vardhan Kannan

Published on December 24, 2025

Manglam Group, one of Rajasthan’s leading real estate developers, has formally expanded into the hospitality sector with the launch of The Westin Jaipur Kant Kalwar Resort & Spa, marking its first hospitality project. The opening is a significant milestone for the Group and also represents Marriott International’s 200th property in India, highlighting Jaipur’s growing prominence as a destination for leisure, business travel and large-scale social and corporate events.

The resort has been developed under Manglam Spa and Resorts, the Group’s dedicated hospitality vertical, and forms part of Manglam’s long-term ₹1,000 crore hospitality investment plan. Built with an investment of approximately ₹300 crore, the property serves as the anchor asset for Manglam’s hospitality ambitions, with plans to build a diversified portfolio across super luxury hotels, wellness-focused resorts and serviced hospitality formats.

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Located at Kant Kalwar, at the foothills of the Aravalli range, The Westin Jaipur Kant Kalwar Resort & Spa spans nine acres and features 135 rooms along with seven distinct venues for events and gatherings. The resort has been designed with sustainability at its core, blending Balinese-inspired architecture with locally sourced materials, natural textures and ecologically sensitive landscaping. Lush gardens, reflective water elements, a horseshoe-shaped pool and wellness-oriented public spaces come together with subtle references to Jaipur’s royal heritage.

Commenting on the launch, Mr. N K Gupta, Chairman, Manglam Group, said, “Having built a legacy of transforming real estate in Rajasthan through world-class infrastructure and disciplined delivery, stepping into hospitality was a natural progression for Manglam. The Westin Jaipur reflects our commitment to creating assets that elevate the city’s global standing. As Marriott International’s 200th property in India, this launch not only celebrates a milestone for the brand, it also sets the tone for Manglam’s future in hospitality with projects that are premium, service-led and internationally benchmarked.”

Wellbeing forms the core of the guest experience, guided by The Westin brand’s Six Pillars of Well-Being. The resort offers the WestinWORKOUT® Studio, outdoor movement spaces, cycling and jogging tracks, and the Heavenly Spa by Westin, featuring curated therapies and restorative wellness rituals. Dining options range from wellness-forward all-day dining experiences to destination-inspired Indian cuisine and relaxed lounge formats, balancing nourishment with indulgence.

Ms. Amrita Gupta, Director, Manglam Group and CEO, Manglam Spa and Resorts, said, “For us, this opening represents the start of a vision we have nurtured for years. This partnership with The Westin elevates Manglam’s presence at a global level. It brings international hospitality standards, refined wellbeing experiences and world-class design to Jaipur. The Westin Jaipur Kant Kalwar Resort & Spa is just the beginning, and several more premium and super luxury hospitality projects are in the pipeline.”

Service excellence remains central to Manglam’s hospitality strategy, with a strong focus on intuitive planning, operational depth and consistent delivery, supported by sustainability-led practices such as energy efficiency, climate-responsive design and responsible operations.

Beyond The Westin Jaipur Kant Kalwar Resort & Spa, Manglam is developing over 200 serviced apart’otel units under the Fern Habitat brand at Pinkwalk, Jagatpura, strengthening its presence in the serviced-stay segment. Two additional hospitality projects, including a resort-led concept and an urban hotel format, are also in active planning, aimed at addressing both leisure and business travel demand and reinforcing Jaipur’s position as a destination for world-class hospitality experiences.


PRISM Launches ‘Insta Stays’ Programme for OYO Properties to Meet Rising New Year Travel Demand

PRISM Launches ‘Insta Stays’ Programme for OYO Properties to Meet Rising New Year Travel Demand

By Manu Vardhan Kannan

Published on December 24, 2025

Oravel Stays Limited, operating under PRISM, has announced the launch of its new ‘Insta Stays’ programme across all OYO properties in India, aimed at catering to the surge in last-minute travel planning as New Year demand gains momentum. The initiative allows travellers to make quick bookings via the OYO app or website by selecting the Insta Stays option available on the home page.

OYO, a value-stay hospitality brand, currently operates over 13,000 hotels across India. Under the new programme, OYO Wizard members receive an additional 5% exclusive discount on Insta Stays bookings. With a membership base of over 18 million users, OYO Wizard continues to be one of India’s largest hotel loyalty programmes, reflecting a growing preference among travellers for trusted brands and value-driven loyalty benefits.

Designed especially for spontaneous travellers, Insta Stays offers a seamless booking experience with instant confirmation, verified properties, and exclusive savings. Rooms under the programme start at INR 999, even during peak travel periods, making it a convenient option for guests planning trips at short notice.

According to OYO’s internal booking data from recent years, last-minute hotel searches typically rise sharply during the year-end holiday season. This demand is largely driven by travel to popular leisure and religious destinations such as Goa, Manali, Jaipur, Rishikesh, Varanasi, Katra, Puri, Ayodhya, Ooty, and Pondicherry.

Commenting on the initiative, Varun Jain, Chief Operating Officer, PRISM Asia, said, “Guests can expect a seamless and hassle-free stay experience, powered by one of the fastest check-in processes in the category. With instant booking confirmation, digitally enabled check-ins and fully verified properties, the programme significantly reduces waiting time at hotels, allowing travellers to check in within minutes and focus on their stay.” He added that the guest-first approach is designed to deliver consistency, comfort, and convenience, especially during peak travel seasons and last-minute bookings.

PRISM expects the Insta Stays programme to play a crucial role during high-demand travel periods by offering greater booking certainty for travellers while enabling hotel partners to maximise occupancy.

About PRISM

PRISM, the parent company of OYO, operates a diverse portfolio of brands serving over 100 million customers across more than 35 countries. Its offerings span short stays, extended living, luxury travel, co-working spaces, celebration venues, and hospitality technology solutions, with a focus on simplifying and enhancing urban living through scalable innovation.


The Job Plus and THSC Recognise Training Partners Driving Change in India’s Hospitality Workforce

The Job Plus and THSC Recognise Training Partners Driving Change in India’s Hospitality Workforce

By Hariharan U

Published on December 24, 2025

The Job Plus, in collaboration with the Tourism and Hospitality Skill Council (THSC), hosted its first Leadership & Training Partners Roundtable Meet at Radisson Blu Marina, Connaught Place, bringing together over 15 leading training partners actively engaged in hospitality skilling and placement initiatives across India.

The roundtable was organised to acknowledge and appreciate the contribution of training partners whose collective efforts have resulted in over 3,000 candidates being trained and successfully placed in leading hotels and hospitality establishments nationwide. These initiatives have played a vital role in strengthening India’s hospitality workforce pipeline at a time when the sector continues to see growing demand for skilled talent.

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A key focus of the discussion was the success of industry-funded CSR and RTD short-term training projects, which formed the backbone of this achievement. All 3,000 beneficiaries were trained under short-term, outcome-driven programmes funded by the hospitality industry, designed to align closely with real-time operational requirements and ensure immediate employability.

The social impact of these programmes stood out strongly. Candidates came from more than 70 towns across India, largely representing underprivileged and economically weaker backgrounds. Notably, women accounted for 54 per cent of the total trainees. Access to structured skilling and assured placement opportunities has helped create stable livelihoods, improved financial security, and opened pathways for long-term career growth within the hospitality sector.

Beyond recognition, the roundtable also served as a strategic dialogue platform. Participants discussed ways to scale short-term training models, expand outreach to additional cities, strengthen implementation frameworks, and ensure that a larger pool of deserving youth gains access to skills, certification, and dignified employment in tourism and hospitality.

Speaking on the occasion, Rajan Bahadur, CEO, Tourism and Hospitality Skill Council (THSC), said, “Industry-supported short-term training initiatives have shown how focused skilling can lead to real social and economic transformation. THSC remains committed to strengthening such partnerships with The Job Plus and training partners to expand reach, improve quality, and create dignified employment opportunities for youth across the country.”

Natwar Nagar, Founder, The Job Plus, added, “Training and placing more than 3,000 candidates through industry-funded short-term programmes is deeply meaningful. These initiatives have reached youth from underprivileged backgrounds and helped families move towards sustainable livelihoods. Our focus now is to scale this model further in collaboration with the industry.”

Highlighting the role of partners, Divya Krishan, Chief Growth Officer, The Job Plus, said, “Training partners are not implementers they are co-creators of impact. By solving barriers to quality skilling, increasing industry participation, and breaking low-wage mindsets, we are reshaping how young people view careers in service and hospitality. Our focus now is to evolve continuously into high-demand skills that the industry truly needs.”

The event concluded with a shared commitment from The Job Plus, THSC, and participating training partners to strengthen industry-funded skilling initiatives, expand outreach to underserved regions, and enable more young Indians to build sustainable careers in tourism and hospitality.

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