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.


India International Travel Mart Returns to Pune & Hyderabad in 2025

India International Travel Mart Returns to Pune & Hyderabad in 2025

By Manu Vardhan Kannan

Published on August 30, 2025

The India International Travel Mart (IITM), one of the country’s longest-running and most trusted travel trade exhibitions, is set to return to Pune and Hyderabad in 2025.

  • IITM Pune will take place from 27–29 November 2025 at Expo Centre, Deccan College, Yerawada.

  • IITM Hyderabad will be held from 4–6 December 2025 at Hall No. 2, HITEX Exhibition Centre, Kondapur Post.

Now in its 26th successful year, IITM has established itself as India’s biggest travel event, connecting national and international tourism boards, travel operators, hospitality brands, technology providers, and other stakeholders from the tourism ecosystem.

Why IITM Matters

IITM is more than an exhibition, it’s a dynamic B2B platform designed for networking, destination promotion, and business development. With over 200 editions hosted across India, the event has become a trusted launchpad for new travel products, services, and partnerships.

The 2025 editions will feature dedicated pavilions for domestic and international destinations, luxury travel, experiential tourism, travel technology, and sustainable tourism solutions. Attendees can look forward to workshops, buyer-seller meets, and curated showcases designed to strengthen business networks and drive collaborations.

Organisers Speak

Commenting on the upcoming editions, Mr. Sanjay Hakhu, Director, Sphere Travelmedia & Exhibitions, said:

“India International Travel Mart has become a landmark event in India’s tourism calendar. It plays a vital role in driving growth by fostering direct engagement between destinations, travel brands, and buyers.”

Mr. Rohit Hangal, Director, Sphere Travelmedia & Exhibitions, added:

“With Pune and Hyderabad being among India’s fastest-growing tourism markets, hosting IITM in these cities allows us to bring together key stakeholders, promote destinations, and create stronger networks for the industry.”

Spotlight on Pune & Hyderabad

Both host cities represent high-potential travel markets:

  • Pune is a thriving hub for education, IT, automotive, and manufacturing, with strong leisure and MICE travel demand driven by its young professional base and proximity to the Western Ghats.

  • Hyderabad, also known as “Cyberabad,” is a leading IT, biotech, and pharma hub, with a growing middle-class population and strong infrastructure, making it a significant market for business and leisure tourism.

Focus for IITM 2025

This year’s editions will place special emphasis on:

  • Sustainable Tourism – showcasing eco-friendly travel solutions and responsible hospitality initiatives.

  • Emerging Travel Technologies – including AI-driven planning tools, VR travel experiences, contactless systems, and blockchain-based security.

  • Business Networking – creating opportunities for exhibitors to connect with buyers, partners, and investors through curated B2B meetings.

As India’s outbound travel market continues to boom, expected to surpass USD 44 billion by 2032, IITM stands as a strategic gateway for industry players to connect, collaborate, and capitalize on new opportunities.


Lemon Tree Hotels Signs Lemon Tree Resort in Pench, Maharashtra

Lemon Tree Hotels Signs Lemon Tree Resort in Pench, Maharashtra

By Manu Vardhan Kannan

Published on August 29, 2025

Lemon Tree Hotels has announced the signing of Lemon Tree Resort, Pench, Maharashtra, its newest getaway in the heart of India.

Nestled amidst the scenic forests of Pench, which spans across Madhya Pradesh and Maharashtra, the upcoming resort will feature 60 well-appointed rooms, a restaurant, spa, swimming pool, banquet spaces, and more.

Pench National Park, famously known as the inspiration behind Rudyard Kipling’s The Jungle Book, is home to the Royal Bengal Tiger, leopards, sloth bears, and countless other wildlife species. This makes it an ideal destination for both nature lovers and adventure seekers.

This signing further strengthens Lemon Tree Hotels’ footprint in Maharashtra, where it currently operates 14 hotels with six more in the pipeline. The expansion also reflects the brand’s commitment to growing its presence across India’s key leisure, wildlife, and experiential destinations.


Hotels across Vietnam roll out festive experiences for National Day holiday

Hotels across Vietnam roll out festive experiences for National Day holiday

By Hariharan U

Published on August 29, 2025

 Hotels and resorts across Vietnam are gearing up for the National Day holiday with a vibrant mix of dining events, wellness packages, and family activities that celebrate the country’s culture and spirit of togetherness.

Waving the Vietnamese Flag High at Alma Resort Cam Ranh

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 Alma Resort Cam Ranh is pulling out all the stops with family-friendly festivities inspired by Vietnam’s flag. Activities include festive décor, DIY flag crafts, face painting, and a playful “Capture the Flag” challenge. Young guests can also enjoy kite making, tree planting, and plenty of fun with wood carving, yoga, tug of war, and even meet-and-greet moments with a Minion and a clown.

On September 2, Alma Garden will serve a lavish breakfast buffet with a “Special Vietnamese Delights” counter, followed by an evening spread titled “A Culinary Journey Across Three Regions”, featuring half a grilled lobster per adult, unlimited beverages, and a live performance by a traditional band. Meanwhile, Alma Food Court will spotlight Vietnamese coffee tasting, alongside local favourites such as grilled chicken with bamboo-tube rice and beef stew with rice noodles.

Wellness and Family Time at Azerai Resorts

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 Azerai Resorts is celebrating with special offers designed for relaxation and family bonding. At Azerai Ke Ga Bay, guests can enjoy a “Buy 60, Get 90 Minutes” massage promotion and complimentary yoga sessions by the beach. Further north, Azerai La Residence, Hue is offering a “Family Time” package with a one-night stay, daily breakfast, a poolside BBQ dinner, and discounts on spa and dining. For a deeper escape, the “Hue Heritage and Nature Escape” two-night package combines time at the resort with a guided trip to Bach Ma National Park and explorations of Hue’s cultural landmarks.

Premium BBQ Buffet at Sofitel Legend Metropole Hanoi

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In the capital, Sofitel Legend Metropole Hanoi is marking the holiday with an exclusive BBQ Buffet Dinner at Spice Garden on September 2. From 6pm to 10pm, diners can savour fresh seafood, Hanoi specialties, and premium BBQ across five live stations. Children under 6 dine free, while those aged 6–11 enjoy a 50% discount. The refurbished Spice Garden, relaunched in 2023, blends cozy luxury with authentic Vietnamese charm, making it an ideal setting for festive dining.

Fiery Festivities at The Anam Cam Ranh

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 The Anam Cam Ranh is setting the stage for a lively Independence Day celebration with a Vietnamese buffet, fireshow, fireworks, and live traditional music on September 2. Hosted at Lang Viet Restaurant and Bar, with optional drinks packages for unlimited juices or free-flow draught beer. The highlight? Fresh mango juice made from Khanh Hoa’s famed mangos, adding a local touch to the beachfront feast.

From beachfront resorts to heritage city hotels, Vietnam’s hospitality scene is uniting to honour National Day with celebrations that bring together food, culture, and family fun.

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