Hotels in Middle East look up to OTAs to target new markets

Published: 07 Jul 2008

EFT Travel Distribution Middle East 2008

There isn't any dearth of excitement among the hoteliers from the Middle East when it comes to devising plans for increasing the online business via their own brand website.

Be it clear brand strategy, SEO programme maximising key words and content, paid position advertising on search engines or web advertising via banners, even the domestic chains seem to be quite prepared for embracing new opportunities.

From a hotelier's perspective, with reference to various channels (hotel direct, voice / reservation center, 3rd party Internet, brand web and GDS / agency), Rotana Hotels Corporate VP Sales & Marketing Michael Marshall says all of the channels are valuable and can deliver excellent business if they are well managed.

"The traditional hotel direct, voice and traditional agency are still very high producers because this is still a developing region combined with a culture that is built on relationships. However, OTA's brand web and GDS have shown significant growth over the past two years and will continue to grow in the future as the Middle East market develops. At Rotana, we value all the channels and our objective is to maximise each whilst seeking to reduce the reservation costs," said Marshall, who was one of the speakers during EyeforTravel's first Travel Distribution Middle East conference held in Dubai recently.

"Rotana is focused on maximising online direct and indirect distribution. We are working hard on driving more traffic to our own brand website and increasing the booking conversion rate. We are also improving our systems in order increase our business with the OTA's and 3rd Party intermediaries. These partners give Rotana access to new customers in new markets that we are not yet able to penetrate," acknowledged Marshall.

The company uses online to communicate brand messages via its own corporate branded website, for email communications to its own customers, clients and loyalty programme members. "We have also used PR as a route to communicate our new branding via the online mediums. The internet is a useful tool for communicating branding messages," he said.

According to Marshall, the usage of Web 2.0, OTA XML interfaces and mobile technologies has started and is growing in the region.

"I am sure it will follow the trends of the USA and Europe," Marshall told EyeforTravel.com's Ritesh Gupta. "The online channels will continue to grow rapidly over the next few years as the markets mature and more customers with experience of the region book online."

Regarding the recent developments, he pointed out that OTA's have made significant progress and growth in product offering and business delivered to the region.

"I would like to see more business delivered during the low periods using some of the successful promotional tools that are employed in more mature markets," he said.

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