Hotels See Higher Booking Value Through Direct Channels in 2024

Hotels generated higher average booking values through their direct websites compared to third-party distribution channels in 2024, according to SiteMinder’s Hotel Booking Trends report.

The study revealed that direct bookings averaged $519 per reservation, significantly higher than the $320 average via online travel agencies (OTAs). Direct bookings also outperformed global distribution systems ($380) and wholesalers/tour operators ($446). Revenue per direct booking increased 8.5% year-over-year.

James Bishop, VP of Ecosystem and Partnerships at SiteMinder, attributes this trend to hotels having more control over upselling premium rooms and amenities on their own platforms.

Hotels’ direct websites ranked among the top two distribution channels globally, particularly in Ireland, Portugal, and Spain, where they were second only to Booking.com. In the UK and US, hotel websites ranked third, behind Booking.com and Expedia.

SiteMinder also reported 17 new distribution partners in 2024, including Trip.com, Hopper, and TBOHolidays, highlighting the expansion of B2B and B2C distribution strategies.

Other key findings from the report include:

Average hotel room rates reached $200, increasing in 65% of markets.
78% of global hotel stays were single-night bookings, while 11% lasted three or more nights.
Travelers booked 32 days in advance on average, with cancellation rates dropping below 20%.

The findings suggest that hotels are maximizing revenue by optimizing direct booking strategies, leveraging technology and pricing control to drive higher-value reservations.

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Hotels See Higher Booking Value Through Direct Channels in 2024

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