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Hotels’ dependency on online intermediaries and their chosen distribution channel portfolios: three country insights

Stangl, B., Inversini, A. and Schegg, R. (2016) Hotels’ dependency on online intermediaries and their chosen distribution channel portfolios: three country insights. International Journal of Hospitality Management, 52. pp. 87-96. ISSN 0278-4319

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To link to this item DOI: 10.1016/j.ijhm.2015.09.015

Abstract/Summary

New intermediaries are entering the market, challenging the hospitality industry to find an appropriate distribution channel portfolio. This research investigates how many channels hotels in Austria, Germany and Switzerland choose and what role the various channels play. Findings based on 1014 questionnaires reveal an average mix of 8.06 offline and online channel categories. Traditional channels, such as walk-ins and telephone, still play a major role; however, about one fifth of the bookings are completely generated online. On average, 3.61 online travel agencies (OTAs) are used. With regards to OTA penetration, an oligopolistic market structure is prevalent. Swiss and German hotels’ OTA dependency is higher than Austrian’s. A series of a posteriori cluster analysis results in four distribution portfolio groups hoteliers choose: multi-channel-, electronic-, realtime-, and traditional distributors. Distribution portfolio profiles facilitate learning from strategies used by hotels with certain characteristics such as target group and star-rating.

Item Type:Article
Refereed:Yes
Divisions:Henley Business School > Marketing and Reputation
ID Code:75361
Publisher:Elsevier

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