Guest discovery is moving upstream

AI tools are shaping travel preferences before travelers reach OTA or hotel websites

Generative AI is changing where and how travel decisions are formed, with travelers increasingly shaping preferences inside conversational AI tools rather than through traditional search results. This shift reduces the influence of classic search-based visibility and alters the role online travel agencies and hotel websites play in early discovery. As intent forms earlier and elsewhere, control over the guest journey becomes more fragmented. For hoteliers, this evolution raises strategic questions about visibility, differentiation, and how guests encounter their brand for the first time.

Key takeaways

• Guest discovery is moving upstream: Travelers are increasingly forming preferences inside AI tools before visiting OTA or hotel websites, reducing the role of classic search-based visibility.
• OTAs may influence decisions later: As planning happens elsewhere, platforms like Expedia and Booking.com risk losing their ability to shape guest choices early, even if they still process bookings.
• Marketing costs may rebalance: Heavy OTA spending on search advertising becomes less effective as AI keeps users within conversational interfaces for longer.
• Emotional fit matters more than price alone: AI-led planning emphasizes personalization, inspiration, and confidence, favoring hotels with clear positioning and distinctive experiences.
• Hotel content gains strategic value: Properties that communicate story, atmosphere, and intent clearly are better positioned to be surfaced by AI systems interpreting guest preferences.
• New distribution paths may emerge: Agentic AI could eventually connect travelers directly to hotel inventory, potentially reducing dependence on traditional intermediaries.
• Infrastructure still favors incumbents—for now: OTAs remain essential execution layers for booking and payments, but their control over guest demand is no longer guaranteed.
• Hoteliers should watch the experience layer: Competitive advantage is shifting from transactional efficiency to how well a hotel’s identity and value are understood by AI-driven discovery tools.

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