OTAs pushing direct bookings

Booking.com and Expedia looking to organic marketing to reduce reliance on Google in the longer term

Aug 16, 2023

Last quarter, both OTAs increased their marketing expenses, highlighting a higher return on investment alongside the rise in direct business, which resulted in a decrease in marketing expenses as a percentage of gross bookings.

Key takeaways

  • Expedia continues to see improvements in its B2C marketing efficiency as a result of the benefits that come from the company's ongoing investments in customer loyalty and app members;
  • Booking.com is also promoting direct bookings to interact with customers directly and increase customer loyalty, with the likely added benefit of a gradual decrease in expenditures on paid channels;
  • Rival Airbnb also increased is marketing spend in Q2, but claims that 90% of its traffic remains direct or unpaid.

Get the full story at Phocuswire

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