Online Travel Agents: Industry Effects Investigated

The Effects of OTAs

High levels of commission, a lack of transparency for the consumer online, representations of 'best price' and how rankings and ratings are applied online (using criteria only known to the OTA); these are just a few of the effects that OTAs have on the industry.

This summer the Competition and Markets Authority (CMA) asked hotels about the effects of online bookings on the industry; in particular price parity in OTA contracts, as part of its monitoring of online bookings.

The CMA is now considering the answers submitted and will present its findings to the European Commission (EC).

The EC said earlier in the year that it planned to issue a report in November this year.

The BHA will continue to keep members and the public updated.

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