Historic Hotels Belgium
Historic Hotels, a chain with five unique hotels and over 400 rooms, partnered with Otamiser to boost revenue and visibility across Online Travel Agencies (OTAs). Initially, the goal was straightforward: increase rankings on OTAs to attract more bookings. But the collaboration led to a surprising result: a significant increase in direct bookings. This phenomenon, known as the “billboard effect,” has become a cornerstone of Historic Hotels' booking strategy.
The Billboard Effect: A Surge in Direct Bookings
By enhancing visibility on major OTAs like Booking.com and Expedia, Otamiser didn’t just drive OTA bookings; it brought new traffic directly to the Historic Hotels’ website. This is the power of the billboard effect, where potential guests discover a hotel on an OTA but opt to book directly after exploring the property’s website for additional perks and offers.
Richard Gale, Historic Hotels' revenue manager, shared his enthusiasm: “Otamiser has supplied us with a tailor-made solution to help our revenue management. The most surprising results have been more bookings through our own websites, bringing higher revenues and less commissions. I thoroughly recommend that you have a conversation to get ahead of your competitors.”
This effect not only reduced OTA commission costs but also allowed Historic Hotels to cultivate a stronger relationship with guests, offering more tailored experiences through direct bookings.
Otamiser’s Role: Beyond Visibility to Revenue Strategy
The Otamiser Booster® isn’t just an algorithm for ranking improvements on online travel agencies. For Historic Hotels, it became a strategic partner in revenue management. Managing over 20 OTA partnerships, Historic Hotels previously found updating pricing and availability across platforms a demanding task. Otamiser’s solution streamlined these updates, adapting strategies in real-time to either boost Average Daily Rate (ADR) or occupancy rates depending on seasonal demand and property-specific goals.
As Gale noted, “We discuss openly and regularly what we want to achieve, higher ADR or occupancy during specific periods for certain properties. This allows us to focus on direct and business sales.”
The flexibility Otamiser offered meant that changes could be rapidly implemented, maximizing both revenue and occupancy across Historic Hotels’ locations.
Results and Impact
The collaboration between Historic Hotels and Otamiser created remarkable outcomes, showcasing significant improvements in revenue and market performance:
- Revenue Growth:
- Within a matter of weeks, Historic Hotels witnessed a substantial revenue increase, with January (low season) revenue surging by approximately 30% in the Belgian city of Ghent and 40% in the city of Aalst.
- Otamiser's strategic pricing structures not only boosted revenue through Booking.com but also led to a surge in direct bookings, surpassing initial expectations.
- Operational Efficiency:
- By automating basic revenue management tasks previously consuming 4-6 hours daily, Historic Hotels experienced a significant shift in operational efficiency.
- Market Dominance:
- Otamiser managed to position for at least three out of four hotels on Booking.com's first page daily without incurring additional OTA commission payments.
A Tailor-Made Solution for Lasting Impact
Through its custom-fit revenue management strategies and innovative OTA ranking management algorithm, Otamiser has empowered Historic Hotels to maintain a competitive edge, strengthen direct bookings, and reduce dependency on OTAs while benefiting from their visibility boost. As Gale summed it up, “The adaptability and expertise Otamiser brings make them a valuable partner, and I thoroughly recommend them to hoteliers looking to get ahead in a competitive landscape.”
This case highlights how OTAs and direct booking channels can work synergistically, especially when powered by the right revenue management tools.
For more information on how Otamiser can help your listings in reaching their full potential, book a call with one of our experts