There, I'll turn of the grumpy old man now.
There, I'll turn of the grumpy old man now.
https://welcome.expediagroup.com/en/about-us/about-expedia-g...
On the other hand, there are other companies not owned by Expedia who use their backend like AmexTravel.
The majority of the guest don't know about it.
If you're a member they've been sending emails about how they're merging the rewards with Expedia's reward system.
Perhaps you're right that most guests don't pay enough attention to realize, but it's not a secret.
Last year, I was in San Francisco for a hybrid business/personal trip where I extended my stay on both ends, brought my wife and of course I paid the difference.
I booked the week at the Hilton San Francisco Financial District. We got there and it was a dump. It was late, we stayed one night, checked out the next night and moved to the Parc 55. That would be nearly impossible if I booked through a third party.
On top of that, you don’t get hotel status benefits or points booking through a third party. We were upgraded free to the “fitness room” with a gym inside the room as a Diamond member of Hilton and the points went toward free hotel stays.
And the good hotels still thank me for being a loyal member and link my number to the booking on checkin (oddly occasionally I get the points too)
Also, I understand outside of the US, credit card rewards aren’t as lucrative. I get 20x points per dollar from Hilton for staying and an additional 14x from Hilton for using my cobranded Amex Hilton Aspire card when paying Hilton directly.
And yes we have much less lucrative CC rewards here. Here, Amex are partnered with Marriott (ew. not many good ones in the UK) and you only earn 6x
If you pay Booking, it's quite possible that Booking are acting as a reseller and buying wholesale hotel rooms to then sell to you at a markup. In that case Booking are the merchant, and who is ultimately responsible for the service. If you pay the hotel, Booking may take a fee but it's essentially commission, the hotel is fully responsible for the service and are the merchant.
None of this should really matter to the customer, but it does when things go wrong. Liability is different and consumer rights can be different if you're buying internationally or paying online vs in person.
They don't do that and none of their competitors do that. Booking.com charges hotels 15% in commission on their sales and that's it.
If you reserve through Booking.com, they are 100% responsible towards you for the reservation, and the hotel is 100% responsible towards Booking.com
Responsability varies greatly depending about what is the issue at hand.
This is how Expedia worked for many years. Booking didn't start out doing this, but I think both are now large enough that they all do a bit of both.
Some googling suggests Booking may not be buying wholesale directly, but may be just listing inventory from other wholesalers.
There's a good episode of the Acquired podcast on Booking.com that goes into some depth on their business model if you want more info.
Both expedia and booking.com know better about the market condition than the hotels.
When they realize that rooms are selling fast in the area, they sell the room as prepaid rooms. If the nightly rate is $100, they sell it for $120-150 and they pay hotels $100 - 15-18% commission.
They also buy google ads in the area for the top results during that time. Most guests don't even realize they are clicking on their ads.
I've never seen Booking.com do that with any hotel no matter how high the demand, and I have never heard anybody in the industry having experienced that. What do you base your claim on?
That would make little sense, since the proposal of Booking.com is to always offer the cheapest rates.
However they do buy a ton of Google Ads for hotel bookings.
I'm very hands on at my hotel. Sometimes guest shows us how much they have paid. There were times when someone handed the guest receipt showing how much we got paid and they come back saying why they were charged more than the receipt. Older guest brings the printout of their booking.
Booking even had a unique website for my hotel. We had to involve the franchise to get it shut down.
> Booking even had a unique website for my hotel. We had to involve the franchise to get it shut down.
Unless you're talking about listing page that they have for each property, I have a hard time believing this. Only if the previous hotel owner made some kind of thing together with them.
with that being said, I'm pretty sure marketplace regulations (such as booking.com) forces the marketplace to be out of the money flow. so this should be on the PSP side, it's strange that booking.com is halting payments this way.
another point is that they're collecting 4% interest on money that's not theirs ... I wonder if they plan on paying out the interest.
Of course. And it's much easier to frivolously book and cancel rooms if you don't need to pay up-front.
Charging at booking time gets rid of a lot of guests who make "maybe" bookings, making it easier for real visitors to get their accommodation. That's the reason most hotels are moving to that model.