TripAdvisor to add direct business listings for hotels globally

tripadvisor2Many hotels on TripAdvisor have long felt ripped off because reviews of their properties make TripAdvisor and its advertisers — often competitors of the hotel — big bucks, but there are no direct links or contact information for the property itself.

TripAdvisor announced today that the policy will change on all its global websites beginning Jan. 4, 2010.

At that time, hotels on TripAdvisor will have the option to pay a flat-fee annual subscription for TripAdvisor Business Listings and will be able to display their properties’ URL, telephone number and e-mail address.

The business listing — i.e. advertising rate — starts at $600 per year in the U.S., and varies by the properties’ number of rooms. Early adopters can lock in a 50% discount if they sign on before Jan. 31, 2010. Hotels, from chains to inns and B&Bs, can purchase subscriptions here.

TripAdvisor states that the direct contact information will appear “at the top of your hotel page under your property address and above the Check Rates box. They will appear above the fold.”

This program is a big deal for many of the 75,000 properties — especially ones that found the companies’ advertising rates way too expensive — that have registered as owners on TripAdvisor websites.

Today, a listing for the Radisson Hotel Orlando-Lake Buena Vista on TripAdvisor.com gives consumers plenty of options to a book a room there through Expedia, Booking.com, Orbitz, Travelocity and TripRes.com, but there is no way through TripAdvisor to book the Radisson direct through links or a phone number.

So, hotels will be able to take advantage of these new direct links if the pricing isn’t prohibitive.

The value proposition for hotels will all be in the details and how the implementation works out.

Many hotels, especially the smaller properties, have lobbied for this type of program for a long time.

With the tens of thousands of hotels displayed on TripAdvisor, Business Listings could be a significant new revenue stream for the company, which is a unit of Expedia Inc.

It will be interesting to watch the reaction of TripAdvisor’s existing advertisers to the new program because Business Listings potentially can make their advertisements less effective.

TripAdvisor assuredly has run the numbers and certainly believes that Business Listings won’t be overly dilutive to its existing advertising programs.

You can rest assured of that.

Comments

  1. Lynn says:

    Sounds like a good business plan. Build it, perfect it, then charge for it. I know we will be “inn” when it becomes available.

  2. Dennis Schaal Dennis Schaal says:

    I wonder how prohibitive the pricing will be for Business Listings in the case of a midsize hotel, for instance.

    I’m sure some hotels, whether they participate in Business Listings or not, will still feel ripped off because their content is making TripAdvisor gobs of money.

    But, at a minimum, Business Listings looks like an improvement, and I would love to get some additional perspective from hoteliers.

  3. Claude says:

    @ Dennis,

    Some short months ago, TA made a hotel survey online.

    In this survey, they tasted the water about the listing prices (start test at 500 USD, then test at 300 USD some days after)

    @RobertKCole and @HHotelConsult have some infos and good points of views about this TA move.

    additional perspective from hoteliers ?

    My point of view : TA cash machine

    Keep the rest of my thoughts in my head or for my hotel customer!!!

    Best

    Claude

  4. if u give us a booking,then we will give you 30 to 35 percent commission as on every booking

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