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How hotel tech is future proofing your hotel distribution and digital marketing strategies

Successful hotel distribution strategies today require a holistic approach that encompasses each facet of the booking journey. Hoteliers are now laser focused on optimizing their channel mix for profitability, personalizing their booking experience to increase conversion, and leaning on AI to drive efficiencies.

Posted 26/08/2025

Future Proof – Key Trends Shaping Hotel Distribution in 2024

For a hotel to thrive in the rapidly changing hospitality landscape, there are a lot of things that have to go right. Owners need the right building in the right market tailored for the right demand generators, and operators need to build a top-notch management team equipped to offer great service. In this article, we will explore how digital marketing and metasearch strategies are taking precedence over traditional booking processes, and why a smart hotel software ecosystem is important for your hotel business to succeed.

Why are OTAs and digital marketing taking over the hotel industry?

In recent years, hoteliers now must rely on digital marketing strategies to create more personal and tailored guest experiences with the help of OTA channels to provide more exposure online in metasearch engines.  Without a strategic strategy, even the perfect hotel will not stay open long with no guests coming through the door.

Gone are the days when hotels could simply open their doors next to a tourist destination and expect to fill up. As more hotels pop up, they are constantly pressured to find ways to differentiate from their competitors. Simultaneously, the way travelers search for and book accommodation has evolved drastically, with hotels constantly updating their strategies to ensure their offerings are in front of as many potential guests as possible.

As OTAs increase their commission fees to now sit around 18-23%, it is becoming increasingly difficult for hoteliers to make a direct profit from their direct bookings. In our survey based on data spanning over 50 million room nights across more than 2,000 international hotels, the influence of OTAS dominating metasearch and Google search engines has risen Google Ads to 62.5% from $0.16 to $0.26, while the cost of metasearch has grown 128.6% from $0.21 to $0.48. This rise in costs is causing hotels to re-think their digital marketing strategies to ensure they are not spending all their budget on competing with OTA channels.

The rising cost of hotel digital marketing: 18-23% OTA commission fees, 128.6% increase in metasearch costs, 62.5% increase in Google Ads cost. Based on Access SHR data over 2000 hotels surveyed and 50 million rooms analyzed
Enlarged The rising cost of hotel digital marketing: 18-23% OTA commission fees, 128.6% increase in metasearch costs, 62.5% increase in Google Ads cost. Based on Access SHR data over 2000 hotels surveyed and 50 million rooms analyzed

How you can tackle online OTAs and optimize your hotel distribution in 3 easy steps

Hotel distribution today involves a holistic approach to inventory management, digital marketing and pricing, to ensure room availability and rates are appearing in the right places. To stay ahead of an increasingly complex landscape, hoteliers are turning to modern and innovative technology as an essential component of their distribution strategies. Here are 3 easy ways you can take on the OTAs and gain back control of your direct booking profits.

  1. Remain focused on optimizing your channel mix - Analyze which channels are the most profitable and driving the most business. Ancillary channels should be used to fill in need periods or to reach travelers otherwise they might not reach through its own channels.
  2. Personalize your traveler’s booking experience -   Use anything from a first name in an email to presenting only offers that are relevant to that guest, based on previously identified preferences.
  3. Integrate AI-powered hotel technology - AI helps reduce manual work across hotel distribution, from generating rate packages and descriptions to knowledgeable chatbots equipped to handle any guest inquiry.

Ready to start future proofing your digital marketing strategies to enhance your hotel distribution?

The rise of AI in the hotel industry is becoming more prominent and is subtly reshaping the way hoteliers are planning their future decisions to survive amongst growing OTA competitions and digital marketing costs. While the industry has long relied on machines for their ability to aggregate and normalize large sets of guest and transactional data, we are at the beginning stages of AI putting this data into action. 

In this article, we have explored how the dominance of OTAs is increasing digital spending for hoteliers and why this can cause more harm than good for direct booking profits. However, with the right hotel technology in place, it gives you an in-depth understanding of your guests’ journeys so you can personalize their stay and build loyal relationships for future bookings. At Access Hospitality, we have a suite of AI-powered products that enable your hotel business to go to the next level with digital marketing, RMS and guest journey solutions, powered by SHR.

The use of AI is on the rise amongst hoteliers and is proving to be a welcomed asset for automating mundane tasks, connecting hotel systems into one place and creating accurate insights into customers and business databases.

Explore our smart hotel technology today and see how AI can help empower your hotel business.