July 09, 2018

How Google exploits the hospitality industry for profit


Google denies the hospitality industry the tools provided to all other market sectors to market their businesses products and services to customers via Google My Business.

The way the booking system works within a hotel knowledge panel is all driven via an AdWords type system, where instead of bidding on a keyword you bid via a room rate commission fee called Google Hotel Ads.

If a hotel wants their own booking link to appear they have to use Google Hotel Ads and set the commission fee they want to pay to Google. Online Travel Agents (OTAs) also have to set their commission fee.

The bottom line is that either way hotels have to pay Google for a booking either direct or via the OTA. Remember that this is from a the business knowledge panel from a direct search – the user wanted this hotel.

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