HOTELMARKETING.COM

OTAs embrace members-only hotel promotions

January 28, 2010 |

A growing number of online travel sites are offering members exclusive and time-limited access to deep discounts - adapting the business model of many online sellers of designer fashions, writes The Wall Street Journal.

Today, Kayak.com launches a private-sale program offering users exclusive discounts of up to 50% on hotels. Initial deals include stays at the Mondrian in Los Angeles and the Sonesta Maho Beach Resort & Casino in St. Martin. The company plans to add deals on air travel and packages.

Kayak is negotiating discounts at in-demand hotels, which it identifies using its search data. The company will post deals every Thursday at kayak.com/privatesale; the deals will be available for up to one week or until sold out.

Gilt Groupe, an online retailer offering invitation-only access to sales of designer fashion brands, operates Jetsetter.com, a Web site selling upscale travel packages to members at discounts of up to 60% off. One recent sale offered a $360-per-night discount for a garden-view one-bedroom suite at the Veranda at Grace Bay, in the Turks and Caicos Islands. Revenue for the site, launched in September with Gilt Group members, grew by more than 30% from November to December, says Drew Patterson, chief executive and founder of Jetsetter.com.

Tablethotels.com has a private-sale program that announces discounted hotel rates on Tuesdays. "Tablet Plus" members, who pay an annual $195 membership fee for upgrades and other perks, get priority access to the discounts on Monday mornings. Sales end at 5 p.m. Thursdays.

Get the full story at The Wall Street Journal

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