Hotel Rate Parity. What Is It About?
Some might say that offering rate parity is one of the fairest ways of conducting rate strategies. So, what does rate parity actually means?
Hotel rate parity is when the hotels are implementing the same rate across all distribution channels including their own hotel websites. It is a legal agreement between the hotels and Online Travel Agencies (OTAs) where they agree to offer the same rate on all platforms that they sell regardless of how much commission they have to pay to OTAs. Hotels are also not allowed to undercut the room prices that OTAs display on their platforms.