Online distribution and budget hotel

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ACKNOWLEDGEMENT

I would like to take this chance for thanking my research facilitator, friends & family for support they provided & their belief in me as well as guidance they provided without which I would have never been able to do this research.

DECLARATION

I, (Your name), would like to declare that all contents included in this thesis/dissertation stand for my individual work without any aid, & this thesis/dissertation has not been submitted for any examination at academic as well as professional level previously. It is also representing my very own views & not essentially which are associated with university.

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ABSTRACT

Electronic distribution in the hotel industry is characterized by severe conflicts between hotels and intermediaries. Hotels believe that it would be cheaper and more efficient to sell rooms on the Internet using their own Web sites. Hotels often underestimate their power to sell and rely on the online intermediaries to sell more rooms. Online distribution is used by hoteliers as tool for forecasting demand to manage their room inventory for greater efficiency financial gain. This study investigates the effectiveness of online distribution channel in budgeting hotel, specifically of Accor Ibis hotel in China. The prices of the room in the hotel direct distribution channels are not significantly different from rates found in the indirect channels. Only 31% of China hotels prices set by market trends. Most types of hotels in China are consistent through indirect distribution channels. In the Merchant Model buys distributor, net rates and sells them to customers or as elements of the gross price of package tours to the different spreads can contain. These distributors act as tour operators, usually in hotels and pay for quotas to sell rooms on the net price to the hotel. Opaque Pricing is a little like "inverted world." Here, the demand placed on the Internet and the provider may contract with an offer it if they want. This form of pricing will more and more popular.

TABLE OF CONTENTS

ACKNOWLEDGEMENTII

DECLARATIONIII

ABSTRACTIV

Background1

Rationale1

Theoretical Framework2

Aim2

Hypothesis3

Limitations3

CHAPTER 2: LITERATURE REVIEW4

Distribution channels4

Traditional distribution channel and online distribution channel4

GDS system6

Defining Revenue Management8

Revenue management systems9

History of Revenue Management in Hotels11

Revenue Management Principles11

Different distribution channel of Accor Ibis12

Distribution Challenges for Hotels13

Websites and search engines, Merchant model13

Advantages and disadvantages of channels15

CHAPTER 3: METHODOLOGY17

Primary methodology17

Research Design17

Literature Search18

Case study (Hotel Accor Ibis)18

Theoretical background18

Reliability/Dependability19

Validity21

Pros and cons of chosen methodology23

CHAPTER 4: DISCUSSION25

Descriptive analysis25

Table 125

Table 225

Effectiveness25

Accor Ibis hotels relationships with various distribution channels26

Competitive Landscape27

Market Segmentation28

CHAPTER 5: CONCLUSION31

Recommendations32

Overview of main points and findings33

REFERENCES39

ARTICLES44

APPENDIX45

Questionnaire for travelers45

Questions for managers46

CHAPTER 1: INTRODUCTION

Background

To date, the constant discovery of new sales models and pricing options on the Internet - and with them the price chaos. Principle, be distinguished from the sales partners for the hotels in Agent Models, Merchant and Opaque Pricing Models. An agent model means for the hotel owner that he the Distributor's gross rates on offer, which he sold himself. After successful mediation, he pays a fee / commission on the sales made. Of course, the hotel owner a large booking volumes, which is formed through the distributor, rewarded with special ...