Two years have passed since Marriott’s acquisition of Starwood, but the integration efforts continue on. The success of the Sheraton brand turnaround and the merging of the loyalty programs is critically important and could mean millions of incremental fee revenue for the combined company.
Many online travel agencies are no longer specialists in one product, instead aiming to become one-stop shops. The platform that a booking site can offer is a key part of its competitive moat and the contours of supply at Booking Holding and Expedia vary widely from each other.
Online travel agencies remain essential to the travel industry as consolidators of and clearinghouses for advertising dollars throughout the space. We do not see OTAs being removed from this position easily, but challenges are growing by the day.
Amazon likely has a role to play in the future of travel distribution, marketing, or devices — if not all three. Travel leaders need to prepare today, or risk being caught flat-footed tomorrow.
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