Why it is cheaper to book hotels online?

May 25, 2022

Travelling and exploring new places is very common nowadays. Whenever we go to a place where we don’t have a place of residence and no one in close contact stays there where we book a hotel for our stay purpose. When we book a hotel offline directly by going to the hotels, we might be charged more or we don’t receive any special discount.

This is why the trend of online hotel booking is going up. There are multiple websites available on the internet which offer online hotel booking services. On these websites multiple prices for the same hotel are available. Now how does this mechanism work and why not offline customers can avail such discounts? 

Well, there is high competition among different competitors in the online market. 

To remain in the competition and attract more customers towards them they offer such deals and offers on online booking of hotels. There are some big players and small players in the digital world and every player has a large base of customers.

The hotel industry around the globe i  s very big. There is no dearth of customers for businesses involved in offering hotel booking services. Now an important question arises here, whether the hotels suffer a loss on such bookings, if yes how do they manage to give rooms at discounted rates?

How Do Hotels Manage to Give Cheaper Rooms on Online Bookings?

Well, it is a complete game with a large base of customers. Online platforms have a wide reach of customers. Due to this wide coverage, they can bring customers to every hotel and therefore hotels do not suffer any loss. 

The big number of customers helps the hotel to manage its expenses and earn profit. This is why they entertain online bookings and hotel booking portals. Also, a hotel’s main income is from the room rents and the food sold in their restaurants. The business of a hotel runs in this manner only. They just need more customers and therefore they make good profits on every booking.

Benefits of Online Bookings for Customers:

Online bookings of the hotel are the most convenient option for every customer. Just with a single tap on the screen and they book the hotels. It saves them from last moment rush as the option for booking is also available on these websites.

There are various online hotel booking websites, such as Goibibo, Make my trip, Bookings.com, and Oyo Rooms, BYO (bookyourown.net). These websites are very popular amongst the customers. Each of the mentioned websites also has its mobile apps available which makes it more convenient for the users to book hotels. The list of hotels mentioned strictly follows covid norms

Therefore, the cheaper rates of online booking of hotels are just a business method applied by them. They earn huge profits on every room they put on rent. Online bookings help them to get maximum customers from which they earn good profits. With the concept of online booking, the hotel never runs into a loss, they always recover their cost and earn profit. 

The online bookings of hotels are profitable to customers, hotels and travel websites. All three enjoy the benefits of price advantage.