Managing the Distribution Channel Relationship With E-Wholesalers: Hotel Operators' Perspective

Myung, Eunha; Li, Lan; Bai, Billy

doi:10.1080/19368620903235837

Cited by 25 publications

(46 citation statements)

References 26 publications

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“…The relationship between tourism suppliers and intermediaries has also been widely discussed in recent studies. With reference to the interviews with revenue managers from corporate hotels in the Southwest and Midwest regions of the USA, Myung et al (2009) reveal that hotel operators generally perceive online wholesalers as partners. They also acknowledge the benefits of using online wholesalers such as a global distribution of products, the increased visibility of the hotel and greater exposure through aggressive media advertisings.…”

Section: E-strategic Managementmentioning

confidence: 99%

Progress on information and communication technologies in hospitality and tourism

Law

Buhalis

Çobanoğlu

2014

International Journal of Contemporary Hospitality Management

565

404

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If you would like to write for this, or any other Emerald publication, then please use our Emerald for Authors service information about how to choose which publication to write for and submission guidelines are available for all. Please visit www.emeraldinsight.com/authors for more information. About Emerald www.emeraldinsight.comEmerald is a global publisher linking research and practice to the benefit of society. The company manages a portfolio of more than 290 journals and over 2,350 books and book series volumes, as well as providing an extensive range of online products and additional customer resources and services.Emerald is both COUNTER 4 and TRANSFER compliant. The organization is a partner of the Committee on Publication Ethics (COPE) and also works with Portico and the LOCKSS initiative for digital archive preservation. AbstractPurpose -The purpose of this paper is to establish the progress of information and communication technology (ICT) based on a review of papers published in tourism and hospitality journals between 2009 and 2013. Design/methodology/approach -Based on three major databases, 107 journal papers were retrieved and reviewed. The papers were grouped into two major categories, consumer and supplier, which generally comprise the key players in the industries. Findings -A content analysis showed that hospitality and tourism industries use ICT in different functional units and for different applications. This, in turn, indicates their wide adoption in the industry. Industrial implications are discussed. Practical implications -On the basis of the content analysis, industry practitioners can learn about up-to-date practices and decide how to take advantage of recent technological developments. Originality/value -A major contribution of this paper is the comprehensive review of recently published papers in tourism and hospitality journals from the perspectives of consumer and supplier.

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Section: E-strategic Managementmentioning

confidence: 99%

Progress on information and communication technologies in hospitality and tourism

Law

Buhalis

Çobanoğlu

2014

International Journal of Contemporary Hospitality Management

565

404

View full text Add to dashboard Cite

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“…To placate denied customers, hotels should give priority to them or provide them with free stay in the future to compensate them. Second, as hotels cooperate with third-party websites on room reservation, they inevitably compete with each other on the customer source because of the same customer market [48]. Therefore, both hotels and third-party websites should exert more efforts to encourage customers to make reservation directly through their own distribution channels.…”

Section: Discussionmentioning

confidence: 99%

“…However, third-party websites compete severely with hotels on customer source, which causes a problem of conflict of distribution channel for hotels [47,48]. Therefore, Xu et al [49] optimize room allocation between hotels and third-party websites by first setting online-exclusive rooms for third-party websites, and then allowing the hotel to decide whether to accept additional requests from the website to maximize its profit.…”

Section: Cooperation With Third-party Websitesmentioning

confidence: 99%

Hotel Overbooking and Cooperation with Third-Party Websites

Dong

Ling

2015

Sustainability

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Hotels cooperate with third-party websites to enhance their competitive position and attain sustainable development in the era of e-commerce. Furthermore, hotel managers overbook to hedge against last-minute cancellations and customer no-shows. This paper discusses pricing and overbooking strategies of a hotel in the context of cooperation with multiple third-party websites and analyzes how these strategies influence the cooperation process. The increase in profits resulting from the overbooking strategy is also examined. A model of a Stackelberg game between the hotel and third-party websites and a Nash game among the third-party websites are developed to analyze the process. Results indicate that the compensation coefficient has a slight influence on hotel pricing strategy, but causes a sharp decrease in overbooking level. As the hotel demands to lessen the probability of denying under higher compensation rate, the third-party websites would exert less sales effort to reduce the demand of online customers. Results also show that under a given market demand, hotel effort only serves to redistribute market shares among the hotel and third-party websites, without influencing hotel pricing and overbooking decisions. Specifically, the market shares of the third-party websites decrease in the effort level of the hotel resulting from an increase in the hotel market share. Finally, in the numerical example where one hotel and two websites are analyzed, hotel overbooking strategy improves hotel profit by 4.20%, whereas profit improvements for Websites 1 and 2 are as high as 5.26% and 5.21%, respectively. Managerial implications of the study are also provided.

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“…Observations made by the authors on the analyzed market also show that sometimes hoteliers go further, offering the net price or the price per person instead of per room. Such activities are heavily criticized by the hospitality industry (Letter..., 2012;Myung et al, 2009). Hoteliers using such practices may encourage a customer who is not fully aware to choose their hotel from a number of facilities available in the system and to make a reservation at a seemingly low price.…”

Section: Price Discrimination In Various Distribution Channelsmentioning

confidence: 99%

Room rate parity vs. Rate fences in the context of price discrimination theory: the case of the Polish hospitality market

Biełuszko¹,

Marciszewska²

2018

Argumenta Oeconomica

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Rate parity is still a very controversial issue, thus many researchers and industry professionals study it with respect to several aspects: whether it is beneficial for the hotel and/or for the customers. However, despite the necessity to respect rate parity, many hotels do not apply this requirement. Therefore, the authors have attempted to assess this phenomenon in the Polish hospitality market. The aim of the study was to determine the scope of applying rate parity by Polish hotels and using the price discrimination in a variety of direct and indirect channels of electronic distribution. The purpose was to state how the restriction to respect rate parity by the hotels affects the possibility of using price differentiation. The research material involved prices available on-line across various distribution channels. The research methods were based on a critical analysis of literature and on the observation of the prices on the websites of 311 hotels and e-intermediaries. The collected data were analyzed statistically by means of SPSS software. The relationships between the characteristics of the hotels (the category and belonging to a chain) and the variables were determined. The analysis indicates that the necessity of applying rate parity paradoxically often leads to using price differentiation and rate fences by the hotels. Among the hotels applying rate parity (i.e. the same standard room rate as in other distribution channels) as many as 61% of enterprises use rate fences (mainly non-physical-transaction features) in order to improve the competitiveness of their prices in relation to other distribution channels.

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Managing the Distribution Channel Relationship With E-Wholesalers: Hotel Operators' Perspective

Cited by 25 publications

References 26 publications

Progress on information and communication technologies in hospitality and tourism

Progress on information and communication technologies in hospitality and tourism

Hotel Overbooking and Cooperation with Third-Party Websites

Room rate parity vs. Rate fences in the context of price discrimination theory: the case of the Polish hospitality market

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