Wholesaler Hotelbeds Cuts Ties to Booking Sites That Break Hotel Distribution Rules
The collapse last week of Amoma suggests that an industrywide crackdown on online travel agencies that violate hotel contracts is getting serious. For example, many hoteliers have wanted Hotelbeds to crack down on bad behavior by some agencies. The distributor of wholesale rates has responded by taking action.
The issue drew a spotlight late last week when online travel agency Amoma collapsed. Hoteliers had long suspected that Amoma was often repurposing their inventory meant for niche channels, such as ethnic offline travel agents, tour operators, and airline websites, and selling it to consumers online instead.
Some hoteliers argued that the spread of wholesale rates online creates a price war on search sites like Google and Trivago, pulling down overall prices.