I feel Airbnb's move does not create a new problem — it exposes an existing one.

Whether it's Booking, Expedia, or now Airbnb, large intermediaries dominate because they offer a frictionless, trusted, personalized shopping environment at scale. If a guest can browse thousands of options, compare transparently, and check out in seconds, they will keep gravitating toward OTAs — regardless of how many exist.

Another mega-OTA doesn't fundamentally change the economics of hotel distribution. Hotels will continue to face high acquisition costs, increasing commoditization and unauthorized rate distribution unless they focus on direct channels.   

Airbnb entering the mix only concentrates even more consumer attention into a handful of platforms.

So… Do Hotels Need Another OTA?

No. But hotels do need what OTAs consistently provide: superior merchandising, seamless UX, transparent comparison, and an ability to convert undecided travelers at scale.

Instead of fearing another mega-OTA, the industry should interpret this as a signal:
your distribution strategy cannot be built on resisting intermediaries; it must be built on making the direct channel as competitive. If hotels modernize their direct channels and use intermediaries strategically rather than reactively, the rise of another OTA becomes a manageable shift instead of a threat.

Here's a handy list of what hotels need to do:

1. Transform the Brand Website From "Booking Engine" to "Retail Platform"
2. Create OTA-Level UX and Conversion Design
3. Embed Loyalty at the Point of Sale, Not Afterward
4. Strengthen Direct Demand Generation including brand website, call center and channels like GDS that are loyalty accretive and bring high quality travelers
5. Improve Price Governance and Rate Parity With Automation
6. Treat Direct Booking as a Profit Engine, Not a Cost-Saving Tool
7. Start thinking about how consumer search is changing with the advent of Gen AI models and how will hotels be searched and booked in the new world.