Could Google’s Latest Test Help Hotels Reclaim Direct Bookings?

For years, hotels have faced an uphill battle against online travel agencies (OTAs) like Booking.com and Expedia. While these platforms bring visibility, they also demand high commissions and control pricing, making it difficult for hotels to drive direct bookings.

Now, Google is testing a major shift that could disrupt this status quo: prioritising direct booking links from hotel websites over third-party OTA listings. If rolled out widely, this change could give hotels more control – allowing them to set competitive rates, strengthen guest relationships, and reduce reliance on costly intermediaries.

For BON Hotels, this experiment couldn’t come at a better time.

New Freedom in Pricing, New Possibilities

This development follows another industry shake-up: in early 2024, rate parity rules were lifted in key markets like South Africa. Previously, these rules forced hotels to offer the same rates across all booking platforms, making it nearly impossible to incentivise direct bookings.

“Without rate parity, we finally have the flexibility to price competitively on our own channels,” says Jaques Coetsee, Group Director of Sales & E-commerce at BON Hotels. “Our direct bookings have always been our cheapest channel – and now, we can actively promote the best rates on our own website rather than being locked into OTA pricing structures.”

With Google’s potential algorithm change amplifying this newfound pricing freedom, hotels have a real opportunity to shift the balance in their favour.

Direct Bookings Go Beyond Price – They Improve Guest Experience

Cost savings are just the beginning; booking directly also means a better experience for guests.

“When travellers book through an OTA, they get a room – but not much else. Booking direct gives guests access to personalised service from day one,” says Jadine Venter, Head of Marketing at BON Hotels.

Guests who book directly often receive tailored perks like early check-ins, room upgrades, or local recommendations – advantages that OTAs don’t typically facilitate.

“OTAs are transactional. They process reservations, but they don’t build relationships. We do,” Jadine explains. “From the moment someone books direct, we can engage with them, offering upsells, personalised experiences, and a seamless stay from start to finish.”

For hotels focused on guest loyalty rather than just one-off stays, owning this relationship is crucial.

A Global Shift with Local Benefits

Beyond individual hotels, a shift towards direct bookings has broader economic implications. Right now, OTAs take a significant cut (often 15–25%) of every booking, with much of that revenue flowing to multinational corporations outside local economies.

“When guests book directly with us, more tourism revenue stays in South Africa,” Jadine points out. “That money goes back into staff development, community projects, and service improvements that enhance the guest experience.”

Hotels Must Act Now to Maximise This Opportunity

While Google’s experiment is still in the testing phase, the trajectory is clear: online search behaviour is evolving, and hotels that adapt quickly will have a major advantage.

To capitalise on this shift, hotels must ensure their websites are optimised for seamless direct bookings. This means:

• Providing a fast, user-friendly booking experience.

• Clearly highlighting why booking direct is better – whether through price guarantees, exclusive perks, or added flexibility.

• Strengthening digital marketing efforts to drive direct traffic.

Between the recent policy changes and potential shifts in search rankings, hotels have more control over their own bookings than ever before. For hoteliers ready to embrace these opportunities, the future looks more promising – and a lot more profitable.