How to harness the power of online travel agencies (OTAs) for your attraction

How to harness the power of online travel agencies (OTAs) for your attraction

Today, many attractions and event brands partner with sites like Viator, GetYourGuide, Expedia and TripAdvisor to showcase their offerings and connect with visitors looking for unique experiences. In fact, there are over 700 listed OTA businesses in the UK alone, making it a billion-pound industry that shows no signs of slowing down in terms of growth.

Yet while OTAs often provide a new level of exposure, it's essential to strike a balance between leveraging these platforms and maintaining control over your own booking channels. 

This guide explores everything you need to know about OTA partnerships and how they can be used to unlock significant growth opportunities for your attraction.

What is an OTA?

An Online Travel Agency (OTA) is a digital platform or website that enables users to research, compare and book various travel-related experiences online. They effectively serve as a middle-man that connects businesses with a larger audience.

The reach of OTA services has evolved beyond travel bookings over the past decade and many platforms now also specialise in promoting and selling tickets for leisure activities, tours and attractions. They work by collating listings around the same geographical area, making it easy for users to browse and buy tickets from a range of nearby options.

Just as with direct marketing channels, OTAs typically offer detailed descriptions, images, reviews and ratings of attractions, helping users make informed decisions when planning their outings. 

Businesses are required to pay a service fee for partnering with an OTA. This fee is often calculated as a percentage of the booking subtotal and typically ranges between 10-30%. These commission rates should be reviewed carefully as part of a business’ wider pricing strategy to ensure they still maintain a healthy margin on ticket sales.
 

Benefits of OTAs

What are the benefits of using an OTA?

There are a variety of advantages to be gained by attraction operators that choose to partner with one or more OTAs, including:

  • Increased visibility – The convenience of scrolling through aggregated listings means that OTAs attract much more passing web traffic who might not otherwise be aware of an attraction. 
  • Customer reviews – OTAs typically feature customer reviews and ratings for attractions, providing valuable social proof and credibility for potential visitors. Positive reviews help build trust and confidence in the attraction brand, creating a snowball effect by encouraging more travellers to book tickets and visit the attractionAccess to a bigger audience – OTAs have a large customer base and extensive marketing reach, they can attract visitors from all over the country and beyond. This immediate access can be a big help to new attraction businesses that don’t have an existing reputation or customer base in that specific market – with one of our clients, Royal Liver Building, being a prime example.
  • Great for attractions in popular destinations – Many tourists use OTAs to scope out things to do in a particular location. Attractions in big cities or holiday hotspots can often benefit greatly by tapping directly into tourist demand for experiences.
  • Streamlined booking process – OTA platforms often benefit from having a significant budget to spend on UX design and conversion rate optimisation. This removes barriers to purchasing and results in a seamless booking experience which maximises sales.

Avoiding the pitfalls

Although partnering with OTAs can offer numerous benefits for attraction operators, it's also crucial to be aware of potential risks and challenges before signing any agreements. Make sure to carefully review and negotiate terms and conditions, including commission rates, cancellation policies and payment terms. 

One of the most common pitfalls is becoming over-reliant on OTAs for ticket sales, which can lead to reduced profit margins and loss of control over pricing. Businesses that fail to strike the right balance between OTA and direct sales may lose out on sales as a result, particularly if they already have demand through their own channels. A good workaround is to limit OTA involvement to a set percentage of your booking sales, retaining the rest for direct bookings.

Reviews are another potential risk factor. Positive ratings on an OTA platform can be a catalyst to drive sales, yet negative reviews can also leave a dent in your online reputation. With certain OTAs, it may not be possible to respond to or remove negative comments, which leaves your brand more vulnerable to reputational damage.

Operators should anticipate the extra admin and inventory management required to oversee bookings from multiple booking channels. That’s why many operators choose to invest in channel management, which is discussed in more detail later in this guide.

Choosing the right OTA

Choosing the right OTAs for your attraction brand

There’s no shortage of OTA options in today’s online marketplace, and knowing which partners are the right fit for your attraction isn’t always obvious. Different platforms have different advantages, so it pays to do your research to secure the most value. 

Here’s a quick selection of popular options for attraction operators based in the UK:

GetYourGuide – GYG is one of the biggest OTAs for attractions, receiving roughly 20 million hits per month. The site is renowned for its vast selection and user-friendly interface. Commission rates are between 20-30%.

Viator – Owned by TripAdvisor, Viator is one of the leading OTAs in the tours and attractions space. The site has over 140,000 bookable activities and over 450 million unique monthly visitors through Tripadvisor’s expansive distribution network.  Commission rates are set at around 20%.

Expedia – As one of the world’s largest OTAs, Expedia draws in millions of visitors every week. Despite gaining its reputation for travel bookings, the company’s local expert ‘Things to do’ section also attracts a lot of passing traffic. Commission rates vary between 10-30%.

Musement – Although it offers a smaller marketplace and traffic volume compared to other sites, Musement markets itself as providing access to highly engaged audiences, particularly for museums and other similar verticals. Commission fees range between 15-25%.

Tiqets / Klook – Tiqets is a popular OTA available in over 60 countries and 1,000+ cities. The company recently partnered with Klook to connect its supply channels, so visitors can now book experiences offered by either platform.  Commission rates are between 15-25%.

How to manage multiple booking channels

If you do decide to invest in OTA partnerships then you’ll likely end up with multiple booking channels to manage. It used to be that admissions and operations managers spent hours poring over spreadsheets and separate systems to keep their availability, capacity and inventory up to date with every ticket purchase.

Fast forward to today and reliable channel management software is an admission manager’s best friend. These systems seamlessly connect booking streams from direct sales, OTAs, social media and other channels, automatically updating availability in real-time whenever a purchase is made. 

Easy integration with OTAs simplifies the process and gives managers full visibility over all of their booking channels from a single, centralised platform. You can choose which tickets you want to expose to your chosen marketplaces, increasing your ticket sales potential exponentially. Automated processes also free up time previously spent on booking confirmations and manual emails.

Being able to dig into the data from different revenue streams is a big help when it comes to directing focus and investing more heavily in certain sources over others. Every business sees different results, so this information can help to highlight which channels are working better than others.

Need a hand with channel management

Need a hand with your own channel management?

The DigiTickets platform offers seamless integration with Experience Bank, an attraction channel management system that makes the task of managing OTAs and booking streams a breeze. The software offers instant connections to over 30+ distributors worldwide and has been designed specifically with attractions and activities brands in mind.

Feel free to get in touch with our friendly team for a no-obligation chat to discuss your challenges, or simply pop in your details below to request a free demo. We’ve partnered with many attraction and events businesses just like yours, so we’ll be able to point you in the right direction when it comes to getting the most from your OTA strategy.

Want to learn more?

Get in contact with us to discuss how we might be able to help.

Jamie
Posted By

Jamie Faulkner

Operations Director
8th April, 2024 - 6 Min Read


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Jamie
Posted By

Jamie Faulkner

Operations Director
8th April, 2024 - 6 Min Read


Keep up to date with the latest industry news & views. Sign up to our newsletter if you would like to receive our news direct to your inbox.
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