Tour & Activity Operators Discuss the New Reality of OTAs

by | Nov 7, 2018

“It’s not 20-30% of revenue. We the supplier base need to stop thinking about revenue, we need to start thinking about profit. I understand numbers and 20-30% going to the OTA, that’s over 50% of the gross profit. That’s unsustainable if you’re running a business that loses the majority of distribution to the OTAs.” – Peter Syme of 1000 Mile Journeys

Peter Syme of 1000 Mile Journeys

Left to right: Alex Kremer of Arival, Will Obbard of Merlin Entertainments, Stephen Oddo of Walks, and Peter Syme of 1000 Mile Journeys

 

One of the toughest decisions Tour, Activity & Attraction operators are wrestling with is if and how to work with OTAs (online travel agencies such as TripAdvisor, GetYourGuide, Expedia, and Klook). They can bring a lot of customers, but is it worth the cost?  

There are no easy answers to these questions, but the Supplier’s Say panel below provides some great things to keep in mind if your company is asking these same questions.

Arival co-founder Alex Kremer sat down with Will Obbard of Merlin Entertainments, Stephen Oddo of Walks, and Peter Syme of 1000 Mile Journeys at the Arival conference in Las Vegas to dig into all things distribution and OTAs.  

Watch this provocative roundtable on where the industry is heading and how tour and activity operators should think about distribution.

 

 

 

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