Expedia Group released new global research showing that full connectivity is a decisive performance differentiator for hotel properties, driving revenue, maximizing operational efficiency and delivering reliable inventory.
Based on insights from 1,500 hotel decision-makers across six markets, the study examines how different levels of connectivity software adoption—full, basic or none—affect workload, channel performance and perceptions of value. Findings from independent hotels, franchise properties and mid- to large chains indicate that properties using a full suite of connectivity report stronger business performance, less friction and greater confidence.
“As booking channels proliferate, travel distribution is becoming increasingly complex, and hoteliers using connectivity providers and API capabilities can automate workflows, streamline operations, reduce pressure on their teams and improve profitability,” Chris Hodges, vice president of global connectivity and partner solutions, Expedia Group, said in a statement. “Our goal is to continue removing friction from travel distribution by developing APIs that address the most critical needs of our hotel partners and connectivity providers.”
A Profit Driver
Eighty-one percent of fully connected properties say connectivity has improved occupancy, average daily rate or revenue per available room, compared to 52 percent of properties using basic connectivity.
Eighty-three percent of fully connected properties believe better connectivity improves their bottom line, versus 55 percent with basic connectivity and 26 percent of unconnected properties.
Cuts Friction, Saves Time
Eighty-one percent of decision-makers at fully connected properties say working with a connectivity provider reduces both friction and manual work, compared to 49 percent of those using basic connectivity.
Roughly 74 percent of unconnected properties report completing tasks on online travel agencies either partially or entirely manually, while about half of fully connected properties say OTA tasks are fully or mostly automated.
Improves Control, Reduces Risk
Ninety-five percent of fully connected properties say they are confident that rate and availability changes are reflected across all channels within 15 minutes, compared to 90 percent of properties with basic connectivity and 80 percent of unconnected properties.
Unconnected properties are more likely to face operational issues, including overbookings caused by mismatched availability, reported by 14 percent, and delayed or missing reservations in property management systems or front office systems, cited by 9 percent.
Barriers to Adoption
Thirty-two percent of hotel decision-makers cite concerns about losing control over pricing or inventory as the top reason for not adopting connectivity software.
Meanwhile, 27 percent plan to adopt connectivity but have not yet done so, and 25 percent point to limited internal IT resources or technical expertise as their primary barrier. Notably, 24 percent say they do not see sufficient benefit.
To address these challenges, Expedia Group is rolling out a three-phase approach to support hotels on their path to full connectivity through its Autonomous Distribution initiative.
Autonomous Onboarding aims to enable properties to onboard and go live in minutes. Autonomous Management is designed to streamline daily operations through software, while Autonomous Optimization focuses on improving performance through promotional tools and expanded distribution capabilities.