Highlights

*Booking.com introduced changes to comply with the EU’s Digital Markets Act.

*Changes include removing parity clauses for EEA hotels and improving access to guest data.

*Measures grant hoteliers greater control over pricing, data, and guest engagement.

Introduction

Six months after it was named a “gatekeeper” under the European Union’s Digital Markets Act (DMA), Booking.com has unveiled major changes in the way it handles data and interacts with partners.

The move by the online travel agency to comply with the DMA has substantial implications for hoteliers in the EU, offering them greater access and control over guest data on the platform.

In this week’s VENZA Echo feature, we explore these changes and their impact on hospitality.

Overview

In May 2024, the European Commission designated Booking.com as a “gatekeeper” under the Digital Markets Act (DMA), a regulation aimed at ensuring fair competition and transparency in the digital marketplace.
This designation challenged Booking.com to implement significant changes within six months or face sweeping penalties. On 13 November, the global booking site revealed the measures it will take to comply with the DMA.

These include:

*Removal of Parity Clauses: Previously, Booking.com required hotels to offer the same or better rates on their platform. In compliance with the DMA, the company has removed these parity requirements for partners in the European Economic Area (EEA). This allows hoteliers to offer varied, even better, prices and conditions on their own websites or other channels.

*Enhanced Data Access: Booking.com improved partners’ access to data, launching new dashboards for attractions and car rental insight. Additionally, hotels and other travel services will have real-time and continuous access to data that they and their customers generate through Booking.com.

*Data Portability for Users: The global booking giant introduced a Data Portability Application Programming Interface, enabling users to access their personal data and transfer it to third-party platforms.

*Strengthened Data Controls: The company implemented stricter controls over personal data flows within its services, ceasing certain data transfers that would require user consent under the DMA.

Impact

These compliance measures carry substantial implications for hoteliers, offering new opportunities to strengthen their competitive position and improve guest engagement.

One key benefit is increased pricing flexibility. With the removal of parity clauses, hotels in the EEA can offer more competitive rates and exclusive deals on their own websites or other booking channels. This shift not only has the potential to drive direct bookings but also reduces reliance on Booking.com, empowering hotels to regain greater control over their revenue strategies.

In addition, access to real-time customer data provides deeper insights into travelers’ preferences and behaviors, allowing hoteliers to generate more targeted and personalized marketing for their guests.

Conclusion

By complying with the DMA, Booking.com provides hotels with enhanced transparency and access to guest data, reducing their dependence on the widely popular third-party booking site.

These changes underscore a broader shift towards greater autonomy and data-driven decision-making for hospitality, positioning them to thrive in a fairer and more transparent digital marketplace.

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