Booking and Expedia dominate 85% of Europe’s OTA market

A study by the hospitality organization HOTREC reveals a high level of market concentration within Europe’s Online Travel Agency (OTA) sector. Booking Holdings and Expedia Group together control approximately 85% of the OTA market, with Booking Holdings alone accounting for nearly 70% of European OTA bookings.

While direct bookings through hotel websites, email, telephone, and walk-ins remain the most common method at 51.3%, their share has declined from 57.6% in 2013. Conversely, the share of bookings made via OTAs has risen to 29.9%.

The report highlights several challenges for European hotels, particularly small and medium-sized enterprises (SMEs). These include an increased dependency on a few major platforms and issues with pricing. Approximately 51% of surveyed hotels reported that OTAs frequently or occasionally undercut their prices. Additionally, 44% of hotels reported instances of multi-sourcing, where OTAs redistribute prices or availability to other platforms, potentially leading to inaccurate information and reduced control over inventory.