Brand hotels have probably done a better job at implementing rate parity across their thousands of hotels. Even then, rate parity is just not that easy to implement and control. Smart asset owners and managers devoted very little time to this clause in their OTA contract. Instead they focused on getting the most out of the OTA’s and building their direct revenue. On the opposite end of the spectrum were people who ran around in circles worrying about maintaining parity like it was life and death. Just recently I had to console a very concerned Director of Sales who would freak out every time he looked at the rate plan, yelling “What about rate parity?” Rate parity is, and never will be, a “gun to the head” for hotel revenue managers or owners. Rate parity has not prevented independent assets from building direct revenue, nor does its demise automatically supercharge their revenue. I’ve worked on asset turnarounds totaling over $1.5 billion over the last decade; rate parity has never once been a factor that kept us from reaching our revenue goal. It’s actually pretty simple. Hotel and lodging business managers who have not 100% outsourced their reading, learning and critical thinking are profitable today, and will stay profitable when the rate parity clauses go away. Rate parity, whether it’s in place or not, doesn’t override the many other important decisions that drive profit. Get the full story at Vikram Singh