This is easier said than done, but it’s essential for hotel companies to try to negotiate the best possible commission rates they can from the OTAs, as Hilton and Marriott did last year. When Marriott and Hilton renegotiated their contracts, they got the OTAs to agree to lower fees and eliminated last room availability, also allowing them to offer lower rates to their loyalty members. Stephen Boyd, senior director and analyst for Fitch Ratings, said that he’s noticing commissions on a downward trend. “Commissions have been coming down for a number of years,” Boyd said. “They [OTAs] have been able to offset it from an earnings perspective by entering new global distribution systems, or increasing penetration. Expedia, for example, is lowering commissions on its own.” Get the full story at Skift