For many years, the industry has been focused on revenue optimization. Over time, the reservation acquisition costs have increased as hotels have seen demand shift to higher cost channels with more pressure on bottom-line performance.

There’s now a focus on collecting data to understand the impact of acquisition costs on profitability to support adjusting contracts with OTAs. This builds a basis for more profitable decisions in the short-term and more long-term channel-value-centric decisions when contracting with distribution channel partners.