Value Investing Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Value Investing

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: A1111 who wrote (71773)	12/19/2022 10:53:33 AM
From: Elroy	Read Replies (2) of 78744

Booking.com has extreme networking moat because they provide the best and most services. Wrong! If i want to book three nights in the New York Hilton what exactly is booking.com's moat compared to JoeBlowHotel.com? If JoeBlowHotel.com is 10% less for the same room, I will use it instead of booking.com. Moats should actually exist, you shoulnd't just make them up. They have extreme SEO capabilities which attracts the most travellers. If travelers know that a harder to find OTA has better prices, they will make the extra effort and find the harder to find OTA. Think discount stock brokers. You buy a stock and you pay a commission, and the two are separate. This forced commissions down to zero over time. With travel booking you pay the same nightly rate on every site,. and then hidden from the customer the OTA takes some of the rate from the sale. That business structure hides the commission, and harms the hotel. Booking.com is not doing anything special, they are just hiding the commissions from the consumer, and then marketing themselves into the monopoly number one position. Booking.com's competitors cannot compete on price since it's forbidden in the hotel to booking.com contract to advertise a lower nightly rate. It stinks. and it's not good for business (it's just a commission taker).

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next