81% of properties say connectivity has improved their ADR: Expedia Group
Representative Image_AMARIS Grace Bay, LXR Hotels & Resorts
83% of fully connected properties believe better connectivity improves their bottom line, compared to 55% with basic connectivity and 26% of unconnected properties.
Expedia Group released new global research showing that full connectivity is a decisive performance differentiator for hotel properties in driving revenue, maximising operational efficiency, and delivering reliable inventory. Findings from independent hotels, franchise properties, and mid-to-large chains show that properties using a full suite of connectivity report stronger business performance, less friction, and greater confidence.
According to the report, 81% of fully connected properties say connectivity has improved their property’s occupancy, average daily rate (ADR), or revenue per available room (RevPAR). 52% of properties relying on basic connectivity say that technology has improved their occupancy, ADR, or RevPAR. 83% of fully connected properties believe better connectivity improves their bottom line, compared to 55% with basic connectivity and 26% of unconnected properties.
Connectivity helps hotels cut friction and save time. 81% of decision makers from fully connected properties say working with a connectivity provider has reduced both friction and manual work, compared to 49% of properties using basic connectivity. Roughly 74% of unconnected properties report doing tasks on OTAs either partially or entirely manually. Approximately 50% of fully connected properties have tasks on OTAs fully or mostly automated.
Study of 1,500 hotel decision-makers across six markets finds that full connectivity – not just basic connectivity – drives stronger revenue performance, less manual work and lower operational risk. Based on insights, the research examines how different levels of connectivity software adoption – full, basic, or no connectivity – affect workload, channel performance, and perceptions of value.
“As booking channels proliferate, travel distribution is becoming increasingly complex, and hoteliers using connectivity providers and API capabilities can automate workflows, streamline operations, reduce pressure on their teams and improve profitability,” said Chris Hodges, Vice President of Global Connectivity & Partner Solutions, Expedia Group. “Our goal is to continue removing friction from travel distribution by developing APIs that address the most critical needs of our hotel partners and connectivity providers.”
95% of fully connected properties feel confident that rate and availability changes are made across all channels within 15 minutes, compared to 90% of properties with basic connectivity and 80% of unconnected properties. OTA issues for unconnected properties: 14% are more likely to experience overbookings caused by mismatched availability, and 9% are more likely to experience reservations not being delivered or delayed in their PMS or front office system.
Perceived barriers preventing hotels from adopting connectivity. 32% of hotel decision-makers say concern about losing control over pricing or inventory is the top reason they haven’t adopted connectivity software. 27% have plans to adopt connectivity but have not done so yet, and 25% cite limited internal IT resources or technical expertise as their main barrier to software adoption. Notably, 24% of hoteliers do not see sufficient benefit in connectivity.
Expedia Group is embarking on a three-phase journey to reduce friction in hotels' day-to-day operations through Autonomous Distribution. Each category will unlock a different layer of support: Autonomous Onboarding will enable properties to onboard and go live in minutes; Autonomous Management will streamline day-to-day operations through software; and Autonomous Optimisation will improve performance through promotional levers and expanded distribution.
