Direct channel trends in hotels in Latin America for 2024

News

December 4, 2024

According to a recent report by Phocuswright, the direct channel landscape in the Latin American hotel industry is rapidly evolving, driven by a combination of technological innovation, changes in consumer behavior, and a growing adoption of digital strategies. In this context, it is essential for hoteliers to adapt to these trends to maximize profitability and compete effectively in a transforming market.

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1. Accelerated growth of online bookings

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In 2023, online bookings in Latin America reached a growth of 32%, representing 47% of market transactions. By 2027, digital bookings are expected to reach 50% of sector revenue. This highlights the importance of strengthening direct channels, such as websites and booking engines for hotels. For hoteliers, investing in platforms that prioritize user experience and loading speed (less than 0.7 seconds on mobile, for example) can make a big difference.

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2. Mobility as a central axis

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Mobile has become the predominant device for online bookings. In 2023, direct bookings from mobile devices reached 2.7 billion dollars and are expected to triple by 2027.

Hoteliers who optimize their websites and booking engines for mobile devices will not only increase conversions, but also strengthen customer loyalty by offering a seamless experience.

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3. Focus on personalized and loyalty strategies

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Latin American consumers value personalized experiences. Loyalty programs that integrate CRM technology and personalization tools are gaining traction.

These allow hotels not only to retain customers but also to increase the value of each booking, with increases of 35% in direct revenue observed in recent implementations.

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4. The rise of artificial intelligence (AI) and automation

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Hotels are betting on artificial intelligence to offer personalized recommendations, dynamically adjust prices, and manage internal operations. Tools such as chatbots and automated booking assistants are being rapidly adopted to offer 24/7 service and improve the customer experience.

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5. Metasearch engines and digital payments

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Integration with metasearch engines and the adoption of advanced payment solutions are key elements to boost direct bookings. Roiback, for example, has shown how these strategies can reduce cancellations by 37% and increase the conversion rate by 15%.

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6. Sustainability as a competitive differentiator

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With greater environmental awareness among travelers, sustainability initiatives are influencing booking decisions. Hotels that implement sustainable practices will not only attract a more conscious audience but also strengthen their market positioning.

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Conclusion

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Latin America is at an inflection point in the digitization of its hotel industry. Adapting to direct channel trends is not only a necessity but also an opportunity for hotels to increase their competitiveness and maximize their profitability.  

From optimized booking engines to personalized strategies, hoteliers who adopt these tools will be better positioned to take advantage of the projected market growth, which will reach $95.8 billion in 2027.

At Roiback, we are committed to empowering our partners' direct channel with leading technological solutions, digital marketing strategies, and loyalty tools that guarantee measurable results.

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‍‍Contact us to transform the future of your hotel!

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