Mysuru The Mysuru Hotel Owners Association has accused some hotel aggregators of creating monopoly in the country, which in turn has increased their high-handedness in dealing with the hoteliers.
At a meeting at the Association’s office in Krishnamurthypuram here yesterday, the Association President C. Narayanagowda threatened to boycott and dishonour bookings made through the hospitality aggregator OYO for ruining the pricing and profitability balance of the hotel industry.
Accusing the hospitality aggregator OYO of offering indiscriminate discounts, which has resulted in a drastic reduction in the average price, which in turn has increased operating expenses, Narayanagowda said that the hoteliers would dissuade their customers and clients from making bookings through the aggregator and instead encourage them to book directly with the hotels. However, in case of clients who have already made their booking through OYO, they were bound to honour them. But the Association will appeal the guests to approach the hotels concerned directly through their online portals, he pointed out.
Noting that there were 150 to 180 hotels and lodges in Mysuru across all segments, of which 105 lodges and hotels had tied up with OYO, Narayanagowda sought the intervention of the Government to resolve the issue.
At the meeting, the representatives and office-bearers of the hospitality sector said that in addition to hospitality aggregators and start-ups, Online Travel Agencies (OTAs) too had disrupted the market and together became one of the major sources of room booking, contributing up to 70 percent of the online business.
Releasing a set of demands, which included a restriction on the travel agents commission across the country, among others, Narayanagowda warned that the Association will ban hotel aggregators completely in Mysuru if the demands were not met.
Sooryah Prakasam Pokkali, President, Association of Indian Hotels and Serviced Apartments, Bengaluru, Hotel Owners Association Charitable Trust office-bearers Ravi Shastri, Subramanya Tantri, Ravindra Bhat, Raghavendra and others attended the meeting.
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This post was published on December 26, 2018 6:30 pm