The Tale of Two Counters: After the Booking, Where Hotel Revenue Is Really Won
I wrote about a common problem many hotels face in my last newsletter: they have high occupancy, but they rely too much on online travel agencies (OTAs).
It's simple, though: OTAs clearly help people find hotels, but fighting this reality won't help your profit.
Today, I want to discuss what I see happen after a guest books a room.
Last week, I watched a guest check in who had booked through an OTA. The process was fast, but it was purely transactional and offered no upsells or engagement. A few hours before that at the airport, I was offered a discounted business class upgrade, and when I declined, they offered me a better seat than the one I had. Both experiences involved routine interactions and long lines, but only one was set up to encourage upselling.
I attend many meetings about hotel operations where we talk a lot about where bookings come from. But we rarely discuss what the hotel does once the guest has already confirmed their room.
If a booking is made, people assume the job is finished. But the chance to earn more revenue has just begun.
The Pre-Arrival Window
Once a guest books, there is a specific time before check-in. This is when guests plan their stay, and they are open to making more purchases.
If hotels connect with guests during this phase, it’s easier to generate extra revenue. But if they fail to engage, this opportunity disappears quickly.
Data shows that pre-arrival messages sent 7 to 12 days before check-in work best, with a second reminder closer to arrival. But good timing alone is not enough.
If the message is too general, guests will ignore it. But if the offer is clearly useful, guests will buy it.
Offers like early check-in, airport transfers, dining reservations, or basic room upgrades are most effective because they save the guest time and effort.
Communication Is Changing
Email is still useful, but how guests respond to communication has changed.
In most hotels I work with, WhatsApp now performs better than email for all guest interactions. Guests read messages, they reply, and they use it to make transactions.
If hotels only use WhatsApp for customer service, they lose out on commercial potential. But if they use it for pre-arrival and in-stay communication, it becomes a powerful revenue tool.
At the same time, AI-driven systems are becoming much more useful. They are not meant to replace staff, but to handle routine tasks and decisions that do not require a person's judgment.
This technology is not something for the future; parts of the industry are already using it.
The OTA Guest Conversion Question
OTAs will continue to bring first-time guests; this will not change.
What matters most is whether the hotel takes control of the guest relationship during their stay.
If the hotel does not collect direct contact details, it cannot communicate with the guest later. But if the hotel uses WiFi login, front desk verification, or simple touchpoints during the stay, the hotel gains much better ownership of the guest data.
Many hotels struggle here, not because they don't want to succeed, but because they don't have the right process in place.
After Checkout Still Matters
Checking out should not be the end of the relationship.
If the hotel follows up with a well-planned post-stay process, repeat bookings will naturally increase over time. A simple three-step process works:
- Send a feedback message right after the guest leaves.
- A few days later, remind them about the benefits of booking directly.
- Send a specific offer when they are likely to be planning their next trip.
If this process is automated and consistent, the need for OTAs will decrease naturally.
The Takeaway
Your distribution plan is not finished the moment a booking is made.
If hotels want to control their future, they must focus on what happens before arrival, during the stay, and after checkout.
OTAs generate demand, but hotels must build value for the guest.
The goal is not to immediately cut down on OTA bookings, but to intentionally increase the total value a guest brings to the hotel over their lifetime.
That is the only way to build steady revenue
Regards,
Geetika Bahri