Key Takeaways

  • Booking.com's Connected Trip model, bundling flights, hotels, and activities, poses a significant threat to hotels' direct booking channels by turning hotels into package components.
  • Despite a decline in overall OTA reservation share (from 30% to 22%), the rate of packaged bookings has nearly doubled to 15%, driven by Booking.com's strategy to compensate volume loss with increased value.
  • Connected Trip leverages higher average basket values (up to €2,500), significant switching costs for guests, and superior data insights to enhance customer loyalty to the OTA ecosystem, not individual hotels.
  • Hotels face threats like price invisibility within packages, potential commission increases (up to 21% for packaged bookings), and the erosion of their loyalty programs.
  • A robust counter-strategy includes strengthening direct channel value propositions, creating proprietary hotel+activity packages, increasing metasearch investments, enhancing CRM, and optimizing revenue management based on channel-specific profitability.

OTA commission stacked bars per $180 booking: Booking.com $27 (15%), Expedia $32 (18%), Agoda $29 (16%), Direct $0. Commission rose, net cyan.
OTA commission stacked bars per $180 booking: Booking.com $27 (15%), Expedia $32 (18%), Agoda $29 (16%), Direct $0. Commission rose, net…
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<a href="https://otelciro.com/en/news/booking-com-connected-trip-direct-booking-threat-2026-strategy-guide"> <img src="https://cdn.sanity.io/images/1la98t0z/production/13e8d60baf062991db4bb5663360ee4dcab2a148-2400x1792.jpg" alt="OTA commission stacked bars per $180 booking: Booking.com $27 (15%), Expedia $32 (18%), Agoda $29 (16%), Direct $0. Commission rose, net cyan." width="800" /> </a> <p>Source: <a href="https://otelciro.com">OtelCiro</a> — AI Hotel Revenue Management</p>

Booking.com's New Weapon: Connected Trip

Booking.com has opened a new chapter in the travel industry with its Connected Trip concept, announced in 2023 and aggressively developed throughout 2025. Now, a guest isn't just searching for a hotel; they are combining flights, accommodation, car rentals, and activities into a single basket. This model poses a direct threat to the direct booking channel that hotels have been trying to grow for years.

The traditional OTA model was simple: the guest searches for a hotel, compares, and books. The hotel then pays a commission. However, Connected Trip completely changes this equation. The guest now plans their entire travel experience on a single platform, and cross-selling synergy turns the hotel into a package component.

What Do the Numbers Say?

The balance between distribution channels has shifted significantly in the last five years:

Metric202120242030 (Estimate)
OTA total reservation share30%22%18-20%
Direct channel market size$210B$320B$409B
OTA market size$195B$275B$333B
Packaged reservation rate8%15%25%+
Average OTA commission rate15%17.5%19-21%

Although OTA's total reservation share has decreased from 30% to 22%, the rate of packaged reservations has almost doubled. This is a concrete indicator of Booking.com's strategy to compensate for volume loss with increased value.

12-month stacked area chart. Booking.com shrinks 48→38%, Direct grows 14→26%, Expedia steady at 18%, Agoda at 10%, others 6-8%.
12-month stacked area chart. Booking.com shrinks 48→38%, Direct grows 14→26%, Expedia steady at 18%, Agoda at 10%, others 6-8%.
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<a href="https://otelciro.com/en/news/booking-com-connected-trip-direct-booking-threat-2026-strategy-guide"> <img src="https://cdn.sanity.io/images/1la98t0z/production/98be2328c1676371df246a752a227cdec7eb316c-2752x1536.jpg" alt="12-month stacked area chart. Booking.com shrinks 48→38%, Direct grows 14→26%, Expedia steady at 18%, Agoda at 10%, others 6-8%." width="800" /> </a> <p>Source: <a href="https://otelciro.com">OtelCiro</a> — AI Hotel Revenue Management</p>

Why Is Connected Trip So Powerful?

1. Basket Size Effect

When a guest books only a hotel, the average basket value ranges from €450-600. However, when flights, hotels, and activities are combined with Connected Trip, this value increases to €1,800-2,500. A larger basket means higher customer loyalty.

2. Switching Cost

When a guest creates their entire travel plan on a single platform, changing only the hotel risks disrupting the entire package. This psychological barrier can make the 5-10% price advantage offered by hotels via the direct channel meaningless.

3. Data Superiority

Through Connected Trip, Booking.com learns not only the guest's accommodation preferences but also their flight habits, activity interests, and budget allocation. This data depth provides a profiling power that hotels cannot achieve with their own CRM systems.

Concrete Threat Scenarios for Hotels

Scenario 1: Price Invisibility

In Connected Trip packages, the hotel price is often shown as part of the total package. The guest may not even see the nightly rate of the hotel. In this situation, the hotel's best price guarantee offered on the direct channel becomes meaningless.

Scenario 2: Commission Increase

The OTA's bargaining power increases for packaged reservations. A commission rate that is 17.5% individually can rise to the 19-21% range within a package. If a hotel refuses to be part of the package, it risks losing visibility.

Scenario 3: Loyalty Program Erosion

Booking.com's Genius program is already a strong loyalty mechanism. With Connected Trip, guests become loyal customers of the OTA ecosystem instead of hotel loyalty programs.

Counter Strategy: A 5-Step Action Plan

Step 1: Strengthen Your Direct Channel Value Proposition

Price advantage alone is not enough. Differentiators that should be offered on the direct channel include:

  • Guaranteed early check-in / late check-out
  • Priority room upgrades
  • Free cancellation flexibility (longer than OTA)
  • Personalization of the guest experience

Step 2: Create Your Own Package Experience

To counter Booking.com's packaging power, create your own hotel+activity packages with local experience partners. A Cappadocia hotel offering a hot air balloon tour, or an Istanbul hotel offering a Bosphorus tour package on its direct channel, creates a direct alternative to Connected Trip.

Step 3: Increase Metasearch Investment

Increase the visibility of your direct price on metasearch channels like Google Hotel Ads, Trivago, and TripAdvisor. When a guest sees the hotel price before searching for a package, the preference for the direct channel strengthens.

Step 4: Develop CRM and Personalization Infrastructure

The only way to counter the OTA's data superiority is to enrich your own customer database. Automate pre-stay, in-stay, and post-stay communication. Send personalized offers.

Step 5: Optimize Your Revenue Management Strategy Based on Channel

Analyze the true profitability of each channel. Compare the net profitability of a reservation coming through Connected Trip with that of the direct channel. Implement a channel-based pricing strategy to direct bookings to the most profitable channel.

What Should Your Distribution Strategy Be in 2026?

ChannelTarget ShareStrategy
Direct website40-45%Price parity + value addition
OTA (unbundled)20-25%Minimum share for visibility
OTA (Connected Trip)10-15%Selective participation, avoid high commissions
Metasearch10-15%ROAS-focused investment
Corporate / group10-15%Direct relationships

Direct booking KPI tile. '+86% YoY direct bookings' emerald headline with sub-rows: $47k commission saved, 5-month payback, 26% direct share.
Direct booking KPI tile. '+86% YoY direct bookings' emerald headline with sub-rows: $47k commission saved, 5-month payback, 26% direct…
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<a href="https://otelciro.com/en/news/booking-com-connected-trip-direct-booking-threat-2026-strategy-guide"> <img src="https://cdn.sanity.io/images/1la98t0z/production/54ea3645a24032aa9247d1e92d92fc63020f3176-2048x2048.jpg" alt="Direct booking KPI tile. '+86% YoY direct bookings' emerald headline with sub-rows: $47k commission saved, 5-month payback, 26% direct share." width="800" /> </a> <p>Source: <a href="https://otelciro.com">OtelCiro</a> — AI Hotel Revenue Management</p>

Conclusion: The Threat is Real, But Manageable

Booking.com's Connected Trip model is a serious threat to the hotel industry. However, this threat is also an opportunity for hotels that strengthen their direct channels and implement a smart distribution strategy. Projections for 2030 show the direct channel reaching $409B and OTAs reaching $333B. Now is the time to act to make this balance work in your favor.

Can your revenue management software perform channel-based profitability analysis? Does your dynamic pricing strategy account for distribution costs? If you cannot answer "yes" to these questions, you are vulnerable to the Connected Trip threat.