Expedia's Secret B2B Play: Europe's OTA Shift [2026 Strategy]

Key Takeaways

• Expedia Group is challenging Booking.com's European dominance through a "backdoor conquest" B2B strategy, acting as an infrastructure provider rather than a direct B2C competitor.
• Expedia Partner Solutions (EPS) leverages partnerships with airlines (Ryanair), fintech (Revolut), and loyalty programs (British Airways Avios) to access new customer segments.
• The Digital Markets Act (DMA) provides Expedia with regulatory arbitrage, allowing more flexible pricing for hotels compared to Booking.com, which is classified as a "gatekeeper."
• Expedia's investment in high-margin verticals like the experience economy and travel fintech can boost average basket values by 40-60% for hotels.
• Turkish hotels can benefit from this shift through multi-channel access and package sales, reducing Booking.com dependence, but should be aware of risks like brand invisibility and data ownership.

What is Expedia's "Backdoor Conquest" Strategy?

For years, the European hotel distribution market has been undeniably dominated by Booking.com. Booking Holdings controlled approximately 65% of online bookings on the continent, making hoteliers almost entirely dependent on a single platform. However, in the 2025-2026 period, Expedia Group launched a silent but strategic move, shifting into the role of an infrastructure provider instead of directly fighting on the consumer front.

This strategy is an approach sector analysts call "backdoor conquest." Rather than directly selling its own brand to consumers in Europe, Expedia is building the technology infrastructure that enables other companies to sell travel products. Dozens of major brands, from Ryanair to Revolut, British Airways to Mastercard, are actually selling hotels using Expedia's inventory and booking engine.

Related reading: Booking.com's Fortress vs. Expedia's Ecosystem: Backdoor Conquest in the European Travel Market

Anatomy of the B2B Infrastructure Move

To understand Expedia's strategy, one must examine the numbers. In the traditional B2C model, Expedia lagged behind Booking.com in Europe. However, the picture is completely different on the B2B front:

Expedia Partner Solutions (EPS)

EPS is the heart of Expedia's B2B arm. Through this infrastructure, airlines, banks, fintech companies, and retailers can sell hotels on their own platforms:

Thanks to these partnerships, Expedia gains access to customer segments that Booking.com has never reached. A traveler booking a hotel through the Ryanair app technically uses Expedia's infrastructure — but never encounters the Expedia brand.

Regulatory Arbitrage: The DMA Advantage

The European Union's Digital Markets Act (DMA) classified Booking.com as a "gatekeeper." This regulation has restricted Booking.com from imposing rate parity on hotels. Expedia, by remaining outside this classification, has more flexible room to maneuver.

Hotels that understand the impact of the DMA on pricing freedom can turn this regulatory loophole into a strategic advantage. Being able to offer different pricing on the Expedia channel provides significant flexibility in hotel margin management.

Related reading: Hotel Channel Management Guide: How to Maximize Revenue from OTAs

High-Margin Vertical Sectors: Experiences and Fintech

The second pillar of Expedia's B2B strategy is investment in high-margin vertical sectors beyond accommodation. Two areas, in particular, stand out:

Experience Economy

Expedia is growing aggressively in the activities and experiences market. In 2025, experience booking revenues increased by 35%. This doesn't just mean tour sales — it means upselling opportunities linked to hotels. A hotel can offer an accommodation + hot air balloon tour + wine tasting combination through an Expedia package, thereby increasing the average basket value by 40-60%.

Travel Fintech

Expedia is transforming its payment infrastructure into a revenue center. "Buy now, pay later" (BNPL) models, travel insurance, and dynamic currency conversion services create additional layers of revenue with each booking. While Booking.com's average commission rate is around 15%, Expedia's total revenue model ranges between 15-30% — but a significant portion of this additional revenue comes from fintech services, not from the hotel.

Impact on Hotels: Opportunity or Threat?

This strategic shift presents both opportunities and risks for Turkish hotels:

Opportunities

• Multi-channel access: Visibility on dozens of channels like Ryanair, Revolut, and British Airways with a single Expedia integration.
• Package sales advantage: Flight + hotel packages ensure high occupancy, especially for Turkish hotels in holiday destinations.
• Reduced Booking.com dependency: A second strong channel increases your bargaining power.
• Pricing flexibility: Dynamic pricing possibilities due to remaining outside the DMA classification.

Risks

• Brand invisibility: On partner channels, the Ryanair or Revolut brand might be more prominent than your hotel's brand.
• Commission complexity: Calculating the true commission rate for reservations coming through B2B layers becomes more difficult.
• Data ownership: Guest data from Expedia's B2B channel often remains with the partner.

Related reading: Expedia vs Booking.com 2026: Which is More Profitable for Hotels?

How to Navigate Both Platforms

When defining your 5 channel optimization strategies, it is critical to position the Booking.com and Expedia ecosystems as complementary. Here's a practical framework:

Weighting by Hotel Type

• City hotels (Istanbul, Ankara): Booking.com 50%, Expedia ecosystem 25%, direct channel 25%
• Resort hotels (Antalya, Bodrum): Expedia packages 35%, Booking.com 30%, direct channel 35%
• Boutique hotels: Direct channel 50%, Booking.com 25%, Expedia 15%, niche OTAs 10%

Importance of Channel Management Tools

A multi-platform strategy requires advanced channel management infrastructure. OtelCiro's Sales Ecosystem allows you to manage Booking.com and Expedia inventory from a single panel, enabling parity control, dynamic pricing, and performance comparison.

Special Consideration for the Turkish Market

Turkey is an particularly attractive market for Expedia's B2B strategy. The reasons are:

• Charter flight volume: More than 30 million charter passengers come to Turkey from Europe annually, and a large portion of these passengers purchase package holidays.
• Price sensitivity: Price elasticity is high in the Turkish market; Expedia's BNPL and package offers cater to this segment.
• Airline partnerships: Low-cost carriers like Ryanair, EasyJet, and Pegasus are expanding their routes to Turkey.

Hoteliers following Booking.com's 2025 strategic changes should also put Expedia's B2B ecosystem on their radar to create a dual-sided strategy.

Frequently Asked Questions

How can I distinguish reservations coming from the Expedia B2B channel?

Reservations coming through Expedia Partner Solutions are shown in the extranet with source information. However, to track all B2B channels in detail, using an advanced channel manager is recommended. OtelCiro's reporting module separates and presents the true performance and net revenue contribution of each channel.

Should I completely abandon Booking.com and switch to Expedia?

Absolutely not. Dependency on a single OTA is the biggest mistake in distribution strategy. Booking.com is still Europe's highest-traffic accommodation platform. The correct strategy is to use both ecosystems complementarily and focus on increasing the share of your direct booking channel.

How does this change affect small and medium-sized hotels?

For small hotels, the Expedia B2B ecosystem creates both opportunities and challenges. Opportunity: Access to dozens of channels with a single integration. Challenge: Technological infrastructure is needed to effectively manage these channels. A cloud-based smart PMS system and integrated channel manager are essential tools to solve these challenges.

OtelCiro manages all your distribution channels, including Booking.com and Expedia, under a single Sales Ecosystem and analyzes the true profitability of each channel. To optimize your channel strategy, discover OtelCiro.