For travelers, planning a vacation can be a lot of work. To save time and money, more travelers are turning to metasearch platforms like Google Hotel Ads, Tripadvisor, and Trivago to search for hotels, conduct price comparisons, and find deals.
And yet, many hotels overlook metasearch in their digital marketing strategy, missing out on opportunities to reach a broader segment of travelers, compete for business with online travel agencies (OTAs), and drive direct bookings.
This guide aims to take the mystery out of metasearch marketing for independent hotels and other types of lodging properties.
Read on to learn more about what metasearch is, how metasearch sites differ from OTAs, and how to implement a hotel metasearch strategy that increases your online presence, generates more bookings, and earns higher profits.
But first, listen to Filippo Fasolo, Product Manager at Cloudbeds, discuss what exactly metasearch is during Passport 2024.
Watch the full session from Passport 2024.
What is hotel metasearch?
Although the concept of metasearch may be new to some hoteliers and hosts, it’s actually been part of the travel industry for over 20 years. Sometimes called “a search engine for search engines,” a metasearch platform acts as an information aggregator.
In the case of hotels, a metasearch engine aggregates hotel information and rates from a variety of online distribution channels and displays them all in one place. This enables trip planners to compare hotel booking options without having to visit every site.
The most popular metasearch platforms in the hospitality industry include Google Hotel Ads, Tripadvisor, KAYAK, Trivago, Hopper, and Skyscanner. Some metasearch sites also aggregate information for flights, car rentals, and activities, allowing travelers to plan an entire trip from one travel site.
How do hotel metasearch engines work?
Most metasearch sites operate in a similar way. Upon arriving on the platform, the potential guest is prompted to enter a destination and the desired travel dates. Much like with OTAs, the search results then display a list of available hotels and rates in the destination.
When potential guests click on a hotel, a listing appears, showing hotel information, photos, and traveler reviews, along with rates and availability pulled from a variety of booking sources. Some listings may display rates for several room categories, while others may display only the best available rate. Additional booking details may also be provided, such as the cancellation policy, amenities, and inclusions like free breakfast or Wi-Fi.
To make a booking, the user can click on one of the links and will be taken to the booking source to complete the reservation. On some metasearch sites, users may also have the option to book the hotel without leaving the site.
Booking links on metasearch platforms are typically dominated by OTAs like Booking.com, Expedia, Travelocity, and Hotels.com, but other intermediaries like Tripadvisor and KAYAK may also be listed. If a hotel advertises on the metasearch site, its rate and a link to its website booking engine will be displayed along with the other links, representing the only direct booking option.
Hotel metasearch vs. online travel agencies
So, what is the difference between metasearch sites and online travel agencies? The main difference is that OTAs provide room rates and booking capabilities for only one booking channel – their own – whereas metasearch sites display rates for multiple booking channels – sometimes up to twenty or even more.
If the hotel is maintaining rate parity, there shouldn’t be a lot of difference among the room rate offerings across booking sites. In reality, however, there are often significant variances, and the site that offers the lowest rate typically receives the most clicks. To attract bookings, advertisers often try to undercut one another, even by just a dollar or two.
Another key difference between metasearch sites and OTAs is the booking model. OTAs work on a commission model, typically charging hotels a percentage of the total booking value (room rate + taxes and fees). Metasearch engines, on the other hand, work on a cost-per-click business model (something we’ll discuss in more detail below).
What is hotel metasearch marketing?
Metasearch marketing is the use of metasearch engines by hotels as an advertising channel to increase exposure, build awareness, and attract bookings. Metasearch advertising places a hotel or destination in search result listings and includes real-time room rates and a direct link to the hotel’s website. Depending on the site, hotels may also be able to add marketing messaging such as free cancellation or complimentary breakfast.
In addition to room rates, the order in which listings appear on metasearch platforms can also have a significant bearing on click volume. Typically, the higher the link is on the page, the more clicks it generates. So it’s not enough to be listed on a metasearch site; hotels also must compete with other advertisers to appear as high as possible in relevant search results.
When hotels don’t advertise on a metasearch site, a link to their website won’t appear or will be far down the list of options, resulting in the user booking their stay through one of the OTAs or other intermediaries listed. Not only does the hotel miss out on an opportunity to get a direct booking, but it must also pay a commission to the OTA if a booking results. This is a key reason why metasearch campaigns are an essential part of a well-rounded hotel marketing strategy.
Bidding on metasearch ads
Depending on the platform, hotels typically can choose between two metasearch payment models: cost-per-click (CPC) or commission-based. In the cost-per-click model, also called pay-per-click (PPC), the hotel pays a fee to the metasearch engine for every click that leads to its own website. The hotel bids for ad placements to compete with other advertisers for a higher ranking in hotel search results, setting a maximum CPC fee or budget. Generally, the higher the bid, the higher the ranking, but other factors may also be taken into consideration, such as the room rate, ad relevance, and landing page quality.
In the commission-based model, also known as cost-per-acquisition (CPA) or pay-per-stay (PPS), hotels pay a commission or a percentage of the room rate on bookings. With CPA, the advertiser pays a commission based on sales generated, not stays. This means the commission is due after a guest makes an online booking and is charged whether the guest cancels the booking or not.
Google’s move away from commission-based bidding
Prior to April 2024, hotels were able to choose between two metasearch payment models on Google Hotel Ads: cost-per-click (CPC) or commission-based. However, Google phased out the commission-based structure to “transition to more durable strategies that will help drive the performance needed to grow your business.” This likely refers to their investments in Performance Max for travel goals and target Return on Ad Spend (tROAS)
Note that existing commission-based strategies will still be supported until February 2025, but hotels will no longer be able to start new campaigns with this model (but will still have access to historical reporting data).
While the shift away from commission-based bidding can feel daunting for hoteliers since they are no longer guaranteed bookings from ad spend, there are some significant benefits to CPC bids, including:
- CPC fees are much lower per transaction than commissions
- CPC offers more flexibility and control over ad spend
- CPC has a higher return on ad spend
Hotel metasearch vs. hotel metasearch marketing
To summarize, hotel metasearch refers to platforms used by travelers to compare a hotel’s rates across booking channels. Hotel metasearch marketing refers to advertising on these platforms to generate awareness, clicks, and bookings.
The importance of metasearch marketing for independent properties
You may be wondering, why would I advertise on metasearch channels when I have free booking links? Ben Lloyd and Kent Schnepp answered this question during Passport 2023.
For independent hotels, hostels, inns, and other types of accommodations, metasearch marketing offers a number of advantages. This includes opportunities to:
Broaden your reach.
Metasearch is part of a healthy and diversified distribution strategy. The more channels your property appears on, the greater the visibility, the higher the awareness, and the more opportunities to generate reservations.
Increase revenue and profitability.
Travelers love hotel metasearch sites because they make it easy to compare rates from a variety of booking sources. For hotels, a metasearch strategy gets you in front of high-intent travel shoppers, with the potential to generate bookings at a lower cost than other distribution channels.
Compete with OTAs.
Metasearch engine advertising is crowded with OTAs. By listing on these platforms, your property will stand out from the crowd, attracting travel planners away from OTAs and generating lucrative direct bookings.
Own the relationship.
Unlike OTA bookings, direct bookings allow you to collect guest contact information at the time of reservation. You can start building relationships with guests right away using automated email communications like booking confirmations and pre-arrival messages.
Upsell and cross-sell.
When travelers visit your website, you have more control over the booking experience. You can promote higher-category rooms, packages, and amenities that may not be available on OTAs, as well as additional on-property services like the restaurant, bar, retail, spa, and activities.
Target active trip planners.
Because metasearch ads are displayed only if your property has availability on the chosen dates, you don’t pay for clicks for dates when your hotel rooms aren’t available, as can happen with other advertising channels.
The 8 best hotel metasearch engines
To help you decide where to list, here’s an overview of the most popular metasearch websites in the hotel industry today.
1. Google Hotel Ads
According to Skift, Google accounts for 67% of all metasearch spending, and that means it should be your top priority. Further, Google Hotel Ads (GHA) are integrated into Google Search results, Maps, and Google My Business Profiles, providing unrivaled exposure for your brand. Whether or not you invest in GHA, you should take advantage of the free booking links offered by Google.
2. Tripadvisor
Launched in 2000, Tripadvisor is one of the original metasearch platforms. Today, it’s one of the most popular travel sites in the world and serves as an essential source of traveler reviews. Tripadvisor offers a number of advertising options for hotels, including its TripConnect cost-per-click program, a commission model called Instant Booking, and Sponsored Placements. Although TripAdvisor launched Instant Booking in 2014, booking activity is still relatively low on the site, and most hotels opt for the CPC model.
3. Trivago
Launched in 2005 and purchased by Expedia Group in 2012, Trivago now works with more than 180 OTAs around the world. The site offers a cost-per-click model, in which the hotel is charged the amount it bids for each click, and a cost-per-acquisition model, in which the hotel pays a predefined percentage on the value of bookings. With either model, when users click on the advertised rate, they are directed to the hotel’s website to complete the booking.
4. KAYAK
Another one of the original metasearch channels, KAYAK, first appeared in 2004 and was purchased by Booking Holdings in 2013. Today, the company operates seven brands, including HotelsCombined, and works with more than 60 international sites in over 20 languages.
5. Wego
Formerly Bezurk, Wego is a travel metasearch site based in Singapore. The site operates in 76 countries and in over 22 languages but is most popular in the Asia Pacific and MENA (the Middle East and North Africa) regions, where it is the #1 travel app for IOS and Android devices. Wego allows users to shop and compare flight and hotel prices from over 700 travel sites.
6. Skyscanner
Founded in 2003 in Edinburgh, Scotland, Skyscanner was acquired by Shanghai-based Trip.com Holdings in 2016. Today, Skyscanner is used by 100 million people per month in 52 markets and is available in over 30 languages. Launched in 2014, the Skyscanner Hotels service has grown to become a global sales platform for hotel brands and OTAs.
7. HotelsCombined
Founded in 2005 in Sydney, Australia, HotelsCombined was acquired by Booking Holdings in 2018. Today, HotelsCombined serves 17 million users per month in over 220 countries and is available in more than 42 languages. The platform aggregates hotel deals from numerous travel sites, providing users with a comprehensive comparison of hotel prices and reviews.
8. Hopper
Hopper was co-founded by Frederic Lalonde and Joost Ouwerkerk, both former executives at Expedia Group, in 2007. Today, Hopper serves millions of users worldwide and is available in multiple languages. The platform uses big data and price prediction algorithms to help users find the best deals on flights, hotels, and car rentals. In 2017, Hopper expanded its services to include hotel bookings, and in 2022, it launched Hopper Homes for short-term rentals.
6 hotel metasearch tips & strategies
To maximize your return on investment in hotel metasearch marketing, consider the following strategies:
1. Optimize your reach
Choose to work with metasearch channels that make the best fit for your property in terms of popularity, target markets, costs, and booking potential. Set a strategy, budget, and bidding parameters for each channel.
2. Manage rates
Strive to maintain rate parity across distribution channels. If OTAs offer lower rates than your direct rates, your advertising dollars will be wasted as most travelers will choose the cheapest channel. If your rates are being undercut by an intermediary, find out why and ask them to stop.
3. Diversify offerings
Rather than list only your cheapest rate, offer several room types and rate plans to appeal to a broader segment of travelers, along with add-ons and inclusions such as free cancellation, breakfast, or parking.
4. Optimize your listing
Much like OTA listings, metasearch listings should be complete and up-to-date with property information, descriptions, amenities, and quality photos. Compare your listings with other properties in your area to ensure your content stands out from competitors and update the information regularly.
5. Manage reviews
Some metasearch sites feature user reviews, whereas others aggregate reviews from other sources. In either case, your hotel’s rating and reviews will have a significant impact on clicks and conversions. Include metasearch channels in your reputation management efforts by monitoring and responding to reviews and using guest feedback to guide improvements.
6. Monitor performance
Keep a close eye on your ad spend, bids, clicks, and conversion rates across channels to ensure you’re generating the best performance possible within your allocated budget. If one channel is performing better than others, consider shifting more dollars to that channel.
What hotels need to get started with metasearch
If you’re listed on OTAs, you’re probably already listed on metasearch channels too. However, your listing may be inaccurate or incomplete. As a starting point, it’s a good idea to visit metasearch sites to create, claim, or update your listing. Note that some content on metasearch listings may be pulled from OTAs and other sources.
Selecting the right partners is another essential step. While some metasearch engines allow hotels to work with them directly, managing rates and availability on multiple channels can be time-consuming and prone to errors. This can lead to double bookings, overbookings, and missed booking opportunities. As a result, many independent hotels choose to work with only a limited number of distribution channels, but that means they’re missing out on revenue opportunities.
Most metasearch sites require properties to work through a connectivity partner, and that makes things easier for everyone. A connectivity partner can provide all the integrations you require as well as manage metasearch advertising campaigns and bidding on your behalf, saving you time and preventing costly errors.
Lastly, choosing the right tools will ensure you have the technological ecosystem that best supports metasearch marketing strategies. Key tools include:
A website booking engine integrated with your PMS or central reservation system (CRS) to drive direct bookings
A channel manager to easily manage pricing and inventory across multiple distribution channels
A revenue management system with a built-in rate shopping tool to monitor competitor rates and ensure optimal price positioning at all times
Cloudbeds Digital Marketing Suite
The Cloudbeds platform offers these tools and more. A proud connectivity partner with Google, Tripadvisor, and other metasearch sites, Cloudbeds has the functionality to help increase your visibility and direct bookings.
In addition to being a connectivity partner, we’ve developed a comprehensive performance dashboard and integrated campaign management functionality to help hotels manage their metasearch CPC ad spend within the PMS.
This easy-to-use platform is designed for hoteliers to flexibly set and adjust their daily budgets, enhance visibility on metasearch engines, monitor performance in real-time, and receive data-driven recommendations – all within one unified platform.
Design and implement a successful metasearch strategy with Cloudbeds.
