👉 The more, the better… as long as they’re controlled.
📘 What are Sales Channels?
Sales Channels are the different platforms and intermediaries through which a hotel sells its rooms and services.
These may include:
- Direct website
- OTAs
- GDS
- Tour operators
- Travel agencies
- Telephone and walk-ins
They shape how and where your inventory reaches the market.
📊 Formula of Sales Channels
Not a mathematical formula, but strategically analysed through:
Channel Mix = Revenue per channel / Total revenue
✅ Why are Sales Channels important?
- They determine distribution strategy and profitability.
- They influence commission costs and dependency levels.
- They impact visibility and brand positioning.
💡 Practical example of Sales Channels
A hotel distributes its sales as follows:
40% OTA, 35% direct website, 25% corporate/GDS.
🔄 Disambiguation of Sales Channels
- Sales Channels vs Market Segmentation: A channel is where you sell; a segment is who you sell to.
- Sales Channels vs Channel Mix: Channel Mix refers to the strategic proportion between channels.
In summary: Sales Channels define where your revenue comes from.