What is Rate Parity, and How Does It Prevent Hotelsanddeals.com.au from Displaying Cheaper Book Direct Hotel Rates in Australia?

Rate Parity —it sounds like something fair and balanced, right? Well, in reality, it’s a tool used by Online Travel Agencies (OTAs) to prevent hotels from offering lower prices on their own websites. Crazy, right? In an era where the internet is supposed to empower businesses and consumers, OTAs impose restrictive contracts that keep hotels from undercutting them. If you’ve ever wondered why hotels don’t always advertise cheaper rates on their own websites—even though it makes sense for them to do so—this article will explain everything. What is Rate Parity? Rate parity is a contractual agreement between hotels and OTAs that ensures hotels offer the same price across all booking platforms, including their own websites. This means a hotel cannot advertise a lower price than the one listed on OTA websites like Booking.com, Expedia, Agoda, and others. OTAs claim that rate parity exists to provide a "fair and transparent booking experience" for travelers. In reality, it ...