Hotel booking: Why is Agoda much cheaper than booking.com?

Hotel booking: Why is Agoda much cheaper than booking.com? - Black and Beige Book on White Bed Sheet

I noticed that Agoda.com often offers significant cheaper prices than booking.com when comparing prices (looking at the same hotel, same room type, same dates...).

I wonder why that is considering both are part of the same company (“Booking Holdings”).

Just to clarify, I’m comparing the total prices with tax and other costs included.



Best Answer

I run an Australian whitelabel booking site (Beat That Flight) that's mainly for flights, but also has hotels.

What's interesting when I look around at other sites is how much it varies.

While others have mentioned the illusion of choice with self-competing and merchant/agency, it's also worth noting that for many sites, we have different data sources for prices (I use a Russian data source!) and between us and the airline or hotel, there may be several layers of companies. These each might have their own promotions, group discounts, bulk purchase, loss leaders or commission rates that affect the final price shown to the consumer.

Similarly for hotels. However personally, I always try to check the hotel site directly - you often get a better deal if booking directly, and are more likely to be upgraded / have breakfast included / some other benefit in my experience when doing so.




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Why is Agoda cheaper than hotel website?

Agoda is a wholesale accomodation web site that has the clout and buying power to negotiate and buy hotel rooms in bulk and on a regular basis. This is why they can sell hotel rooms cheaper.

Why is Agoda cheaper than direct booking?

Having Low Prices Is Agoda's Competitive Edge Since its foundation in 2005, Agoda.com has strategically built its reputation as the place travelers go to find deals on accommodation. This reputation allows it to maintain relevancy while competing against major sites like Booking, Expedia and Kayak.

Is Agoda the same as booking com?

Booking.com is an online travel agency, meaning that travelers pay a hotel directly for a stay including a fee to an affiliate and Booking itself. Agoda combines a travel agency model (similar to Booking.com) with that of a wholesaler.

Is it better to book with booking com or with the hotel website?

You can often find better rates by booking directly, too \u2014 a concern for budget-conscious travelers. By calling a hotel directly, you find out about any specials perks or packages they have available. In some cases, you can get a better room for the same amount of money.



Agoda vs Booking.com I A User's Perspective I Safwat Solaiman: Travels and More




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