There is a big confusion with what actual Ethical Tourism Policy is? By keeping this in mind T3FS speak with few of the tour operators who raise voice for this policy to let other knows what message they actually wanted to convey.
ETP is not against any portals or technology it’s not about online vs offline, many are confused, rightly so as industry is going through transit, purpose of writing this article is to clear all doubts, misunderstanding of members/industry, We want technology to be utilised for the benefits of all industry partners in fact ETP welcome technology & suggest all members to adopt the technology for its better use.
UNDER ETHICAL TOURISM POLICY all we are requesting our principals that is Hoteliers to stop only these few portals which are using their dominant position of having excess funds to under sell (Selling even below their purchased cost) B2C portals to have common display rates (selling Price) set by hotels. As many hotels could sense brand diluting by not getting the same profile of guests due to this under cutting of price by using different means of under cutting, discounted coupons, advertisement budgets etc.,
ETP is against “Predatory Pricing” which is illegal under CCI, (competition commission of India) Predatory Pricing' the act of setting prices low in an attempt to eliminate the competition. Predatory pricing is illegal under anti-trust laws, as it makes markets more vulnerable to a monopoly. Therefore Govt., allow 100% FDI for market place with riders of predatory pricing, these OTAs must regulate else purpose of ETP is to approach govt. & force regulation of such practices.
As of now it is a price war in our Industry, whereas the service standards have gone down drastically in the absence of respectable margins due to price war created by few OTAs. Market has become so vulnerable that news of defaulters & cheating has become very common which is not a good sign for any industry.
BENEFITS OF ETHICAL TOURISM POLICY TO INDUSTRY PARTNERS & CLIENTS.
- Brand value won’t be diluted, hotel will get clients as per hotel profiles.
- Client would be buying the hotel which he can afford, not just buying luxury hotel for cheap price & later regretting or not being able to avail other services of hotel due to high price at hotels.
- Hotel's ARR will increase as discounted rates are not displayed and offline operators & direct clients will not squeeze hotels for lower rates.
- Hotel's direct customers will not have any complaints from the hotels as display rates on portals will be higher than nett rates quoted to portals. This will result in gaining the confidence and enhancing hotels credibility amongst direct clients.
- It will bring back comfort & harmony among hotels, OTAs and offline operators