🛰️ Yoann FERRAND & Mirai found out that the implementation of the Digital Markets Act (DMA) by Google has led to a significant decline in clicks and bookings for hotels using Google Hotel Ads in affected European Union (EU) markets.
The changes, aimed at addressing self-preferencing practices by digital gatekeepers, have altered how hotel offers are presented in search results.
Before the DMA implementation, Google’s search results displayed hotel offers integrated with services like Google Maps, providing users with a clear and intuitive experience.
However, with the DMA in place, hotel visibility has decreased, leading to a 30% drop in clicks and a 36% decrease in direct bookings.
These changes have increased hotels’ reliance on intermediaries, impacting profitability.
The DMA regulations prohibit gatekeepers like Google from favoring their services over third-party offerings in search results.
Consequently, the presentation of hotel offers to users in DMA markets has become less organized and user-friendly.
The implications of the DMA for hotels include reduced visibility, profitability, and increased dependence on intermediaries.
The EU’s efforts to create a fairer market are affecting hotels’ ability to conduct direct sales and maintain independence.
The possibility of Booking.com being designated as a gatekeeper further complicates the situation.
