Now a days there are lots of Online travel agencies in the Industry. Like agoda.com, make my trip.com, Booking .com, Expedia etc. are doing good in this field. From couple of months we are watching ads on television of Trivago. So basically I just want to know that Trivago is also an OTA or something else? And how they make money?
Basically Trivago is a global hotel search platform. Trivago does not book a hotel directly. They redirect the page to OTAs. Trivago also claims to help users get the best rates by comparing a million hotels across over 250 booking sites. However, users cant book via Trivago; they can only choose the hotel, after which theyre redirected to traditional online travel agencies (such as Priceline, Ctrip and Expedia).
If we talk about the revenue or how do they make money, The commissions from hotels listed on Trivago sites, which is called referral revenue. This revenue is earned when users click on a particular hotel from the search results. Hotels are charged based on a cost-per-click (CPC) basis, whereby booking sites pay Trivago for the clicks that users make on Trivago when selecting hotel booking deals.