Technology, Not the DMA, Is Driving Change in Hotel Distribution

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As the European Commission reviews key aspects of the Digital Markets Act (DMA)—including how it intersects with emerging technologies such as generative AI and virtual assistants—the debate around regulation and technology in hotel distribution has entered a new phase.

For the hospitality industry, the question is no longer whether the DMA will change the landscape, but how technology is already doing so.

A Turning Point for Online Distribution

When the Commission designated Booking.com as a gatekeeper in May 2024, it marked the first time an online travel agency was placed under the obligations imposed on major digital platforms. These include stricter rules on transparency, data access, and the elimination of restrictive clauses.

The announcement was widely seen as the beginning of a fairer stage in hotel distribution—one that would rebalance the relationship between hotels and intermediaries.

Twelve months later, progress is visible. Yet data shows that the real driver of change has been technology, not legislation.

What the Data Tells Us

According to the World Parity Monitor by 123Compare.me, Booking.com’s Lose Rate—the percentage of times it displays a lower price than the hotel’s direct channel—fell from 20% in 2023 to 15% in September 2025 within the European Union.

Although Booking.com remains the only OTA formally recognised as a gatekeeper, other intermediaries in the region have shown a similar trend, albeit less pronounced. This suggests a domino effect, as market players anticipate further regulatory scrutiny and strengthen their own control mechanisms.

However, this improvement cannot be explained by regulation alone. It also reflects the ability of European hoteliers to adapt, monitor, and act. Those who consistently track their distribution partners, audit rates, and respond quickly to discrepancies are now enjoying a fairer and more efficient model.

Traceability has become a key competitive asset—helping hotels reduce revenue leakage, protect margins, and negotiate from a position of strength.

From Regulation to Control

Hotel distribution is evolving towards a model built on price integrity, where success is not about being visible on every channel, but about controlling the ones that truly deliver value.

This shift has been particularly evident in Spain, now one of Europe’s most stable parity markets.

The reason lies in a clear change of mindset. Spanish hotels have invested in technology, automation, and predictive analytics—not to increase complexity, but to reduce it.

Technology as an Enabler

Tools that provide real-time monitoring, automated alerts, and disparity detection have transformed how hotels manage distribution.
At 123Compare.me, we have seen first-hand how continuous use of solutions such as Magic Parity Tool, Find & Book, and Price Match allows hoteliers to correct disparities faster, optimise margins, and maintain competitiveness without sacrificing visibility.

By turning data into action, hotels have strengthened their control over the sales process and built more transparent relationships with OTAs—ones based on clear agreements and faster response times when deviations occur.

This has resulted in a leaner, more efficient distribution model, where the direct channel grows stronger without disregarding the advantages of working with online intermediaries.

The Challenges Ahead

While Booking.com continues to adapt its strategy to the DMA, new players are emerging—B2B networks, rate aggregators, and AI-powered platforms—that operate beyond the current scope of regulation.

These intermediaries function in low-visibility environments where control is harder to maintain and pricing rules are less defined.

At the same time, generative AI is reshaping how travellers search for accommodation. AI-driven assistants and metasearch engines no longer prioritise brands or channels, but context and price relevance.

This brings a new challenge: if algorithms reward “the lowest price,” the direct channel could lose visibility even when it offers a better experience.

The Next Phase of Competitiveness

The future of hotel distribution will depend on how effectively hotels can integrate their rates, content, and reputation into intelligent ecosystems where visibility depends as much on data quality as on price.

A year after the DMA designation, Booking.com still dominates the landscape—but its position is no longer untouchable. Legal actions in Europe and recent sanctions in Switzerland point to a broader movement towards transparency and accountability.

The DMA may have changed the rules, but it is hoteliers who are driving the change—leveraging technology to regain control and redefine competitiveness on their own terms.

In today’s market, fairness is no longer determined by regulation, but by data, insight, and speed of action.
That is the true frontier of parity in 2025.

The latest World Parity Monitor expands on these findings with detailed analysis of parity trends across Europe, highlighting Spain’s position as a leading market: https://123compareme.net/en/booking-price-parity/

The post Technology, Not the DMA, Is Driving Change in Hotel Distribution appeared first on Hotel Speak.


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