LAUSR

Hotel companies have tried to sell rooms through their direct online reservation channels, but consumers still purchase a substantial number of rooms through indirect channels operated by online travel agencies (OTAs). This study explores when and under what circumstances consumers choose either a hotel channel or an OTA channel drawing on the theoretical frameworks of tourist information search strategy. Results reveal that travelers who book the hotels for business purposes, who have visited the destination before, and who are more familiar with the destinations and hotels seem to be more likely to choose hotels’ direct online reservation channels. These findings provide novel perspectives on understanding why hotel customers prefer one channel to another. Hotel managers could use the findings of this study to increase reservations through direct channels.