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Published on Thursday, October 11, 2018

Google Hotel Ads 'provides best metasearch ROI'

Google Hotel Ads (GHA), the Google platform that distributes hotel prices in real time, represents the best return on investment of all metasearch engines, a study has shown.

Roiback, a specialist in the management of the direct channel of hotel sales, says customers using this channel get 900% of the return on investment, or €9 for each euro invested.

Roiback statistics show metasearch engines are responsible for 12% of hotel reservations and they assist 25% to other channels, such as SEO, direct, Google Ads and Adwords.

Of the total weight that metasearch engines represent in hotel sales, Roiback says GHA represents 65%.

Roiback claims GHA is the most profitable metasearch engine, with a 150% growth compared to the same period last year, when it only represented 26%.

Last summer hotels increased by 77% the sales made through GHA compared to same period last year and 40% of GHA bookings are made through mobile devices.

Roiback head of digital marketing Felipe Bravo said: "Google Ads continues to be the most important marketing channel, since it means 20% of the total, but Google Hotel Ads is gaining ground.

"Our advice is to combine both channels, since Ads is more useful during the consideration phase of the purchase cycle, and Google Hotel Ads acts more as a tool for the booking phase.

"With a combined channel strategy, the hotelier has it easier to compete with OTAs and attract customers at a much lower distribution cost."

He added: "During this year GHA has been significantly increasing its visibility in Google.com, Google Maps and Google Destinations, as well as enhancing visibility in desktop but especially in mobile devices, and it is becoming the most relevant metasearch engine for the hotel industry".

According to Roiback figures, the cancellation ratio through GHA is also lower, at around 13% compared to OTAs' cancellation ratios of between 20-40%.

Bravo added: "GHA is an excellent channel to connect directly with Google users who actively search for accommodation.

"In addition, it allows the hotelier to attract new clients and build loyalty through offering them extras, upsellings or pre and post-stay communications."

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