Booking.com and Expedia Group control visibility, secondary OTAs undercut rates

May’s World Parity Monitor from 123Compare.me reveals how visibility and pricing diverge across OTA segments and markets

Leading Online Travel Agents (OTA’s) are controlling hotel visibility on Google Search, while secondary OTAs are undercutting rates to attract bookings, confirms the May edition of the World Parity Monitor (WPM).

In the latest monthly report delving into hotel pricing online, 123Compare.me analyzes OTA market visibility — both in paid placements and organic results — and how this correlates with pricing behavior across global markets.

The May WPM illustrates how Booking Holdings and Expedia Group account for nearly all visibility, with Booking leading in both paid and organic spaces. In contrast, smaller OTAs compete mainly on price, showing higher Lose rates (where their hotel pricing is lower), especially in markets where they hold regional influence - for example MakeMyTrip in India and Despegar.com in Argentina.

Although visibility is clearly concentrated in the hands of the major OTAs, internal dynamics within each group reveal differing trends. Booking.com continues to lead in both paid and organic spaces, however its presence in paid placements has slightly declined. Expedia, on the other hand, has increased its investment in sponsored visibility, narrowing the gap between the two.

“We’re not just seeing a concentration of visibility — we’re also seeing strategic adjustments within the leading groups,” says Jordi Serra, CEO at 123Compare.me. “As Booking and Expedia consolidate their online presence, the pressure on pricing increasingly shifts to other players. That’s where hotels need to stay alert: visibility and undercutting don’t always come from the same source.”

Claudia Rodríguez, Business Unit Director at Sekuenz, reflects on the strategic value of the WPM:: “The WPM doesn’t just provide data — it helps us understand what’s happening in the market and make more precise strategic decisions. The fact that direct hotel prices are more frequently undercut in paid placements than in organic results clearly shows where the most aggressive battles for conversion are taking place. This should directly inform how hotels allocate their digital marketing budgets.”

She also points out the importance of monitoring shifts in OTA strategy: “Booking has slightly reduced its investment in paid placements, while Expedia has increased it. These movements should prompt revenue and distribution teams to reconsider how visibility costs and direct sales are being impacted.”

The data reveals clear contrasts in OTA behaviors in different regions worldwide, demonstrating more localised visibility and pricing strategies to capture the consumer.

In Europe, Booking continues to lead in paid placements with relatively stable pricing, except in Switzerland (see notes below) , where regulatory action has prompted noticeably more aggressive pricing. Price competition intensifies across Asia. In India, Booking undercuts more frequently than Expedia, while regional players like MakeMyTrip secure strong organic visibility within their home market.

In North America, Expedia holds steady in both visibility and pricing in the U.S., where the market shows greater maturity and strategic balance. Sudden shifts are proving much less common, and parity levels are generally more stable. Booking dominates visibility across most countries in Latin America and while Expedia is less present, it shifts its focus to more aggressive pricing — especially in markets like Argentina.

Down in South Africa, Booking combines dominant online presence with a high frequency of undercutting. Australia, by contrast, displays a more balanced landscape where both major OTAs share visibility and adopt moderate pricing strategies.

The World Parity Monitor is a trusted industry tool used by hoteliers to monitor OTA pricing behavior and visibility performance across online distribution channels — helping brands and independent hotels optimize direct booking strategies and minimize revenue loss due to undercutting.

Read the full May 2025 WPM report here: https://123compareme.net/en/major-otas-compete-on-visibility-smaller-otas-compete-on-price/