What is the definition of Opaque Sites, in the hotel industry?
Opaque Sites are reservation channels and OTA websites where the dealer (in this case the hotel) remains concealed until after the buy is absolute. The consumer sees only the manufactured goods category (destination, star rating of the hotel) and the price but not the brand name. After paying, the website will disclose the name of the hotel. Generally it doesn’t admit refunds, changes or cancellations.
It is basically a non-transparent concession offer. The sites are called ‘opaque’ because the supplier remains unseen during the booking process.
This segment is well-liked in the travel industry. It is used to sell unsold hotel rooms, airline seats etc.
The pricing strategy helps hotels to sell empty rooms without damaging their brand integrity and price positioning. It permits the hotel to reach out to a price aware audience in totaling to their common target assembly. A benefit is the guaranteed income the hotel has, as the reservation can’t be customized after acquisition.