Hotel Revenue Glossary · Distribution

Distribution Channel

A pathway through which rooms are sold to guests. Major channels include the hotel's own website (direct), online travel agencies (OTAs), global distribution systems (GDS), and offline channels (phone, walk-in).

Why it matters: Each channel has different costs (commissions, fees), reach, and guest quality. Optimizing your channel mix — shifting bookings from high-cost to low-cost channels — directly impacts net revenue without changing your room rates.

All glossary terms Market Segment BAR (Best Available Rate) ADR (Average Daily Rate)