Saturday, January 17, 2015

The Scary Five. Scenarios for the Hospitality Industry

In 2013, Larry Mogelonsky published a thought-provoking future scenario of Hotels in 2023 as being totally dominated by Online Travel Agencies: the scenario depicts a situation in which a hotel general manager is fired by the OTA, along with his entire hotel, for insufficient market performance.

This could in fact be the outcome of a current power struggle in the hospitality market. But what else could happen if we look at a further evolution of the internet? Especially the role of the big media houses --Google, Amazon, Facebook, Youtube, Ebay--, which in view of their marketing power are already being referred to as the Scary Five?

This article (in Dutch) describes a scenario study currently being conducted about these developments. Drivers that have been identified are: net neutrality, the neutrality of search algorithms and the business model behind these companies acting as travel intermediaries.



Jeroen Oskam & Tjeerd Zandberg, "On-guest entertainment en de Scary Five. Toekomstscenario's voor de hotelindustrie". Hospitality Management 6 (december 2014), pp. 44-47.