Morningstar recently released a report on direct-booking marketing and its potential impact on The Priceline Group Inc. (PCLN), Expedia Inc. (EXPE), and Ctrip.com International Ltd. (CTRP).
Direct booking refers to major hotel chains, which have recently attempted to steal market share with hotel-direct booking campaigns. Morningstar referred to the threat to online booking sites from major hotel chains as “overblown.” The projected numbers Morningstar came up with indicate why. Below is the project impact of the hotel-direct booking campaigns on each online booking