Watchdog takes aim at hotel booking sites

INSUBCONTINENT EXCLUSIVE:
Image copyrightGetty ImagesHotel booking sites must review the way they rank and display rooms, the UK's competition watchdog has said.Some
sites may be making misleading claims about discounts, the Competition and Markets Authority said.It is also examining whether sites are
giving a false impression of room availability and "rushing" customers into booking decisions.The CMA did not name which companies it has
been investigating, but leading sites include Expedia and Booking.com.The extent to which a hotel's ranking may be influenced by the size of
the commission it pays was another issue highlighted by the CMA.'Trust'The CMA, which launched its investigation into online booking sites
in October, says it has sent warning letters to "a range of sites", demanding they review their practices to make sure they are fair and
comply with consumer protection law
Concerns include:How search result rankings are influenced by factors irrelevant to consumers, such as how much commission a hotel pays the
siteWhether a false impression is created by claims about how many people are looking at the same room, how many rooms are left, and how
long a price is availableClarity over discounts, including whether a weekday rate is being compared to a previous weekend rateWhether
holidaymakers are hit with unexpected extra charges such as taxes and booking fees later in the booking processAbout 70% of people who shop
around for accommodation use hotel booking sites, according to the CMA."Booking sites can make it so much easier to choose your holiday, but
only if people are able to trust them," said Andrea Coscelli, chief executive of the CMA."We are now demanding that sites think again about
how they are presenting information to their customers and make sure they are complying with the law
Our next step is to take any necessary action - including through the courts if needed - to ensure people get a fair deal."Image
copyrightGetty ImagesKate Nicholls, chief executive of UK Hospitality which represents hoteliers, welcomed the CMA's announcement saying it
would bring "reassurance" for customers
She added that the inquiry should lead to a wider review of the charges that these booking sites levied on hotels, which led to higher
prices for holidaymakers."This is another example of digital businesses stealing an unfair lead on honest, regulated operators whose first
concern is to deliver good service to their customers," she said.Unlimited finesThe watchdog has ordered the sites, which it has not
officially named, to review their practices, and to respond within the next few months.At the end of the review, the sites can either give a
legally-binding commitment to change the way they operate, or argue their case that their practices do not break the law.If the CMA
disagrees with their arguments, it can take the companies to court, where unlimited fines can be levied.It has also raised various price
guarantee claims with the Advertising Standards Authority.Separately, the new EU Package Travel and Linked Travel Arrangements Regulations
come into force on Sunday
The changes mean that package holidays consisting of a flight, hotel, car-hire or other tourist services - either bought online for an
all-in price or through linked web pages - will get the same protection as packages bought in travel agencies.These protections include
being flown home or a refund if a travel company or airline goes bust.What are your experiences with hotel booking sites Please email
haveyoursay@TheIndianSubcontinent.co.uk with your stories.Please include a contact number if you are willing to speak to a
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