How do travel apps that claim they can book, for example, a hotel for cheaper than the original price, do it? Is it legit?

Question

How do travel apps that claim they can book, for example, a hotel for cheaper than the original price, do it? Is it legit?

In: 235

Answer 1

It’s called allotment. Hotel abc guarantees to big travel platform xyz that a certain type of room will be allotted to the platform (usually) for a very good rate. The allotment can be restricted depending time of the year or other conditions.

The hotel is usually guaranteed that allotted rooms will be booked even in low season and also they’ll have better visibility on the platform