APAC Hotel Distribution Sees Slower Growth as Regional OTAs Rise
A D-Edge report shows APAC hotel distribution shifting from post-pandemic growth to a more competitive market. OTAs still account for 83% of bookings, but Agoda overtakes Booking.com as the leading platform, with share rising from 16.4% in 2022 to 20.9% in 2025, and growing 13.6% in Q1 2026. Wholesaler share nearly tripled from 1.8% to 5.1%, while direct channel share slipped to 11.2%. Cancellation rates improved to 13.4%, but gaps remain. AI's impact is currently in search, not bookings.
Impact and considerations
Hotels must rebalance channel mix, reinvest in direct, and manage Agoda and wholesalers strategically.
Key points
- Agoda overtakes Booking.com as leading APAC OTA, growing 13.6% in Q1 2026.
- Wholesaler share nearly tripled from 1.8% in 2022 to 5.1% in 2025, reaching 6.1% in Q1 2026.
- Direct channel share slipped from 11.8% to 11.2%, down 12.8% YoY in Q1 2026.
- Overall cancellation rate improved from 14.3% to 13.4%.
- Booking.com cancels roughly one in four reservations, nearly triple the direct channel.
- AI impact currently in search, not bookings.
Sources and time
- Primary source
- PhocusWire / Phocuswright
- Other sources
- 0
- First source publication
- 14 Jul 2026, 15:00
- Page published
- 13 Aug 2026, 08:13
- Last updated
- 14 Jul 2026, 15:00
- Original links
- PhocusWire All News:APAC hotel distribution sees slower growth as regional OTAs rise (opens in a new tab)Primary source · en · Published 14 Jul 2026, 15:00