LOS ANGELES— Starwood Hotels & Resorts Worldwide has joined Six Continents Plc in an attempt to simplify on-line pricing. The two hotel companies recently said they’re both overhauling their pricing systems, giving customers who use their websites room rates at least as low as those offered by online discounters. News of the new strategy put a damper on shares for independent hotel booking sites, sending prices down more than 10% in some cases, according to a May 8 Reuters report. As previously reported in HOTEL BUSINESS®, Six Continents announced its on-line guarantee at its annual conference in January and soft-launched its pricing system at the beginning of this month. Starwoods system will take effect on June 1. “Were fixing our system so the rates on our websites are the best rates available,” Starwood spokeswoman K.C. Kavanagh told Reuters. “If travelers find lower published rates through any online distributor, Starwood will match the lower rate and add 10% off.” The Six Continents system has worked well in its first week, with “far below 1%” of users cashing in on a 10% discount guarantee similar to the one used by Starwood, said Tom Seddon, svp/strategic services. “Its not so much a price war,” said Seddon. “Its more making sure the rates we have on our website are the same as what some of the third parties are offering.” SOURCE: Reuters
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