Wikipedia defines Opaque Inventory as follows: a term used to describe the market of selling unsold travel inventory at a discounted price.
It is called ‘opaque’ because the supplier, in this case the hotel, remains hidden until after the reservations (purchase) is complete.
It allows hotels to reach more prices conscious consumers apart from their direct target markets. This type of hotel guest is less concerned with the specifics of the hotels facilities and services. Instead he is driven mainly by price.
The best known Opaque Travel Websites are Priceline and Hotwire.
They do not show the name of the hotel to the client until the reservation is confirmed and payment is taken.
Priceline is a bidding website where the consumer names his price and the website matches anonymous hotel offers. Hotwire however works with a fixed price for a hotel. It is a travel search site where the consumer can compare hotel location, facilities, services and star rating; just the hotel name is hidden.
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Why is it important for you?
1. You can attract customers without affecting your brand in a very visual fashion. yes, the person who books the room will be either over-joyed at getting your hotel at that (read his) price or will be disappointed. Either way, here is a customer, he is coming to you and what impression you want to leave on him, depends on your services.
2. You should also use it as a price discovery mechanism. true, you can go to any of the leading sites and check out what your competitor is selling for or use one of those rev management reports, but this, this could be a winner. expensive, until you find a way out.
Happy Maximizing Revenue!