The rise of AI travel agents is reshaping how hotels attract guests and manage bookings. Major hotel groups are increasingly steering customers away from traditional online travel agencies and toward AI-powered tools that enable direct reservations. The shift comes as travelers grow more comfortable letting artificial intelligence plan their trips, from hotel stays to full itineraries.
Hotel giants see this trend as both a cost-saving opportunity and a strategic move. Online travel agents such as Expedia and Booking.com typically charge commissions ranging from 15% to 25%.
For global hotel chains processing millions of bookings, those fees add up quickly. By encouraging direct bookings through AI-driven platforms, hotels aim to reduce costs while gaining better control over customer relationships.
Marriott, the world’s largest hotel company, is leading this push. The company reported that its Bonvoy loyalty program reached nearly 260 million members by the end of September, an 18% increase from the previous year.
The program is designed to reward customers who book directly, bypassing third-party platforms. Similar efforts are underway at Hilton, Hyatt, and Wyndham Hotels & Resorts, all of which are investing heavily in digital tools and personalized experiences.
At the center of this shift is artificial intelligence. Hotels see AI as a way to transform the booking experience from a transactional process into a conversational one. Instead of searching across multiple websites, travelers can interact with AI agents that suggest hotels, compare options, and complete reservations in real time. This model aligns with changing consumer behavior, especially among digital-first travelers who expect speed and personalization.
Executives say AI also enables stronger relationships with guests. Chema Basterrechea, Chief Operating Officer of Radisson Hotel Group, noted that generative AI is moving travel planning away from traditional search and toward agent-led interactions. That change makes direct engagement more valuable, as hotels gain access to richer data and can tailor offers based on guest preferences and past behavior.
Another advantage of AI-driven bookings is data ownership. When reservations happen through online travel agencies, hotels often receive limited customer information. Direct bookings powered by AI allow hotels to collect insights on traveler habits, preferences, and spending patterns. This data helps improve loyalty programs, refine pricing strategies, and deliver more personalized experiences.
The timing of this shift is significant. Consumer comfort with AI is growing rapidly. Research from PYMNTS Intelligence shows that nearly one in four consumers is now open to letting an AI agent plan their travel. That level of trust is notable, especially given the complexity and cost of travel planning, which often involves flights, accommodations, transportation, and activities.
As AI tools improve, travel planning is becoming less about searching and more about delegation. AI agents can compare prices, adjust plans in real time, and even manage disruptions such as delays or cancellations. This evolution is pushing the travel industry toward what analysts describe as “agent-led commerce,” where intelligent systems handle end-to-end decision-making.
For hotels, this change represents both an opportunity and a challenge. While AI reduces reliance on costly intermediaries, it also requires investment in technology, data security, and user experience.
Hotels must ensure their AI systems are accurate, transparent, and capable of earning customer trust. Poor recommendations or privacy concerns could quickly undermine adoption.
Industry analysts note that online travel agencies will not disappear overnight. OTAs still offer scale, visibility, and convenience, especially for travelers exploring unfamiliar destinations. However, their dominance is being tested as hotels strengthen their digital ecosystems and offer incentives for direct bookings.
The broader impact extends beyond hotels. As AI agents become central to travel planning, airlines, rental car companies, and tourism operators will also need to adapt. The competitive edge will increasingly depend on who controls the customer relationship and who delivers the most seamless experience.
Ultimately, the move toward AI-driven bookings reflects a larger shift in digital commerce. Consumers want simplicity, speed, and personalization. Hotels want lower costs and stronger loyalty. AI travel agents are emerging as the bridge between those goals, redefining how travel is planned and purchased in the process.
For the travel industry, the message is clear: the future belongs to brands that combine smart technology with direct customer engagement. And for travelers, the era of AI-powered trip planning is only just beginning.
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