Viator updates operator agreement, formalizing power shift in experiences pricing

THE NEWS: Viator rolled out an updated global supplier agreement this month that gives channel partners — including OTAs, airlines, vacation packagers and banks — the right to set the retail price of experiences. The agreement’s summary states, “The new terms clarify Viator and its partners have autonomy over the final Retail Price displayed to consumers.” A source close to both Tripadvisor and Airbnb said, “They likely did it for transparency,” and added, “I think they are gearing up for big partners discounting or using tours as a loss…”

DETAILS:
– The updated agreement was posted on a Viator resource site for operators rather than announced publicly.
– “Channel partners” are defined to include online travel agencies, airlines, vacation packagers and banks.
– The source, familiar with both Tripadvisor and Airbnb, warned that large partners may discount tours or treat them as loss leaders.

WHY IT MATTERS: Giving partners autonomy over retail pricing could reshape tour pricing strategies and margin dynamics for operators, OTAs and other travel sellers.

Reference:Source