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MakeMyTrip, GoIbibo boycotted by Sikkim hotels; read before you make your travel plans

The hotels in the Sikkim region have taken their deadlock with hotel aggregators (OTA’s) such as MakeMyTrip and GoIbibo to the next stage by declaring a boycott of them.

Around 270 hoteliers boycotted MakeMyTrip and Goibibo in Ahmedabad city of Gujarat alleging heavy commission and discounts by the latter two.
Around 270 hoteliers boycotted MakeMyTrip and Goibibo in Ahmedabad city of Gujarat alleging heavy commission and discounts by the latter two.

If you are planning a trip to Sikkim in next few days, you might find yourself in a fix. The hotels in the Sikkim region have taken their deadlock with hotel aggregators (OTA’s) such as MakeMyTrip and GoIbibo to the next stage by declaring a boycott of them. The deadlock stems from hoteliers’ allegations against unfair and discriminatory business practices by online booking platforms, a statement by Federation of Hotel & Restaurant Association of India (FHRAI) said.

The hotel industry said that they have informed all the members to not entertain MakeMyTrip and GoIbibo bookings from 16 January 2019. Also, the contracts with the OTAs are also under radar as they might get terminated. The deadlock is expected to continue till the concerns of the hotels are resolved, it added.

Also read: Budget 2019: Rural economy in focus? This is what to expect for agri sector this year from Arun Jaitley

Clarifying about the current bookings which were made before 16 January 2019, President of SHRA, Pema Lamta said, “We will accommodate guests who have already been booked through Go-MMT even after the 16th. We do not want our guests to be harassed or inconvenienced however, the guest will be requested to make payments directly to the hotel instead to the OTAs.”

As per the release, the online inventory has been indefinitely closed to the OTAs. However, MakeMyTrip listings are still operational and taking room bookings. The Sikkim boycott comes days after the FHRAI accusations of exorbitant commissions, overboard discounts on MRP, and monopoly over business issues. Earlier, FHRAI president Vice-President Gurbaxish Kohli, speaking to Financial Express Online, had also voiced hotelier grievances. However, MakeMyTrip, in their defence had earlier said, “The pricing of any hotel room night and the discount is largely driven to grow transactions and therefore benefit hotel partners and customers alike.”

Effective since 16 January 2019, the boycott was unanimously agreed upon by the hotels in Sikkim region following a meeting in Gangtok. The hotels have united under The Sikkim Hotels & Restaurants Association (SHRA), the press release said.

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First published on: 19-01-2019 at 11:08 IST
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