Google has initiated a significant test that will lead to the removal of various features from its search results specifically for hotel queries across Europe. This development has the potential to substantially impact hotel marketers and their online visibility strategies, requiring them to adapt to changing dynamics in search behavior.
This testing phase is part of Google’s ongoing commitment to comply with the EU Digital Markets Act (DMA). As a result, Google is mandated to implement a series of changes aimed at fostering greater competition within various sectors, particularly affecting accommodation aggregator platforms that rely on Google search for visibility and traffic.
According to Google:
“Over the past year, we have made many changes to comply [with the DMA], including significantly redesigning certain features and completely removing others in Europe. This includes more than 20 modifications to Google Search, like the introduction of dedicated units and formats to boost the prominence of comparison sites for free in categories like flights, hotels, and shopping, among others. We have also removed useful features from the search results page, like features that show flight information, and reduced functionality for some of our clickable maps – changes that have negatively impacted the experience of our European users.”
Google acknowledges that while these adjustments have favored online travel aggregators and comparison websites, many airlines, hotel operators, and small retailers have experienced a significant decline in free direct booking clicks, reporting decreases of up to 30%. This trend raises concerns about the long-term implications for smaller businesses trying to compete in an increasingly digital marketplace.
Google appears to be dissatisfied with the DMA-imposed changes, as well as the latest experiment which will eliminate free hotel features from Google Search for users located in Germany, Belgium, and Estonia. This decision reflects the ongoing challenges faced by Google as it navigates regulatory requirements while attempting to maintain a robust search experience for users.
“The test will remove some of the features that have been at the focus of the debate, including the map that shows where hotels are and hotel results underneath it. Instead, we will show a list of individual links to websites without any of the additional features – similar to our old “ten blue links” format from years ago.”
This change is perceived as a regression in user experience, as Google strives to comply with DMA regulations that aim to promote equality in online visibility and competition. The intent is to ensure that Google doesn’t leverage its dominant search position to undermine potential competitors, ultimately fostering a healthier digital ecosystem for all.
Maintaining this balance proves to be a complex challenge for Google, particularly as it attempts to innovate and adapt to evolving market demands. While the principles underlying the DMA are well-intentioned, designed to mitigate the influence of large digital platforms and promote fair competition, the practical implications often feel regressive, providing limited benefits for consumers and businesses alike.
Google has assured users that hotel search results will revert to their normal state after the conclusion of this test, expressing hope that it will not have to eliminate features that significantly benefit consumers and businesses operating in Europe.
However, the complexities of the DMA present ongoing challenges in achieving a balanced approach for all major online platforms. Finding a sustainable solution that protects consumer interests while fostering a competitive environment remains a top priority.
For those involved in the travel industry, especially as the holiday season approaches, this situation warrants careful consideration and strategic adjustments to navigate the changing landscape effectively.
You can read more about Google’s latest DMA changes for hotel listings here.