BHM 301

E-Commerce for Hospitality

TU BHM · Semester 5 · Recent BHM syllabus series

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3
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Past exam papers

Complete papers are arranged by exam year (BS / AD).

Dean's Office Official Model Question Paper

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Tribhuvan University

Faculty of Management

Office of the Dean

2080 BS / Regular Examination

Course: BHM 301 · E-Commerce for Hospitality

Level: Bachelor of Hotel Management (BHM) · Semester 5

Full Marks: 60

Time: 3 hrs.

Candidates are required to give their answers in their own words as far as practicable. Figures in the margin indicate full marks.

Section A

Brief Answer Questions. Attempt ALL questions. (5 × 2 = 10)

[5*2=10]

  1. Define OTA in hotel distribution.

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    Definition of Online Travel Agency (OTA)

    An Online Travel Agency (OTA) is a third-party digital platform (e.g., Booking.com, Expedia, Agoda) that aggregates hotel rooms, airline flights, and holiday packages, enabling consumers to research, compare, and book travel inventory online in exchange for merchant or agency commission fees.

  2. What is a Channel Manager in hotel e-commerce?

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    Meaning of Channel Manager

    A Channel Manager is a cloud software application that connects a hotel’s Property Management System (PMS) directly to multiple distribution channels (OTAs, GDS, hotel website), automatically synchronizing room availability, rates, and bookings in real time to prevent overbooking.

  3. Explain rate parity in online hotel distribution.

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    Meaning of Rate Parity

    Rate parity is a legal contractual clause between a hotel and OTAs stipulating that the hotel must display the identical room rate across all online distribution channels, preventing the hotel from undercutting the OTA on its direct website.

  4. Define Global Distribution System (GDS).

    [2]
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    Definition of Global Distribution System (GDS)

    A Global Distribution System (GDS) (e.g., Amadeus, Sabre, Travelport) is a worldwide computerized reservation network that routes travel inventory from airlines, hotels, and car rental firms directly to traditional travel agents and corporate travel departments.

  5. State the meaning of Meta-Search Engines in hospitality.

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    Meaning of Meta-Search Engines

    A meta-search engine (e.g., Google Hotel Ads, Trivago, Kayak) aggregates real-time room rates for a specific hotel from multiple different OTAs and the hotel’s direct website, allowing users to compare prices and choose where to complete the booking.

Section B

Short Answer Questions. Attempt any SIX questions. (6 × 5 = 30)

[6*5=30]

  1. Differentiate between Direct Web Booking and OTA Booking models for hotels.

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    Direct Web Booking vs. OTA Booking Models

    • Direct Web Booking:
      • Commission-free (incurs only ~2% payment gateway fee).
      • The hotel captures full guest contact data (email, phone, preferences), enabling direct pre-arrival communication and loyalty marketing.
    • OTA Booking:
      • Carries high commission costs (typically 15%–25% of gross room revenue).
      • High billboard effect: massive global marketing reach exposing the hotel to international travelers who would never discover the independent website.

  2. Explain the billboard effect of Online Travel Agencies.

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    The Billboard Effect in Hotel E-Commerce

    Research (Cornell Hospitality) shows that over 50% of consumers who discover a boutique hotel on an OTA subsequently visit the hotel’s direct website to inspect photos, restaurant menus, or search for special promotions before booking. The OTA acts as a global digital “billboard” that stimulates direct traffic.

  3. Describe the security requirements for hotel e-commerce transactions (PCI-DSS compliance).

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    PCI-DSS Security Compliance in Hotel E-Commerce

    • Payment Card Industry Data Security Standard (PCI-DSS):
      1. Tokenization and encryption of credit card numbers during transmission and storage.
      2. Multi-factor authentication for PMS and booking engine administrative access.
      3. Absolute prohibition against storing sensitive CVV/CVC security codes after payment authorization.
      4. Maintaining secure firewalls and annual third-party vulnerability penetration tests.

  4. Discuss the role of online reputation management (ORM) platforms like TripAdvisor.

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    Role of Online Reputation Management (ORM)

    • Modern travelers rely heavily on TripAdvisor and Google Reviews before booking.
    • High review scores directly correlate with pricing power (higher ADR).
    • Professional ORM requires hotels to monitor feedback, respond empathetically to negative reviews within 24 hours, and institutionalize customer feedback to fix service flaws.

  5. Explain how mobile responsive booking engines drive conversion rates for budget travelers.

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    Mobile Responsive Booking Engines

    Over 60% of travel bookings are now initiated or completed on smartphones:

    • Fast loading speed (under 3 seconds on 4G/3G networks).
    • Simplified 3-step checkout with integrated mobile digital wallets (Apple Pay, Google Pay, eSewa, Khalti).
    • Thumb-friendly touch interfaces that reduce cart abandonment rates.

  6. Describe the impact of social media influencer marketing on hotel and resort bookings.

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    Influencer Marketing in Hospitality

    • Travel influencers create aspirational visual storytelling (Instagram reels, TikTok vlogs) showcasing hotel infinity pools, gourmet culinary plating, and scenic room views.
    • Reaches engaged niche demographics, driving direct link clicks via affiliate tracking codes and promo discounts.

Section C

Comprehensive / Analytical Questions. Attempt any TWO questions. (2 × 10 = 20)

[2*10=20]

  1. Formulate an integrated Digital Distribution Strategy for an independent boutique resort in Pokhara, Nepal.

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    Comprehensive Digital Distribution Strategy for a Pokhara Boutique Resort

    1. Optimized Direct Website (The Core Asset):
      • Fast, mobile-first design featuring virtual 360-degree Annapurna view tours, best-rate guarantee badges, and instant Fonepay/Visa payment gateways.
    2. Balanced OTA Portfolio:
      • Listing on Tier-1 global OTAs (Booking.com, Agoda for East Asian markets, MakeMyTrip for Indian travelers).
      • Channel Manager deployment maintaining automated rate parity and dynamic minimum stay restrictions during peak seasons.
    3. Meta-Search Bidding:
      • Google Hotel Ads integration allowing direct bookings from Google Maps search results.
    4. Digital Retargeting & Content Strategy:
      • Facebook and Instagram pixel tracking offering special spa packages to users who visited the booking engine without completing a stay.

  2. Analyze the impact of Artificial Intelligence and Chatbots on customer relationship management in hospitality e-commerce.

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    Artificial Intelligence and Chatbots in Modern Hospitality

    • 24/7 Real-Time Customer Concierge: Conversational AI chatbots answer booking inquiries, recommend local attractions, and manage room service orders in multiple languages.
    • Predictive Personalization: Machine learning algorithms analyze past stay histories to offer hyper-personalized room upgrades, dining recommendations, and tailored anniversary packages.
    • Automated Dynamic Pricing: AI revenue engines monitor competitor room price changes and airline search traffic, adjusting room rates in real time.