Discounted rates offered to intermediaries such as tour operators and travel agencies for packaging and resale to end consumers.
A wholesale rate (also known as a net rate) is a discounted room rate that hotels offer to intermediaries - including tour operators, travel agencies, bed banks, and consolidators - who then mark up and resell the rooms to end consumers. Wholesale rates are typically 20-40% below the Best Available Rate (BAR) and are meant to be non-public. The intermediary adds their margin before selling to the traveler, often as part of a package that includes flights, transfers, or experiences.
Wholesale distribution allows hotels to access markets and customer segments they might not reach through direct or OTA channels. Tour operators and bed banks can drive significant volume, particularly during low-demand periods. However, wholesale rate management requires careful oversight - if wholesale rates leak online and undercut your public pricing, it can damage rate integrity and create rate parity issues with OTA partners.
