You may have flown to your destination, travelled from the airport maybe late at night then found that there is no room for you at the hotel you have booked. The hotel may assist you or you may be faced with trying to find somewhere for yourself in an unfamiliar area and possibly in a language you don't speak. Not the kind of start you would want for your holiday!
Why do hotels get overbooked?
Large hotels, like airlines assume that they will have a percentage of 'no shows' and over book to make sure they are maximising their revenue. However, when all the guests do arrive, it is guests who have booked with third party Booking agents who lose out.
Smaller hotels and Guest Houses allocate their rooms to various Booking agents and have to up date their availability as new bookings are taken from different sources. Some have outsourced this task to an online manager creating a forth party. If communication is not effective between the hotel, the online manager and third party Booking agents, over booking can occur. Also as the same rooms are being advertised on several different Booking agents, in theory two people could be booking the same room simultaneously. Therefore, when hotels are nearing their capacity, those responsible for keeping availability updated need to act fast to avoid over booking.
Hotel reservations made through Booking agents are processed electronically and hotels are alerted by e mail when a new booking is made. Very occasionally, problems with servers or broadband prevent notifications being received, leaving the hotel vulnerable to over booking.
How to avoid arriving and having nowhere to stay.
It is always advisable to check your reservation with the hotel before you travel to check that they have your reservation. If you find and select your hotel on a Booking agent site, you may find that you can get as good or better deal by contacting the hotel and making your booking directly. If you do use an online Booking agent, check in the Terms and Conditions at the time of booking whether it is the Booking agent or the hotel to confirm who your contract is with. Also, whether they have an all hours helpline in case of difficulty.
What recourse do you have?
A confirmed booking is a binding contract with the company you booked with, and if it is broken you are entitled to claim compensation. You must be offered a reasonable alternative or a full refund. You should also be able to claim compensation to cover extra costs you have had to pay and cover loss of enjoyment and inconvenience.