Booking.com slapped with €413 mil. fine from Spanish competition watchdog

Booking.com has been issued a fine of 413 million euros from the Spanish market regulator, it was reported on Tuesday. Regulator CNMC announced earlier this year that the company was facing a fine of hundreds of millions for abusing its significant dominance in the market.

The Spanish regulator has been investigating Bookings for a long time because it suspects unfair practices towards some hotels and travel organizations in the country.

CMNC concluded that the company has abused its dominant position in the market over the last five years. “These practices have impacted hotels in Spain and other online travel agencies that are competing with the platform,” the regulator said in a statement. According to a spokeswoman, this is the largest fine ever imposed by CNMC.

Booking.com said it would appeal the penalty. A spokesperson said in February, “We intend to appeal this unprecedented decision in Spain if it becomes final.”

According to the Spanish watchdog, Booking.com’s market share in Spain, the world’s second-most visited country after France, is between 70 percent and 90 percent. In Europe, the platform has a market share of more than 60 percent.

Brussels previously said that stricter regulations on Booking.com would mean holidaymakers would have “more choices” and hotels would have “more business opportunities.” Hungary’s competition regulator fined Booking.com for a second time earlier this month for failing to stop its “unfair” business practices, including putting psychological pressure on customers. The company was fined 2.5 billion forints (6.5 million euros) in 2020 by the Hungarian competition authority for aggressive sales methods.