The options for travelers to purchase airline tickets from online travel agents (OTAs) may be diminishing, but it just got easier to snag a great online hotel deal, thanks to Kayak’s announcement today that it is adding hotel bookings to its website and mobile application.

Users will have the added ability to book deals directly on Kayak, or they can continue to book directly with hotel providers or other OTAs. The new service is currently available in limited beta release, but will be fully released on the company’s website and iPhone application in the coming weeks.

“Our users value that we give them choices on where to book, though some people would prefer to complete their purchases without leaving KAYAK,” said Steve Hafner, CEO and co-founder of the Norwalk, Conn.–based company. “We’re excited to offer a simple booking process on our sites and mobile applications in addition to the same choices we currently offer. For people who use Kayak’s mobile app in particular, this will make booking much easier.”

Kayak is using Travelocity’s white-label product to process the transactions and provide customer service, and will use reservation-booking partners to provide direct-booking functionality.

The service will be integrated with Kayak’s travel-planning management tool, My Trips.

The news comes on the heels of Kayak’s travel-search deal with Microsoft Bing and as its sales are growing, which will help the company’s upcoming public offering.

Related posts:
TravelTechnology Weekly–Pegasus MetaSearch
American Airlines Pulls Tickets From Orbitz