Global Distribution System (GDS) is a software platform that facilitates the distribution of travel-related services and products to travel agencies and online travel agents (OTAs). GDS serves as a central reservation system that connects various players in the travel industry, including airlines, hotels, car rental companies, and tour operators. In this article, we will dive into how GDS works in the travel and tourism industry.
How Does GDS Work?
GDS is a computerized reservation network that enables travel agents and OTAs to access real-time inventory and pricing information for various travel services. The system is powered by a complex database that stores information on flights, hotels, car rentals, and other travel-related products.
When a traveler searches for a flight or hotel room on an OTA website or through a travel agent, the request is sent to the GDS. The GDS then queries its database and returns relevant results based on the search criteria. The search results include flight schedules, availability of seats, fares, hotel room availability, amenities offered by hotels, car rental options with prices and more.
How Does GDS Benefit Travel Agents?
The main benefit of using GDS for travel agents is that it simplifies their job of searching for and booking flights or hotel rooms. They can quickly check seat availability across multiple airlines to find the best deals for their clients without having to visit each airline’s website individually.
Additionally, GDS helps travel agents compare prices across different airlines or hotels so they can offer competitive pricing to their clients. This also helps them save time as they don’t have to manually gather information from different suppliers.
How Does GDS Benefit Airlines and Hotels?
GDS benefits airlines and hotels as they can reach a wider audience through their partnership with these systems. By listing their inventory on GDS platforms used by thousands of travel agencies globally they can increase their visibility and sales.
GDS helps airlines and hotels manage their inventory by providing real-time data on bookings, cancellations, and available seats or rooms. This helps them make informed decisions about pricing, promotions, and inventory allocation.
The Major GDS Players
The three most significant GDS players in the travel industry are Amadeus, Sabre, and Travelport. These GDS systems serve as intermediaries between travel agents and airlines or hotels. They offer a range of services, including booking management tools, analytics, marketing services, and payment processing.
Amadeus
Amadeus is the largest GDS provider globally with a market share of over 40%. The company provides solutions for airlines, hotels, car rental companies, travel agencies, corporations as well as governments.
Sabre
Sabre is a leading provider of technology solutions for the travel industry. Its software platform connects travel suppliers with buyers through its global distribution network.
Travelport
Travelport operates in more than 180 countries worldwide and serves over 68k agencies globally. The company provides a range of solutions for airlines such as digital merchandising tools to help them sell ancillary products to travelers.
Conclusion
In conclusion, GDS has revolutionized the travel industry by making it easier for travelers to book flights or hotel rooms through various channels such as online travel agents or traditional brick-and-mortar agencies. By providing a centralized platform that connects different players in the industry – airlines, hotels – GDS has brought more flexibility and convenience into the booking process. It’s no wonder that GDS is considered an essential tool in the tourism industry today!