Unleashing the power of the GDS system
Reservation Department – Zaid Al Jariri
What will we discuss?
• What is GDS? • Benefits of GDS for travel
• How does GDS work? providers
• Why is GDS essential for the • GDS and hotel distribution
travel industry? • Challenges of GDS in hotel
• GDS Systems distribution
• Benefits of GDS • Conclusion
Reservation Department – Zaid Al Jariri
What is GDS?
Global Distribution System (GDS) is a
computerized system that enables
travel agents and travel companies to
access and book travel-related
services, including flights, hotels, car
rentals, and other travel services. It is
a central platform where travel
agents can compare prices, routes,
and schedules across different
airlines and make bookings for their
clients.
Reservation Department – Zaid Al Jariri
How does GDS work?
GDS works by providing a central platform that
connects travel agents and travel providers.
Travel providers, including airlines, hotels, car
rental companies, and other travel-related
services, upload their inventory onto the GDS
system. This information includes flight
schedules, availability, pricing, and other
travel-related services.
Travel agents and travel companies can access
this information and search for and compare
different travel options, check availability, and
make bookings in real time. The GDS system
then processes the bookings and sends them to
the respective travel providers.
Reservation Department – Zaid Al Jariri
Why is GDS essential for the travel industry?
GDS has revolutionized the travel industry by making it easier and more efficient
for travel agents to book travel services. It has reduced the time and effort
required to make bookings, enabling travel agents to offer faster and more
convenient services to their clients.
GDS systems also provide a range of features and tools to help travel agents
manage their bookings and provide better service to their clients. These features
include itinerary management, fare rules and restrictions, cancellation and
refund policies, and customer support services.
In addition to travel agencies, GDS systems are also used by airlines, hotels, and
other travel providers to manage their inventory and distribution channels. They
provide a platform for these providers to distribute their services to a wider
audience, reaching new customers and expanding their business.
Reservation Department – Zaid Al Jariri
GDS Systems
Reservation Department – Zaid Al Jariri
Amadeus
Amadeus is one of the leading global distribution systems
(GDS) providers in the travel industry. The company was
founded in 1987 by Air France, Iberia, Lufthansa, and SAS,
with the aim of creating a computer reservation system
for airlines. Today, Amadeus provides a wide range of
technology solutions to the travel industry, including
travel booking systems, airline reservation systems, hotel
reservation systems, and car rental reservation systems.
Amadeus' main product is its global distribution system,
which is used by travel agents and online travel agencies
to access a wide range of travel content, including flights,
hotels, car rentals, and other travel services. The
company's GDS system is used by over 400,000 travel
agents in over 190 countries, making it one of the largest
travel distribution networks in the world.
Reservation Department – Zaid Al Jariri
Sabre
Sabre is a global distribution system
(GDS) that provides technology
solutions to the travel industry. The
company was founded in 1960 as
American Airlines' Sabre reservation
system and has since expanded to offer
a wide range of technology solutions
for airlines, hotels, car rental
companies, and travel agencies.
The Sabre system is used by travel
agents and online travel agencies to
access travel content, including flights,
hotels, car rentals, and other travel
services.
Reservation Department – Zaid Al Jariri
Galileo
Galileo is a computer reservation system (CRS)
and global distribution system (GDS) that
provides technology solutions to the travel
industry. It was founded in 1971 and is now
owned by Travelport, a leading travel technology
company.
The Galileo system is used by travel agents and
online travel agencies to access travel content,
including flights, hotels, car rentals, and other
travel services. It offers a wide range of travel
options from different suppliers and allows travel
agents to compare prices and make bookings for
their customers. The Galileo system is used by
travel agents in over 160 countries and processes
millions of travel bookings each year.
Reservation Department – Zaid Al Jariri
Travelport
Travelport is a leading travel technology
company that provides a range of technology
solutions to the travel industry. The company
was founded in 2006 and is headquartered in
the United Kingdom.
The Travelport system is a global distribution
system (GDS) that provides access to travel
content, including flights, hotels, car rentals,
and other travel services. It is used by travel
agents and online travel agencies to search for
and book travel options for their customers.
The Travelport system is used by travel agents
in over 180 countries and processes billions of
travel bookings each year.
Reservation Department – Zaid Al Jariri
Benefits of GDS
• Provides access to a wide range of travel-related services in real-time.
• Enables travel agents to compare prices, routes, and schedules across
different airlines and make bookings for their clients.
• Offers a range of features and tools to help travel agents manage their
bookings and provide better service to their clients.
• Provides a platform for travel providers to distribute their services to a wider
audience, reaching new customers and expanding their business.
• Reduces the time and effort required to make bookings, enabling travel agents
to offer faster and more convenient services to their clients.
Reservation Department – Zaid Al Jariri
Benefits of GDS for travel providers
• Provides a platform for travel providers to distribute their services to a wider
audience, reaching new customers and expanding their business.
• Increases visibility and exposure for travel providers, allowing them to
compete more effectively in the market.
• Offers a range of tools and features to help travel providers manage their
inventory and distribution channels more efficiently.
• Enables travel providers to access real-time data and analytics, enabling them
to make more informed decisions about their business.
Reservation Department – Zaid Al Jariri
GDS and hotel distribution
• GDS systems are also widely used in hotel distribution, providing travel agents and
OTAs with access to a wide range of hotel content, including room availability, rates,
and amenities. GDS systems enable hotels to distribute their content to a wider
audience, reaching new customers and expanding their business.
• One of the key benefits of GDS systems for hotels is the ability to manage their
inventory more effectively. GDS systems provide hotels with real-time data and
analytics, enabling them to make informed decisions about their pricing and
inventory levels. Hotels can also use GDS systems to control their availability and
manage their rates, allowing them to maximize their revenue and profitability.
• Another benefit of GDS systems for hotels is the ability to reach a global audience.
GDS systems are used by travel agents and OTAs around the world, providing hotels
with access to a vast network of distribution channels. This enables hotels to expand
their reach and attract new customers from different regions and markets.
Reservation Department – Zaid Al Jariri
Challenges of GDS in hotel distribution
While there are several benefits of using Global Distribution Systems (GDS) for hotel
distribution, there are also some challenges that hotels may face. Here are some of the
challenges of GDS in hotel distribution:
• High commission fees: GDS providers typically charge hotels a commission fee for each
booking made through their platform The commission fee can range from 10% to 30% of the
booking value, depending on the GDS provider and the negotiated agreement with the hotel.
This can significantly increase the cost of distribution for hotels, especially those with a high
number of bookings.
• Competition with online travel agencies (OTAs): OTAs such as Expedia and [Link]
have become popular distribution channels for hotels, and many travelers now prefer to
book their hotel stays directly with these platforms. This can make it challenging for hotels
to compete with OTAs on price and visibility, and may result in lower booking volumes
through GDS platforms.
Reservation Department – Zaid Al Jariri
Challenges of GDS in hotel distribution
• Complex distribution channels: The distribution channels for hotels have become
increasingly complex, with many different platforms and channels available to
consumers. This can make it challenging for hotels to manage their inventory
effectively and optimize their distribution strategy across multiple channels.
• Data security concerns: GDS platforms require hotels to share their inventory and
pricing information with a third-party provider, which may raise concerns about data
security and privacy. Hotels may need to take additional steps to protect their customer
data and ensure compliance with data protection regulations.
• Dependence on technology: GDS platforms rely heavily on technology to manage
bookings and distribute inventory, which can make them vulnerable to technical
glitches and system failures. This can result in booking errors, delays, and other issues
that can impact the guest experience and damage the hotel's reputation.
Reservation Department – Zaid Al Jariri
Conclusion
GDS systems are a vital component of the travel industry, enabling travel agents
and travel providers to access real-time information on travel-related services
and make bookings more efficiently. They offer a range of features and tools to
help travel agents and travel providers manage their bookings and provide better
service to their clients. However, they also pose some challenges, including cost,
complexity, competition, and dependence. Despite these challenges, GDS systems
continue to play a critical role in the travel industry, facilitating the distribution
of travel services and making it easier for travelers to book and manage their
travel arrangements.
Reservation Department – Zaid Al Jariri
Thank you !
Reservation Department – Zaid Al Jariri
