The main job of a global distribution system (GDS) is to help travel agents find hotels that meet their needs. This business-to-business platform helps companies get real-time data on travel arrangements. This includes hotel room availability. Companies can then offer these options to customers planning their trips.
By creating a unified entry point, GDS allows multiple travel agencies and agents to access accurate information about travel reservation availability and pricing. Let’s delve into the numerous advantages that a global distribution system offers to hotels.
Travel agents consolidate all hotel, flight, and car rental reservations, making the booking process seamless. What benefits does using a GDS provide? Here are several ways it enhances the effectiveness and efficiency of hoteliers:
1) Global Market Reach
A GDS can reveal new market segments for hotel managers. This helps them promote their services to travellers they could not reach before. Hotels can attract attention in a travel market by leveraging the wide reach of a GDS.
This market attracts valuable corporate and group bookings. GDS hotel reservations often lead to extended stays, maximising occupancy.
2) Increased Revenue
Hotels can increase their revenue with a GDS. It places their information, availability, and rates where travel agents can easily find them. This visibility helps hotels improve their bookings during busy times. It also allows them to reach wealthy travellers who want the best places to stay.
3) Growth Opportunities
An increasing number of travel agents are turning to GDS platforms to find the ideal stays for their clients. Each year, more agents recognise that GDS is the most efficient way to connect with hotel properties worldwide. The use of GDS systems has grown a lot in the past two years. It increased by 30% in the USA, 49% in Latin America, 47% in Europe and the Middle East, and 64% in the APAC region.
4) Real-Time Updates
With a GDS, agents can see live rates and availability. This helps them book rooms for their clients easily.
The volume of bookings generated through a GDS typically surpasses that of direct bookings. Direct bookings are increasing and help hotel revenue a lot. However, GDS-generated bookings are still an important source of business.
5) Targeting the Corporate Segment
GDS is a key access point for travel agents and large corporations that want to book travel. It plays an important role in the distribution channels of larger properties. Improve your visibility to one of the most profitable guest segments – the business client – and see your revenue grow.
This powerful technology saves time and increases your property’s visibility. The growing interest in GDS is well worth exploring, as it offers numerous advantages. With a wide range of platforms available, there’s bound to be one that fits your property’s needs. After all, technology is designed to simplify operations, so why not take advantage of a solution that helps grow your business?
