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This article talks about the challenges of internet referral webpages that is hurting American Airlines and other big airlines.  This is an example of how this travel business is loosing profit by paying referral fees.

Sabre, one of the three largest Global Distribution System signs a long-term agreement with United Airlines. This agreement would allow customers to provide ancillary products and services to customers through the Sabre market place. With United airlines and Sabre joining forces they will use the latest technology allowing both companies to provide more personalize products and services to customers. Sabre will market United Airline ancillary products including air fares and economy plus seats to passengers that buy products and services from Sabre in a way that would differentiate United Airlines products from that of its competitors. Other Global Distribution systems such as Amadeus and Travelport are presently making it a standard policy, mandating airlines to provide ancillary products and services to GDS. American airline one of the major airline who for a long time was reluctant to market its ancillary products through GDS is now one of the many airlines that are presently jumping aboard the GDS wagon. The airlines are beginning to see the benefit of expanding their brand globally through GDS and reaping substantial revenue beyond the sale of air fares.

Advanced technologies have always been tested or applied in large airports for operational effciency and better travel experience. This is an interesting article about the latest technology that will be used in major airports. The Transportation Security Administration gave reasons that why they want to relocate backscatter advance imaging technology units to smaller airports. Firstly, it allows the use of advance imaging technology units in some smaller airports. Secondly the newly introduced millimeter wave units can work faster in saving time and perform better in protecting the privacy of travelers since it just shows the outline of the passenger's body, while not a specific one. Thirdly under the economical consideration, it is better to use one type of machine in the same airport so they don't need different training and maintenance.  So larger airports can just use the latest technology for their large amount of work while smaller airports can benefit from the one with backscatter technology because of the smaller workload. Both sides will be satisfied if this transfer can be done successfully. 

This article analysis the future of the GDS for airlines from both the airline company's perspective and the marketing perspective. The conflicts between airlines and GDS and the agencies is a recycling battle. It has been back and forth with the airlines withdraw from the system and ended up renewing contracts. The most recent war initiated by American airline pulled its inventory from Orbitz in December, 2010, in order to force GDS Travelport to drop the distribution cost. The two parties need each other and it is time for them to reach common ground and have mutual benefits.Delta has done something for that by adopting three second-tire OTAs. http://www.tnooz.com/2010/12/22/news/delta-cites-apple-experience-exits-cheapoair-bookit-com-onetravel/ But those are the short-term issues. In the long term is that " airlines' long-term strategy to advance distribution from fare- and schedule-led selling to merchandising. " The article also give a marketing perspective. It shows the intention of American Airline to build a system that link directly to the airline that don`t have to obey the searching rules of the agency. It also listed nine unanswered questions and wild cards, which indicates the risk of this strategic shift.

Global distribution systems have thought to eventually become extinct but the growth of new technologies has given GDS new hope. The three main companies that control this market are Amadeus, Sabre, and Travelport. Each of the companies has expanded their market penetration via their subsidiaries that are currently operating with global distribution systems. In 2014 Amadeus brought in almost $1billion in revenue. In addition, Sabre and Travelport showed positive growth. Airlines on the other hand, would prefer to directly have travelers book with them to save on fees. At the same time GDS brings attractive promotions to customers making them useful to the airlines and their revenue. GDS has stimulated the growth of online websites like, Expedia, Kayak, Orbitz, Priceline). Where potential customers find competitive rates and can book more than just a plane ticket.

This is an interesting article mentioning how airline industry goes green. Air France and Airbus combined the latest Bio-fuel and air traffic management technologies and reduced CO2 emissions in half. Furthermore, Continuous Descent Approach (CDA) is becoming more widespread as a way to reduce fuel burn. It requires significantly less engine thrust and less fuel burn. These green bio-fuel and CDA strategies might make airline companies as sustainable and valuable chains.

GuestLogix provides technology for airlines that require onboard store and merchandising solutions. It creates, manages and controls onboard retail for airlines and other travel operators by tailoring to their needs and their passengers. Their main focus is ensuring onboard transactions are conducted in a secure and trusted way. It recently upgraded its onboard handheld POS device to help airlines perform transactions quicker in a PCI-compliant and secure environment. These handheld devices include features such as a barcode scanner, integrated printer and magnetic stripe reader while improving processing power, communications and security.

China's Eastern Airlines & Sabre, a Global Distribution System, just signed an agreement allowing Sabre to use the airlines inventory and airfares to market to the travel agencies associated with Sabra.  This will help increase their North American expansion.  Sabre's technology and resources will help enhance the expansion for for China Eastern and Shanghai Airlines.  Marketing intelligence from Sabre has helped the airlines cater to the flight schedules and operations for their customers.  Sabre's network reaches more than 300 million people! 

Computer reservations have become the primary means of disseminating air travel information to the airline-sales distribution system. These systems have greatly impacted competition within the airline industry. Sophisticated automation is changing the method by which reservations are requested and accepted. Never before have airline reservations come from so many varied directions. The lack of capital barrier to entry, the mobility of financial and physical capital and a well established information and distribution system seem to preclude any carrier from maintaining unreasonable rates and services without inviting a timely competitive response

Sophisticated automation is changing the method by which reservations are requested and accepted. Never before have hotels had reservations coming into their property from so many varied directions. Legislation is being considered for presentation to Congress which would require divestiture of CRS by individual airlines. The bill would prevent any airline from owning more than ten percent of a CRS system that list flights and schedules of other carrier. The justification for this is that the airlines often find a way around any rules the US government enacts, including present ones.

In this article, the author mentions something about the online booking glitches happened sometimes. Although they are not a big deal, it affects consumers in some degree. First, the fare jump happens sometimes when consumers are booking their flights online. While they clicking the searching results, it will come out a price, the fare jumps after they click the price and they are ready to book it. For example, the price shows in the search result list is 582, when consumer clicks the price button and is ready to book it, the 'fare jump' happens at next booking procedure page. It always makes consumers a little angry but have nothing to do with it. I meet the same problems in the past when I booked the flight. Those spokesmen said that these are technical problems, those inventory systems, called global distribution systems, do not always have the freshest price information, which in some cases changes so frequently that between the time the travel agency site queries the distribution system for a requested fare and the consumer actually clicks on that fare, the prices could have changed. In my opinion, that's part of reason, staffs who in charge of the website is another big part of reason. Second, consumers also meet the problem of mix lower-class tickets into the first-class search results. That is the responsibility of e-travel agencies, because they mislabel or fail to label the fare on different occasions. It seems to be another glitches, but it will affect consumers a lot when they are booking. To sum it up, details determine success or failure. Even though these are tiny problems, in a long run, they will disappoint consumers and finally lose them.

This GDS allows over 300 major airlines to get connected with thousands of points of Sale and this platform, consisted by only 3 major ticket distributors known as a GDS other than the airline website. Airlines are paying around $7 billion dollars per year for using GDSs. This is a huge amount and consumers have to pay this.  But at this moment, GDS is still needed as a neutral technology platform especially for small travel agencies.  

Chang, Great Post! Technology continues to advance daily, with new technological advances we will be able to book airline tickets different ways and the need for GDS will continue to reduce. Southwest Airlines has been able to maintain cost by the limited involvement the company has with GDS's. Hopefully by decreasing GDS's cost, we will be able to afford cheaper airlines tickets with other carriers (http://blog.compete.com/2011/01/26/american%E2%80%99s-gds-gamble/).

This article discusses a war between American Airlines and Orbits, and how they cannot come into an agreement in regards to using the GDS. American Airlines is mainly the provider for most of the fares and traveling but orbitz is there other marketing strategy that is used to sale the tickets online. Nonetheless, American wants and pushes for travel agents to use their direct system to book flights rather then using Orbitz or another chain of coming to book travelers flights. America does offer a variety of prices depending on different categories, as well as frequent flyers miles/points if they book with American website and sources. In essence, American Airlines still wants to have control of their flights and prices as they are the main sources from the beginning of time.

The International Air Transport Associate (IATA) at their annual general meeting in Beijing have had enough with the outdated Global Distribution Systems technology. The new Director General Tony Tyler indicated that in the 70's the system was cutting edge technology expanding distribution for airlines but years later the technology lacks innovation and must be brought up to date with airline product differentiation. This can be done by adopting new standards through XML messaging schema. Farelogix has donated XML through Open Axis, an organization that promotes the XML technology for linking airlines with distributors, similar to the technology that American Airlines has been using. IATA indicates that this year they will define the foundation standards in partnership with the GDSs, a necessary progression.

After September 2011 alot of changes have occured in airline and airports throughout the world. TSA has purchased, trained, and introduced innovative machinery that can easily detect authorized items inside luggages. The US governement have spend alot of money also to simply protect the nation from terrorists and any form on violence especially in the hospitality and tourism industry. Alot of th airlines have changed the way they used to operate before the attacks; for instance food is no longer served on airplanes, and more fees are charged for luggages and definitely more screening in airport terminals. The introduction of air marshalls and new machinery have definitely changed the perspective of traveling nowadays, travelers have to wait longer to be screened and to even get out of the plane after the plane have landed at its destination. On a positive note, everything that have changed is for our own safety as citizen of the US and i personally believe moew things should be implemented if it can only improve the way we are being protected.

Oracle launches a new data Management Model that will allow airlines to optimize the collection and analysis of passenger data in order to enhance and personalize the travel experience. With this model Airlines will be able to consolidate data collected by legacy systems, simplifyng it's analysis in order to support all aspects of it's business.

With the implementation of Oracle Airline Data Model airlines will have all data needed to maximize the passenger experience and create a competitive analysis to reduce cost.

In this article, Christine Negroni discusses the future of airline booking and travel. Over the last ten years, there has been a shift from telephone reservations to computer reservations with the birth of the World Wide Web. With new mobile devices and smart phones, customers are now trying to find the newest, easiest way to work a plane ticket or a vacation. Companies have to strategically plan how they will market to thei customers. FOr leisure, companies will want to reach them through Facebook and Twitter. With the internet, airlines today need to focus on their image. The image is just as important as the product you sell, or the plane ticket the customer purchases. With Youtube, anyone can post whatever they'd like, so hospitality companies and airlines especially, need to be weary. Because the aviation industry is so large, the internet give customers and companies a way to interact on a deeper, more personal level.

Don't sleep on the GDS systems. The are making their mark and proving to be an important asset in the process of making a booking. Whether it is a hotel, car, cruise, or airline reservation, the GDS systems got you covered. Being that nowadays, travel agent would use this system for their non-tech savvy clients, bookings are expected to be at a record high this year. In a report generated by TravelClick, out of the $12 billion dollars generated in the second quarter alone, GDS systems accounted for a little over 16% of that total; the highest percentage came from direct bookings, of course. So at least we can count on the use of these GDSes to help turn a profit within our industry. 

This article was a great read, especially in conjunction with the others that were provided this week. It offers additional history on the GDS, where and why it was put together and how it evolved over time. I definitely enjoyed reading it for added knowledge on a topic that I was unaware of prior to this Module.