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anonymous

Future of Global Distribution for Airline Travel - 1 views

  • Imagine if every airline used a separate reservation system to distribute flight information, instead of the familiar global distribution systems (GDS) in place now
  • As travel professionals are aware, Southwest Airlines are not available in most systems for booking reservations. However, they do not negotiate with distribution companies to sell their product.
  • Then travel companies would be charged to have the Direct Connect system in the long run, thus paying for the opportunity to sell American flights.
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  • American suggests that distribution companies begin using Direct Connect, powered by Farelogix. Travel professionals view this alternative concept as having to use a separate system for American Airlines reservations, possibly complimentary on a trial basis to the travel management company.
  • This may be the biggest travel industry news in the United States and beyond, since the deletion of travel agency commissions. There is also the possibility that more consumers will begin relying on travel agents to locate the best airfares.
  • They suggest it will make ancillary fees, such as priority seat and meal fees easier to track for business travel.
  • Imagine if every airline used a separate reservation system to distribute flight information, instead of the familiar global distribution systems (GDS) in place now. Individuals and travel professionals would have to compare flight costs on every reservation website or call each airline separately.
  • If every airline decides to utilize a different system and charge for their product to be sold, then travel companies may have to forward their costs to travelers, hence driving up the price of airfares.
  • American Airlines airfares can no longer be found on Expedia or Orbitz websites, or any site powered by Orbitz. These are two of many airline distribution sites that consumers can compare and book flights they choose. Each did not come to an agreement with American Airlines for a new contract to distribute American Airlines' product.
  • The contracts for the global distribution systems, Worldspan and Sabre, will be up for renewal soon this year. What will happen with American flights and air fares in those systems? Will American not be offered in those systems as well, if an agreement cannot be made? What happens if other airlines decide to join with American? This may be the biggest travel industry news in the United States and beyond, since the deletion of travel agency commissions.
  • Though this is a major obstacle for travel agencies and other travel management companies, travel agencies, being fearful of the outcome for consumers, are ready to stand their ground and protect themselves and consumers alike.
  • As travel professionals are aware, Southwest Airlines are not available in most systems for booking reservations. However, they do not negotiate with distribution companies to sell their product. For the most part, Southwest is self-contained and stands on their own, as far as distribution methods go.
  • As travel professionals are aware, Southwest Airlines are not available in most systems for booking reservations. However, they do not negotiate with distribution companies to sell their product. For the most part, Southwest is self-contained and stands on their own, as far as distribution methods go.
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    It appears that American Airline is about to remove itself from the tradition global distribution system and introduce its own distribution system. American Airlines is advocating for distribution companies to utilize AA direct connect which is a direct link into AA's host reservations system. Currently American Airlines fares are no longer available on Expedia or Orbitz sites. This is because no contractual agreement was reached for the distribution of AA products. Travel professionals are waiting to see the result of this bold move by American as this has great implication for the future of airline distribution systems. If American Airlines pulls away from the mainstream GDS, consumers and travel specialist alike will be faced with the inconvenience of going to a separate reservations system to compare fares. Although travel professionals are now urged to use direct connect on a trial basis, the general feeling is that eventually they will be charged to sell American Airline flights. To defend this move American Airline is only saying that direct connect will make it easier for them to tract ancillary fees like priority seating. It was noted in the article that Southwest Airline for the most part is a stand alone reservations system but they do not negotiate with the GDS companies to sell their flights. It is therefore quite evident that this move by American is really to reduce expenditure by eliminating the middle GDS companies while increasing revenue by charging travel partners for utilizing direct connect. American Airlines clearly wants to globally control their distribution system and maximize revenues. Contract renewal for both world span and sabre are due and the experts are waiting to see if American will renew with them. Sabre is owned by American Airlines so its a wait and see game to see how all this will be panned out. The real problem for the consumers and travel specialists are that if other airlines are to follow this move by American the tra
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    Global distribution systems (GDS) are used within the travel industry for the booking of flights a service that was once performed by travel agents. With the introduction of GDS many jobs were loss. Because GDS are contracted services with World- span and Sabre renewal and renegotiation of contracts may pose a problem. There are many pros and cons to the GDS for consumers such as booking of flights anytime and the loss of personal relations with the travel agents. According to Bonnie Burgess, the renewal of the GDS with world-span and Sabre is eminent which might create a problem for consumes if the negotiation falls apart. There was a similar situation Direct TV and the provider of many channels to Direct TV when they could not come an agreement, and, in the final analysis the consumers were the ones who suffered. Southwest and American airlines are two airlines who defended why they felt that booking directly at the website is the best options for travelers. The conclusion, is that there are advantages and disadvantages to the GDS. one of the overarching disadvantage is when there are difficulties with meeting of the minds in contractual negotiations.
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    The article highlighted reports how hard would be for travel agents to work without and Global Distribution System due to difficulty to generate price comparison reports to customers. It is also mentioned that American Airlines Airfares are no longer posted to the two majot websites for price comparison (Expedia and Orbitz). American Airlines will be using another website called Direct Connect which will be complimentary on a trial basis. In order to have full access, customers or travel agents would have pay for a membership. The process will have a higher cost and will be more time consuming. Southwest Airlines is acting the same way. The intention is to avoid comparison and encourage direct booking with the airlines. This difficulties presented by hotels and airlines may require more usage of a travel agent to do research for consumers. GDS's contracts are up for renewal and the concern is whether or not airlines will get into an agreement where rates will still be posted on the system avoiding several searches in multiple sources.
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    This article explains the distribution route American Airlines is taking to sell their flights. Due to not seeing eye to eye with the two most probably used websites for travel, Expedia and Orbitz, American has now taken their products away from both airline distribution sites. American suggest that all travel agencies and distribution companies begin using Direct Connect, which is a system for only American Airlines flights. If this would happen, travel agencies and companies will then begin having to pay for the system in order to sell Americans flights. At the moment you can still book flights through other distribution sites, but until when will that be? They already stopped Orbitz and Expedia, what's not to stop the others. The future of global distribution systems will be up in the air if all airlines choose to sell their own systems to be able to sell reservations. The only positive that was pointed out in this article was that if this system takes over, then more consumers will have to go back to using travel agents to secure the best reservations for flights and such.
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    With the contracts for major global systems, Worldspan and Sabre, being up for renewal in the near future, this article analyses the possible outcomes for airlines, and alternatives should they choose not to forgo continuing use of GDS
jennifer amador

American Airlines sues online travel giant Orbitz - USATODAY.com - 0 views

  • American sees its direct booking system as a way to lower its costs and give fliers more information about the particular services it offers for an extra fee, such as priority boarding.
  • American’s push for travel agents to start using its direct link to find its fares and flights rather than the centralized systems that currently pool most airlines’ price information has set off a series of clashes.
  • In December, American pulled its flights off Orbitz because it would not make the switch. Travelport, which also has a majority stake in Orbitz, sued American. And Expedia, the biggest online travel company in the world, stopped showing American’s flights on its system, but it has recently resumed displaying them after reaching an agreement with the airline earlier this month.
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    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.
jazminesnyder

India's Modi Seeks More Investment From U.S. Tech Sector - US News - 0 views

  • India's burgeoning tech sector is responsible for creating more than 400,000 American jobs
  • business deals between firms in the two countries have generated $22.5 billion in tax revenue for the U.S. since 2011
  •  the report should dispel the stereotype that India’s IT sector “takes jobs away from the U.S.”
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  • “neither country can achieve their nation’s economic vision without the other.”
  • easing the process for skilled Indian workers – including college students educated in the U.S. – to be able to obtain visas so they can join American tech companies.
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    The main focus of my article is about the financial connection between India and the U.S. The article discusses a few key issues about India and their tech support in relation to the U.S. It tells us that "India's burgeoning tech sector is responsible for creating more than 400,000 American jobs, according to a report released Monday that prompted calls from leaders in both nations to reform business practices so the industry remains a bright spot in an often unreliable global economy". The article goes on to list some more interesting statistics. For example, "The new study from the National Association of Software and Service Companies, a trade group representing Indian technology firms, said business deals between firms in the two countries have generated $22.5 billion in tax revenue for the U.S. since 2011". I feel that these two statistics are important because in too many cases, Americans feel that "foreigners" are coming to the U.S. and "stealing" all of our jobs. That is clearly not the case with every situation, as the article points out. The article further explains that India is seeking to ease the process of coming into the U.S. to work. They feel that if they are providing their highly skilled techs to come work here and/or gain their American education here than the process of getting the visa should be much more lax than it is for other countries. I don't know if I agree with that one, but I understand their point.
Tomas Moreira

Airline distribution - 0 views

  • THE INTERNET HAS A LOT TO ANSWER FOR IN MAKING LIFE DIFFICULT FOR TODAY'S AIRLINE LEADERS. Information technology has always created headaches for management, but the appearance of the internet added a whole new dimension of transparency – of prices and seat availability. This engaged the consumer more directly and opened up new opportunities for intermediary dealing
  • These, the so-called online travel agents (OTAs), were not in reality agents paid by the airline. They merely were able to insert themselves in the selling chain because they provided the public with an attractive proposition. And, instead of selling tickets directly, they referred a would-be traveller on – either to the airline directly or to a global distribution system (GDS), which then paid the OTA for the referra
  • American found this distasteful, firstly because the heavy accent on prices alone led to commoditisation of the airline’s product; and secondly because the GDS – to add insult to injury – was paying the OTA out of the fee the GDS then charged American for the referral. The concentration on pricing, argued American, meant that qualitative and other valuable items were overlooked. If instead the customers had gone to American’s website directly, they would have been able to see the full range of upsell opportunities, therefore preventing American from maximising its ancillary revenues.
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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.
Xu Wang

Americans Want to Fly Wireless - 2 views

  • Americans don’t want to unplug from their portable communication devices when flying.
  • 80 percent of respondents want the option to connect to the Internet during their flight.  An additional 66 percent would like to be allowed to talk on their cell phone. 
  • This is good news for airlines that already offer wireless services to their passengers.  However,
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  • Americans are reticent to pay for Wi-Fi,
  • In addition, while flyers would also like the option to use mobile phones mid-flight,
  • 55 percent of respondents were concerned that such usage could put the safety of their plane at risk. 
  • “Not only do American travelers want to stay ‘plugged in’ during their flights, but there is also a much higher tolerance for in-flight mobile phone use than we expected,”
  • “It is good to see that the FAA is looking at ways to satisfy this demand through possible new allowances.” 
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    Wireless networking is a important application of computer networks. And this news is very interesting. Because with my own experiences during traveling, I found out that a lot of passengers do not want to turn-off their phones during their flying time, some may choose to turn to the fight mode. And when I took Qatar airline, I found out that they install the wireless services for people to send message or make phone calls. That was the first time I experience this kind of service, I was very excited but calmed down when I saw the expensive fees I need to pay if I want to use. So I think it is time for FAA to look ways which can satisfy travelers' demand through possible new allowances.
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    I am one of those Americans that have a hard time disconnecting from technology when boarding an aircraft. I usually fly American Airlines and a majority of their airplane offer Wi-Fi available for purchase, I don't mind paying $12.95 so that I can stay entertain, I can't wait to hear the chime at 10,000 feet followed with the message from the flight crew telling me that "it is now safe to use electronic devices." On May 16th, 2012, Virgin Atlantic announced that passengers would be able use cell phones onboard the airplane utilizing VoIP. Can you imagine this technology aboard a plane from Los Angeles to New York? http://www.tomshardware.com/news/Virgin-Atlantic-Cell-Phones-Planes-In-Flight-Cost,15642.html
anonymous

Americans not ready for Canada's anti-spam law: report | Canadian Lawyer Legal Feeds - 0 views

  • CASL
  • will contain some of the toughest anti-spam provisions in the world, banning senders from delivering unsolicited commercial electronic messages without receiving express or implied consent from the recipient.
  • It applies to all messages sent from, or received in, Canada, which means American firms marketing in Canada fall under its jurisdiction.
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  • 60 per cent of American marketing executives were completely unaware of the new law.
  • Individuals who breach the law can face penalties of up to $1 million, while corporations are liable for as much as $10 million.
  • “They’re saying, ‘never mind, we’ll stick to sending post cards in the mail, and do telemarketing instead
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    This article is about the new new anti-spam laws that will be enforced in 2013 by the Canadian government. What was pretty interesting was the fact that 60 percent of American marketing companies were unaware of the new law. Funny thing is that most of those who were aware decided that they would simply resort to other forms of spam like telemarketing and postal mail.
ernestbailey

Tech Networks of Boston Joins the American Sustainable Business Council as Partner Orga... - 1 views

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    Technology group joins green initiative and climate-related advocacy projects to that benefit the the environment, but also contribute to the economy. Tech Networks of Boston a provider of tech services to non-profit and small business has recently joined / aided / launched programs : Climate Action Liaison Coalition (CALC), and  The American Sustainable Business Council (ASBC). CALC provides business community with support services that sponsor business's speaking out about climate change, but also supporting policy improvements. The ASBC project is a co-sponsored initiative which seeks to promote signing of a Climate Declaration that covers topics such as employment, environmental impacts, and sustainability. Tech Networks of Boston http://bit.ly/17vfaBq American Sustainable Business Council http://bit.ly/14Tu9of Climate Action Liaison Coalition | CALC http://bit.ly/1a1nRnm
rroll027

GDS travel-booking model faces change | Nicholas Kralev - 0 views

  • American was on Sabre and United on Apollo, which is now part of Traveport. That means that the respective GDS hosts the airline’s data and controls its content, delivery, display, and most of its sales. The airline gives the GDS its data in parts, but it’s the GDS that in effect manufactures the airline’s product.
  • In the meantime, technology companies like Farelogix and Datalex were hard at work trying to build channels through which airlines could distribute and sell their products directly to buyers — a capability that would free them from the grip of their GDS and significantly reduce costs.
  • However, that’s not where the majority of airline tickets are sold. According to Farelogix, about 60 percent of the roughly 1 billion tickets issued worldwide each year are sold through indirect channels, and virtually all of them use a GDS
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  • The average GDS fee paid by the airlines is about $12 per ticket, or more than $7 billion a year in distribution costs, Davidson said. In contrast, Farelogix’s “Direct Connect” offers a carrier the opportunity to spend only between $2 and $3 per ticket, saving about 80 percent of the current costs.
  • The biggest irony in this saga so far has been the January announcement by Sabre, the GDS American created more than four decades
  • ago and the h
  • st of its data until recently, that it intended to drop American data from its offering later in the year. Litigation followed, but later the two companies agreed to cool it off and negotiate.
  • Why are the GDS companies resisting the direct model? Obviously, because they would lose billions of dollars in revenues. In fact, “Direct Connect” can be easily integrated into a GDS, Davidson said, with some airlines taking advantage of all current GDS functionalities, and others using only the ones they need. Not only have the GDS companies rejected that, but they have began penalizing travel agencies and other providers that use dire
  • channels in addition to their GDS. In turn, American has started imposing fees on GDS bookings.
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    American Airlines embarked upon direct booking to cut costs to GDS and was found itself facing legal consequences. This reflected the continuous fierce competition in the travel industry and the lucrativeness of the GDS.
nelson1oliva

Basic Information about Electronics Stewardship | US EPA - 0 views

  • According to a 2013 report by the Consumer Electronics Association, the average American household uses about 28 electronic products such as personal computers, mobile phones, televisions and electronic readers (e-readers). With an ever increasing supply of new electronic gadgets, EPA's Facts and Figures about Materials, Waste and Recycling show that Americans generated 2.7 million tons of consumer electronics goods in 2018, representing less than one percent of all municipal solid waste generation.
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    There is clearly a connection between ownership of "stuff" and proper stewardship of the same. this article brings to light how this process needs to be sustainable and the responsibilities that we all have to ensure that our own footprint is not causing more harm to our planet through poor management of the items we have purchased. According to a 2013 report by the Consumer Electronics Association, the average American household uses about 28 electronic products such as personal computers, mobile phones, televisions and electronic readers (e-readers). With an ever increasing supply of new electronic gadgets, EPA's Facts and Figures about Materials, Waste and Recycling show that Americans generated 2.7 million tons of consumer electronics goods in 2018, representing less than one percent of all municipal solid waste generation.
Camila Calcines

Do travel companies need to revisit mobile security choices for staff? | Tnooz - 0 views

  • large target on Android’s back because of it’s leading global market share position.
  • security was what made Blackberry the darling of IT departments everywhere.
  • Security, and the desire to penetrate corporate accounts, is also what is driving Samsung’s Knox platform,
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  • Apple holds 58% share of enterprise mobile deployments.
  • Transportation was one of the few industries where Android had the majority share.
  • American Airlines is one of the most aggressive companies in the use of tablets for its workforce
  • Samsung’s SAFE – Samsung for Enterprise – platform (which incorporates Knox) was a key reason in their decision:
  • Apple devices, while targeted about 100x less frequently than Android devices, are not immune.
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    This article talks about secure technology measures for the travel industry. The myth that Apple iOS devices are not infected with viruses is a total lie. But what is true is that Android devices are much more susceptible to malware attacks than Apple iOS devices. The big boss of security "for years…was what made Blackberry the darling of IT departments everywhere." But now what has driven new markets especially transportation is the increasing use of Android devices. American Airlines uses thousands of Android Galaxy Notes for flight attendants and in-flight entertainment devices for passengers as well as those used by the maintenance crew. Samsung's SAFE platform was a key reason the company was influenced to go through with the product because of a security issue. It's important to remember that not one device is immune and to explore an innovative and secure option when picking a device.
msoma003

What Will Change in the Future of Global Distribution for Airline Travel? - 1 views

  • have to compare flight costs on every reservation website or call each airline separately
    • msoma003
       
      Not effective. Millennials will not spend the time searching multiple websites
  • American Airlines airfares can no longer be found on Expedia or Orbitz websites, or any site powered by Orbitz.
  • American suggests that distribution companies begin using Direct Connect, powered by Farelogix
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  • Southwest Airlines are not available in most systems for booking reservations
  • They claim they have the lowest American Airlines prices guaranteed, and they have no online booking fees.
  • Then travel companies would be charged to have the Direct Connect system, in the long run, thus paying for the opportunity to sell American flights.
    • msoma003
       
      Is it really worth the extra fee? Each agent will need to examine the ROI
  • Southwest is self-contained and stands on their own, as far as distribution methods go.
    • msoma003
       
      This could help lower the cost paid to third party sites but also lowers company visibility.
  • then travel companies may have to forward their costs to travelers, hence driving up the price of airfares.
  • While the airlines are all in one distribution system
  • companies are able to offer comparison reports on travel expenses
  • There is also the possibility that more consumers will begin relying on travel agents to locate the best airfares. This will remain to be seen.
    • msoma003
       
      This will be interesting because travel agencies have been on the decline due to advancements in technology.
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    The article discusses how American Arlines (AA) flights could not be found on Expedia or Orbitz because the company could not reach an agreement with Expedia. AA then suggested customers book flights directly via their website or via Direct Connect, a new system. Southwest airlines is another company that does not sell via third party or GDS sites, they only sell on their on site. When companies begin to remove themselves from traditional GDS systems it changes the way consumers and travel agents begin to book flights. It will make more difficult because we will spend more time comparing multiple sites and we we will never be sure if we are getting the best deal.
richardkutch

Channel Shock: The Future of Travel Distribution - Skift - 0 views

  • global distribution systems aren’t going anywhere
  • But online travel agencies and travel management companies still place bookings using GDS platforms, since they offer the most comprehensive collection of travel inventory across the globe.
  • Likewise, most travel providers need to remain part of a global distribution system for consumers and business travelers to easily find and book their products.
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  • The company is working on a reservation system solution for InterContinental Hotels Group,
  • Fees for an air booking are usually between 2 and 4 percent of a ticket, and about 20 percent for a hotel booking.
  • The airline industry has been lurching forward towards adopting the International Air Transport Association’s New Distribution Capability paradigm for years, which essentially simplifies transactions between different members of the ecosystem by using XML coding language and allows for selling ancillary products like seat upgrades.
  • A little-known element of American Airlines’ strategy could be the most consequential moving forward. Some 20 years ago, airlines stopped paying commissions to travel agencies on air tickets. This thoroughly disrupted the travel agency community, and it still has never really recovered; many agencies have moved to a service fee-based model instead of relying solely on commissions or overrides, but the damage helped essentially gut the industry in the U.S. Under American Airlines’ new distribution program, however, agencies placing a booking directly or through an intermediary using New Distribution Capability level three will receive a $2 payment per segment. This nominally represents the return of a commission model to agency air sales.
  • Despite the preeminence of Amadeus, Sabre, and Travelport, there is room for new players in the travel distribution space to emerge.
  • Berlin-based Flyiin represents a new way for airlines to sell flights. By connecting with airline APIs, the service will allow consumers to search flights from multiple airlines and add-ons using an intuitive interface. Users can specify up front what types of flights and what kinds of ancillaries they want, and have the full cost rolled up into their search results.
  • The service is really a messaging platform at heart, instead of a search platform; it crunches airline fare information on the back-end and aggregates messages from airline APIs into easily digestible results for consumers.
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    Ok so this article is lengthy but comprehensive. And the general consensus is the GDSs are never going away. They will likely change with new technologies, but they won't be replaced completely by something new. Heck, even though air travel is dominant among travel options, we still have trains, right? Overall this article takes the reader through the birth of the GDSs, their evolution to today and thoughts about what to expect in the future. One part of the article of particular interest is the talk about New Distribution Capability for airlines that uses XML coding language to allow airlines to sell ancillary products like seat upgrades. This layers directly into revenue increases through revenue management of seats on flights. There are already price differences between cabin classes. But instead of all seats being one price in the main cabin, seats closer to the front of the plane could be sold for a slight premium. There could be a different fare for window or aisle or exit row. There are 3 levels of this certification for an airline and although some airlines like American Airlines has been certified as level 3, full capability, most airlines have not gone beyond level 1. None of the GDS companies offer level 3 for New Distribution Capability which means you need to go a company's site directly to be able to purchase the specific desired attributes of your seat. By not having that capability, the GDSs disadvantage themselves as a distribution channel.
olaya5

Process Improvements Without the Pain - 1 views

  • 11i for supply chain, financ
  • implementation of Oracle E-Business Suite 11i for supply chain, finance, HR, and payroll. Marriott's North American operations had a long history of
  • 11i for supply chain, finance,
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  • new implementation of Oracle E-Business Suite
  • Marriott now uses Oracle E-Business Suite 11i's HR and payroll applications. The company depends on Hewitt's expertise to help run the processes and Oracle On Demand to host and manage the programs
  • Marriott Hotels, Ltd., faced huge challenges in 2005 when the U.K.-based management company needed to separate its IT infrastructure from its parent company, Whitbread PLC, after hospitality company Whitbread sold its hotels business
  • the same week that Marriott's U.K. franchise completed a new implementation of Oracle E-Business Suite 11i for supply chain, finance, HR, and payroll. Marriott's North American operations had a long history of using Oracle's PeopleSoft applications, so Marriott UK and Hewitt faced
  • Ironically for Marriott, the Whitbread organization announced the hotel spin-offs in the same week that Marriott's U.K. franchise completed a new implementation of Oracle E-Business Suite 11i for supply chain, finance, HR, and payroll. Marriott's North American operations had a long history of using Oracle's PeopleSoft applications, so Marriott UK and Hewitt faced a decision: to stay with Oracle E-Business Suite or switch the U.K. operations to PeopleSoft or even another platform.
  • Ironically for Marriott, the Whitbread organization announced the hotel spin-offs in the same week that Marriott's U.K. franchise completed a new implementation of Oracle E-Business Suite 11i for supply chain, finance, HR, and payroll. Marriott's North American operations had a long history of using Oracle's PeopleSoft applications, so Marriott UK and Hewitt faced a decision: to stay with Oracle E-Business Suite or switch the U.K. operations to PeopleSoft or even another platform.
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    This articles talks about the physical plant situation that Marriott had years ago. After Marriott faced challenges in 2005 with its management company that was in need of separating its IT infrastructure from its parent company, they now use Oracle E0Business Suite 22i's HR and Payroll applications. Marriott in North America had a long history of using Oracles application, Marriott U.K and Hewitt stayed with Oracles .
yiran DING

Airlines vs. the World | An Analysis of Future GDS & OTA Trends | By Douglas Quinby - 1 views

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    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.
Deborah Fromer

IATA Chief Cites GDS Partner Role, But Remains Critical - 0 views

  • While remaining critical of GDSs, IATA director general Tony Tyler sounded a somewhat less combative tone toward “our global distribution system partners” during his keynote speech at the IATA annual general meeting in Beijing.
  • Giovanni Bisignani, who retired as director general last year after 10 years in the post, made the GDS industry a frequent target of his famous “Basta!” moments over segment fees.
  • More recently, Tyler has excoriated GDS companies for what he called a failure to meet the changing needs of airlines as they adopt new merchandising methods.
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  • Our global distribution system partners help us to sell 60% of our tickets,” he said. “Beginning four decades ago, when these systems were created, their cutting-edge technology expanded our distribution horizons.”
  • But are blocking innovation
  • Open AXIS messages were in turn donated by Farelogix, the company that developed American Airlines’ Direct Connect technology.
  • GDSs, which are built on operating systems dating from the 1970s, have not been able to facilitate innovation like we have seen in other industries.”
  • multimillion dollar airline product investments “cannot break free of product descriptions limited to booking classes like F, C, or Y and their derivatives. And personalized offers based on availability, customer needs, preferences or histories are effectively impractical.”
  • IATA is working on new distribution standards to enable airline product differentiation, he said. Those standards are based on XML messaging schema adopted as “standard” by Open AXIS, the U.S. organization that promotes XML as the ideal technology connection linking airlines with distributors.
  • “XML standards and customer-friendly interfaces are the new cutting edge, facilitating revolutions in how the world does business.
  • IATA will define the foundation standard this year
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    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.
Prince Wayne

Americans Eager to go Paperless - 0 views

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    As Americans tries to go paper less in many areas, the process is taking longer than expected. A survey conducted by TNS Global Market asks Americans if they would be willing to go paperless. Here are the results: 48% would be willing to reduce their use of newspapers, 45.9 % would reduce their use of magazines, 37.6 % are happy to reduce their use of forms, contracts, documents, 31.6% are willing to reduce their use of books and 6.1% would be willing to reduce their use of toilet paper. What do you think of that 6.1% that is willing to reduce the use of toilet paper?
Kevona Richardson

Email Etiquette: Think before you type - Hcareers - 0 views

  • About 70 percent of North Americans use the Internet and email is their top reason to go online
  • This means it’s a good idea to take the time to create a subject line that’s catchy and concise
  • Nothing is more frustrating than a group of people getting an email that’s directed at a single person
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  • For the most part, “Hi” and “Hello” are for personal emails and “Dear” and “To” are reserved for business emails.
  • A :) (smiley face) and a “LOL” (laugh out loud) might suit a personal email. But when you get down to business, it’s best to stray from abbreviations and emoticons. That means no winks or sad faces and no TTYL (talk to you later). The only abbreviations that might be acceptable are common hospitality-related acronyms, such as ARDA or NRA.
  • About 70 percent of North Americans use the Internet and email is their top reason to go online
  • About 70 percent of North Americans use the Internet and email is their top reason to go online
  • About 70 percent of North Americans use the Internet and email is their top reason to go online
  • Nothing is more frustrating than a group of people getting an email that’s directed at a single person
  • For the most part, “Hi” and “Hello” are for personal emails and “Dear” and “To” are reserved for business emails
  • A :) (smiley face) and a “LOL” (laugh out loud) might suit a personal email. But when you get down to business, it’s best to stray from abbreviations and emoticons. That means no winks or sad faces and no TTYL (talk to you later). The only abbreviations that might be acceptable are common hospitality-related acronyms, such as ARDA or NRA
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    This article is basically the rules and regulations of how to write an email. Netiquette is important because if you make yourself seem professional, the people whom you send these emails to will reply and treat you with respect. Especially if its a business email. The article teaches you about how to write a subject line and the difference between cc and bc. It also teaches you not to use lol and thesmiley face emoticon unless the email is personal. This article also teaches you on how to relax on the punctuations. Too many exclamation marks might seem like your going crazy screaming at someone. It also teaches you about how to properly send signatures. I think everyone should read this article to perfect their emails. Especially students because now and days , there is no need to go to your teachers office. You just shoot your teacher an email and it will make your life easier.
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    This article is about the basic rules of netiquette. It breaks down from everything from the subject to the signature. It shows you differences of writing a business email and a personal email.
kpony001

Air Canada Begins Using a New Way to Distribute Fares to Partners - Skift - 0 views

  • The shape of the future is unclear.For a glimpse at what may come, look to Air Canada, which this week processed its first transaction via a new platform called NDC Exchange.
  • For several years now, Air Canada has offered internet-based connections for online travel agencies and travel management companies to access its airfares. These worked outside of the incumbent three giants of travel distribution, Amadeus, Sabre, and Travelport.
  • About 40 to 50 agencies access Air Canada’s application programming interfaces, or APIs, to process about a million tickets a year via direct connections that avoid the intermediaries.
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  • it enables the airline to have enhanced control over how the content appears on travel agency reservation systems to make sure they’re presenting their full-service products in the best way and not encouraging customers to shop by lowest price.
  • Air Canada
  • began using NDC Exchange, a platform that does the work on Air Canada’s behalf to transform data from its web services into a way that’s readable by sellers using any of the different versions of New Distribution Capability.
  • NDC Exchange was created by airfare filing clearinghouse ATPCO
  • and SITA,
  • the airline industry has heavy control of both organizations, which may help keep costs below what they would probably have to pay third-party distribution giants to do the same work.
  • Wallis said, “My wish would be to put all of my partners in the NDC Exchange, though it would take more than a year to get there.
  • If the vision is mostly fulfilled, the NDC Exchange could take on a life of its own. It could become more than a mere data transformation tool that acts as an integration layer during a presumably temporary spike in updates to the New Distribution Capability standard.
  • “There is a nominal cost to use it for airlines and a nominal cost to use it for the sellers, but if the costs stay low and the system has low latency, then the value would be worthwhile,”
  • The platform could become more valuable if it effectively enabled the cross-selling of ancillary services between airlines.
  • For this platform, SITA is taking on the role of providing the IT networking for messaging and data services to power the exchange, while ATPCO transforms the data.
  • The NDC Exchange runs on SITA’s cloud-based infrastructure and airlines use its 24/7 call-center support to handle any troubleshooting.
  • Amadeus’s Elena Avila, executive vice president, head of Americas, airlines, said, “Air Canada is a long-term partner that we’re thrilled to be working with both on the IT and the distribution side.
  • Amadeus Anytime Merchandising will equip Air Canada to address evolving industry initiatives, such as NDC.”
  • Sabre announced “a commitment to advance at an industry level” new technological and business practice methods with American Airlines and several key players in corporate travel
  • A Sabre spokesperson said in an interview, “Efforts like the one you highlighted [by ATPCO] are often focused only on offer creation, whereas Beyond NDC is focused on developing end-to-end solutions that let airlines retail, distribute and fulfill across the entire traveler journey.
  • Amadeus announced an NDC-X program that’s working with Qantas and American Airlines and with travel sellers like Flight Centre, Travix, American Express Global Business Travel, Carlson Wagonlit Travel, and BCD Travel.
  • The traditional masters of this task — Amadeus, Sabre, and Travelport — could choose to plug into it. But they might have to accept commercial terms that would be less lucrative than past arrangements.
  • Verteil Technologies, an Indian IT provider, will use the NDC Exchange to aggregate the New Distribution Capability content and then enable Indian travel agencies to issue standalone New Distribution Capability tickets.
  • Australia- and New Zealand-based corporate travel technology company Serko is plugging into NDC Exchange.
  • Other vendors launching on NDC Exchange include Airlines Reporting Corp., Innfinity and Atriis.
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    Air Canada's new platform, NDC Exchange, which works outside of the GDSes, allows the airline to manage the way its bookings appear on travel agency registration systems. The system was created by ATPCO (Airline Tariff Publishing Co.) and SITA, the latter of which transforms the data while the former provides the data services that make it have the ability to run,. Recently, several GDSes, such as Sabre, Amadeus, along with other entities like Verteil Technologies, Serko, and more, have also began to utilize their own NDC Exchange program.
Lymaris Collazo

REPORT: STATE OF HOTEL INDUSTRY SIX MONTHS INTO COVID PANDEMIC | AHLA - 0 views

  • The American Hotel & Lodging Association (AHLA) today released an analysis on the economic and human struggle  of the hotel industry six months into the COVID-19 pandemic, with millions of employees still furloughed or laid off and travel demand lagging far behind normal levels.  
  • Key findings of the report include: Four out of 10 hotel employees are still not working. Almost two-thirds (65%) of hotels remain at or below 50 percent occupancy, which is below the threshold at which most hotels can break even and pay debt. Consumer travel remains at all-time low, with only 33 percent of Americans reporting they have traveled overnight for leisure or vacation since March and just 38 percent saying they are likely to travel by the end of the year. Urban hotels are suffering the most and facing collapse with cripplingly low occupancies of 38 percent, significantly below the national average. COVID-19 has left hotels in major cities across the country struggling to stay in business, resulting in massive job loss and dramatically reducing state and local tax revenue for 2020 and beyond.
  • “While hotels have seen an uptick in demand during the summer compared to where we were in April, occupancy rates are nowhere near where they were a year ago. Thousands of hotels can’t afford to pay their mortgages and are facing the possibility of foreclosure and closing their doors permanently,” said Rogers.
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  • As a result of the sharp and sustained drop in travel demand, industry leaders say hotels are now facing the harsh reality of deciding whether to close their doors permanently.
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    In this article you will find a analysis released by The American Hotel & Lodging Association (AHLA) which states the crisis of the hotel industry during this past 6 months and how sales have been declining and the results of this in the Amercian economy.
Qike Chu

Hotel Industry Trend: Mobile Proximity Marketing Gives Hoteliers and Their Advertisers ... - 3 views

  • andexclusivity. 
  • Today, hotels and advertisers have a new tool to reach their guests after they check in: interaction via the guests’ mobile devices—only now, it won’t be by dialing a number or sending a text message. 
  • Proximity marketing is one of the most effective advertising tools to become available for hoteliers.
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  • Proximity marketing offers hoteliers capabilities that traditional advertising never could alone, which is why it is such an effective marketing for hoteliers. 
  • Proximity marketing provides a tool to reach guests beyond just traditional advertising campaigns by adding to existing digital signage and television advertising. 
  • Proximity marketing appeals to what guests want, offering hotels and advertisers increased customer engagement, interaction andexclusivity.  By notifying guests of exclusive promotions hotels have to offer through their mobile phones, hotels and advertisers have a greater chance of customers responding to their advertisements, and therefore a greater ROI on their marketing spend. 
  • Changing technologies provide a new way for hotels to interact with guests.
  • As hoteliers search for new marketing tools to increase interaction with their guests, and advertisers switch budgets from traditional advertising to newer, more interactive “new media”, it is clear that the future of hotel marketing is ready to evolve.
  • With such an increase in the use of mobile devices, hotels and advertisers are now provided with an interactive and immediate way to connect and engage with their guests.  Research shows that 98% of hotel guests turn on the TV within five minutes of entering their room.  This means that within the first five minutes of checking in, hotels are provided with a captive audience that is primed for information and offers.
  • by using wireless Bluetooth® capabilities—95% of mobile phones, including Smartphones are Bluetooth-enabled – to reach guests via their mobile devices, hotels and their advertisers can now offer promotions to guests after check-in, directly onto their mobile phone.
  • By the end of 2011, 91% of Americans will own mobile phones, and Smartphone penetration will double.
  • Research has shown that proximity marketing increases the response rate of traditional mobile marketing making it more effective: through mobile advertising, over 1.2 billion in digital coupons were issued in 2010 (over 41% growth) and response rates for mobile location-based couponing was 23-33 percent.  By adding proximity marketing into the mix, hoteliers can encourage guests to react to an advertisement immediately, create repeat business, and in turn generate larger ROI for hotel advertisers.
  • Increased interaction engages the customer in a hotels promotion.
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    Proximity Marketing is the trend of the marketing sector of the hospitality industry. Based on the statistics, there is a great increase in using proximity marketing recent years. And there are some reasons why hotels choose to use this technology. First, it enables the hotel to reach potential customers and providing electronic forms of advertising. By notifying guests of exclusive promotions hotels have to offer through their mobile phones, hotels and advertisers have a greater chance of customers responding to their advertisements, and therefore a greater ROI on their marketing spend. Second, from the perspective of the hotel, it decrease the advertising cost in terms of decreasing labor cost. It is said that proximity marketing has a tremendous revenue-production potential, and more hotels are engaging in using proximity marketing.
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    Proximity marketing is the localized wireless distribution of advertising content associated with a particular place. It is now becoming one of the most popular marketing tools in any industry especially in hospitality. Marketing people from hotel industry were looking for new marketing tools past few years. Instead of sending out promotion mails or emails, they need to have better ideas. What they realized is that wish an increase in the use of mobile devices, hotels can communicate and provide better service with guest cell phone. They also realized guests usually watch TV, while they are waiting to be C/I. So hotel is now providing offers while guests are in line. It is a Win-Win situation. The way to find communication is now the key of marketing. Proximity Marketing is a type of eMarketing that will help to communicate with guests with low cost.
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    According to this article, it said that by the end of 2011, 91% of Americans  owned mobile phones, and Smartphone penetration have been doubled. Obviously, it becomes a trend in hospitality industry nowadays that more and more people use smart phones and tablets. Based on wireless such as bluetooth, it allows hoteliers to interact with customers much easier and more convenient. Proximity marketing is one kind of eMarketing which is very popular in daily life. It is well known that better marketing brings better sales which of course increases revenues of companies. By sending guests nearby informations about promotions and discounts, hotels attract more guests than before. However, too much informations sent to guests will make them sucks and they have no choice to select what they really want. So in my opinion, I think it should be improved.
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