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In 2007, in the last round of GDS negotiations; American Airlines and Delta Airlines warned that they will pull out Of major GDS if they didn't get to have their way. American Airlines threaten once again to pull out, due to other airlines pushing messages; stating that "the airline-GDS business model is broken and must change, leading up to negotiations next year". GDS seems to spite airlines by lowering the travel agents incentive fees, because the airlines lowered their fee that they pay out to GDS that year. JetBlue's vice president mentioned how much the industry took baby steps in the last sets of negotiation. There is a disturbance between the travel agents and JetBlue, in this situation. JetBlue was making profits off GDS, but at the same time GDS is releasing flight seats to travel agents; that don't need help to be filled. Therefore travel agents are making more profits because they are receiving these seats at a higher distribution cost. There are also concerns among the airlines about the GDS financial model that have been broken, and needed to be fixed. The engineer that is over this, stated that it will be fined tuned; and things will adjust. My observation with this entire article is that the airlines that were mentioned are money hungry, and competitive with wanting their own way. They are concerned about the GDS; because travel agents are reaping many benefits that they think only should be offered to them in regards to the distribution cost. It seems, like the airlines just want to be in control of everything. They have to accept that many people purchase through third parties and don't directly go on their websites.

As mentioned in the article the GDS model should be examined based on current trend. American Airline now is directing clients to its direct connect site so all parties need to come together and negotiate in a way that will be beneficial to all including the consumer. It was interesting to read in the article that even though JetBlue is a low cost airline it saw benefit for corporate travelling through GDS.

Ipads changing our life is absolute. In fact, if there is no ipad, something electronic products can also bring revolution in hotel Wi-Fi networks. To tell the truth, free hotel Wi-Fi is too slow.....last year, I had a internship in Holiday Inn Central Plaza Beijing. There had two kinds of Wi-Fi networks. Free network was cover the whole hotel but the speed was slow. The other that must be paid was faster. Some people had video session prefered the faster one. In addtion, hotels should upload their Wi-Fi networks. It can be an attraction of the hotels.

For a hotel the WiFi system is really important because guests prefer the hotel with WiFi system. The guests even willing to pay a small premium to stay at a WiFi equipped lodgings. As the rise of smart phones and ultra-lightweight laptops case the bandwidth problems. I think the hotel can deal with this problems by create various account levels for guests, stuff and visitors. The hotel can allow the visitors to use free WiFi and provide high level account to overnight guests.

I personally prefer to use WIFI in my own room when I visit a hotel because I have more privacy. Some hotels they may offer free/complimentary WIFI in the public area, for example, the lobby, the lounge, etc. At the same time, to limit the overuse of public WIFI, the WIFI in the guests' room are charged by different time period and the length of using the WIFI. It seems to be not fair to those business people who require internet all day long. However, it lowers the expense of the WIFI service and improves the guests' satisfaction of the internet service.

This article analyzed way the Cloud Computing suitable for the hospitality industry, by showing three advantages it provides, such as delivering faster, reducing capital budgets, and minimizing operational costs. It's really an innovative technology. What's more, the article provides some suggestions which need to be taken into consideration for the industry professionals. 1. Is the cloud reliable and secure? 2. Does the cloud simplify integration? 3. Are all new technology providers truly in the cloud? In a conclusion, hospitality organizations can easily gain more competitive advantages with the benefits of cloud computing.

Is the cloud right for your business? It is true. Cloud computing is becoming the new computer network strategy for most small businesses and personal use. This innovated idea for cloud is changing the perception for the hospitality network solutions. Despite the fact, that is much faster, less expensive than local network, minimizes the operational cost related to apps, soft-wares, maintenance for new updates and support, cloud computing environment tends to be more reliable and secured for most starting up businesses. The Cloud is the right technology strategy for 2012 and beyond. In addition, businesses using this new network solution can obtain the return on investments within weeks, not months or years. The platform may be based on a monthly fee subscription or pay as you go type, and sometimes there isn't any up-front fee for new starters at all. Sure enough, the cloud is a compelling option for capital budget decisions.

According to the article, Cloud computing is changing hospitality information technology. Here are three main reasons highlighted in the article: 1. Fast return on investment. Cloud is inexpensive, no additional platforms needed, which also provides savings. 2. No upfront payment, cloud computing is based on subscription prices that vary depending on the scale. 3. Minimal operational costs Thus most of the benefits relate to cost and productivity. Cloud is promised to be safer that on-premises back-up systems, and has multiple layers of security. Cloud computing consists of multiple services and networks, and is not stored on one company's network. Cloud is instrumental for a limited budget, and helps to extend and evolve your company in affordable way.

This article describes how a new company, HotelTonight, is attacking the market of spontaneous travelers. The company made an app for iPhone an Android users that sends "Impulse Rates" to users who have the app. Impulse Rates are heavily discounted rates on hotel rooms offered by hotels through HotelTonight for rooms that have been unsold that day. If users like the offer, they can book the room through the app in eight seconds with only three clicks.  There is also a little interview with HotelTonight CEO, Sam Shank in which he answers questions about how the company runs.  I think this is a great idea for company. It helps everyone involved - hotels increase revenue by selling rooms that otherwise would have been empty, consumers get great deals on rooms, and HotelTonight profits off of a nominal fee for processing the transactions. This is similar to the Ding! app from Southwest airlines but designed solely for mobile devices. 

Here is a link to the company's website. I don't have the app but it looks like it would be pretty easy to use. http://www.hoteltonight.com/

A great idea. Truly a win-win for all. I'm glad that they are finding the impulse rates are not affecting the amount of regular booking guests. I would like to try this myself and live life to the fullest.

This article discusses how Shift4 POS provider and Service Tracking Systems for valet parking have come together to integrate their two systems to make it possible for guests to be charged for valet parking directly to their room folio, instead of splitting up the two charges, which is making it easier for the guests and management on a day to day basis.

This is a really good implementation for hotels. By charging the parking fee to the rooms, it is not necessary for guests to worry about whether they have cash or not. It also saves the time for passing the exit of the hotel.

The added convenience of this feature is great. It is suprising that this has not been in place longer. It seems like a no brainer since hotels have been able to direct bill a room for dinner for so long. Next they should direct bill the tip for the bag courier so you do not need to tip him at the door. Once a guest accepts help to his/her room, the "delivery" fee could be charged directly to the room. This removes the need for a service evaluation when you have just arrived at a hotel. The tip amount could be tasteful revealed to the guest so there are no suprizes.

Highlights of the article: REPORT FROM THE U.S.-After the initial jubilation over an online distribution channel with commissions around 10% wore off, hoteliers are now beginning to ask tough questions about how Roomkey.com will be marketed to compete with existing third-party sites. My descriptions: President and CEO at Hospitality eBusiness Strategies stress the importance of Room Key. He mentioned how large Room Key can cover and spread to the market. He and other members of the management team found the strategy of eBusiness is cost-saving.Emarketing can help their company cut half of the marketing budget. Hilton and Marriott international hospitality management company have already joined Room Key.And because franchisers have increase franchisers fees about advertisement, more and more hotel join Room Key.

There are concerns about how Room Key will gain a stable consumer base ".. the average consumer-how do they even learn about Room Key?" However it is clear that Room Key will be more accurate and reliable when consumers search through rates for participating hotels. Room Key has been created to offer "one last shot to convince the consumer." However, there are some hotel franchiser's that will not continue backing this project.

Highlights of the article: REPORT FROM THE U.S.-After the initial jubilation over an online distribution channel with commissions around 10% wore off, hoteliers are now beginning to ask tough questions about how Roomkey.com will be marketed to compete with existing third-party sites. My descriptions: President and CEO at Hospitality eBusiness Strategies stress the importance of Room Key. He mentioned how large Room Key can cover and spread to the market. He and other members of the management team found the strategy of eBusiness is cost-saving.Emarketing can help their company cut half of the marketing budget. Hilton and Marriott international hospitality management company have already joined Room Key.And because franchisers have increase franchisers fees about advertisement, more and more hotel join Room Key.

GDS systems began in the 1960s with the airline industry in order to track, schedule, check availability and pricing for flights. The first two GDS's that were created was SABRE which was owned by American airlines and Apollo owned by United. GDS provides a perfect marketplace for the travel industry, helping them increase revenue and online marketing exposure. According to researchers travelers that book packages which include hotel, airfare and special events tend to stay longer at destinations and spend large amounts of money. Large and small businesses that sign up for GDS systems to be accessed in their property may receive a small amount of online reservations. Smaller properties can expect 10-20 reservations per month, larger properties may receive as many as 5-10 per day. One of the factors which reflect on the amount of reservation your property may receive consists of your location, unique amenities and services which may appeal to travelers. I have worked in the industry for over 2 years and numerous times I have had to handle reservations made by expedia, travelocity and other third party reservations and room types are not guaranteed. Guest usually arrive to the hotel stating how they have requested double beds and unfortunately on a night where the hotel is sold out the guest has to be told that their request can not be meet because with third party companies room types are not guaranteed. Guest are constantly upset and expect to be compensated in some sort of way, although they are paying approximately $200 dollars on a room that is going for $400. In my opinion GDS are great for saving money and providing the hotel with occupied rooms, but can really cause an inconvenience for those guest that are not able to receive what they requested.

Great article mentioning the detail of GDS cost; an initial one-time sign up fee, a recurring annual maintenance fee, 10% per GDS reservation to the travel agency or travel website that provided the customer reservation. To make consumers book their trip or room through your own website, make sure you have a well designed website, easy to use navigation.

Billing software is important for the hotel. It can helps the hotel account for telephone charges, Internet usage, equipment fees, surcharges and taxes in real time. With the declining of the telecom revenue the new call accounting modules should adapt to new market competition. Some of the hotel adjusting room rate to balance the telecom revenue lost. Even though the use of the telecom is declining, proper use hotel call accounting system can still bring profit. The accounting system can provide traffic reports identify grade of service, peak calling hours, and the number of trunks the hotel should have to run telecom smoothly. The calling accounting report can show where guests are calling. It is easy for hotel find its target market and negotiate better tariff plans. The call accounting system can make fewer mistakes than the night auditor. All calls are being record with the help of calling accounting system. Hotel should update the critical information in calling accounting system monthly and all the properties use the same tariff table and follow the same guidelines. In this way hotel can avoid inaccurate billing and lost revenue.

Hotel call accounting software or hotel accounting software in short is a system records telephonic activity, translates it into relevant data and arranges it in reports, graphs, charts etc for analysis. In the hospitality industry, the call accounting software plays an important role as an interface between the hotel management/staff and the customers. Call accounting products allow hotels/motels to bill guests for all phone calls that the property will have to pay for, recovering costs.Managers can also detect phone misuse or abuse, optimize phone system performance, allocate telecom costs by department or extension, set special rates for VIP guests, and decrease billing errors.

Using accounting system to generate revenue for hotel is a great way. Today, revenue management is strong relay on those more accounting system. Properly use accounting system can support hotel generate more profits. Also, proactive hotel properties use call accounting reports to determine calling patterns that show where guests are calling. All these data help the hotel target marketing and negotiate better tariff plans.

1/5 of travel businesses make more than 50% of their revenue from sales outside the GDS booking system, and as they do this, payment transactions are more unreliable and vulnerable opening bigger risks to the customers

Travel Agents are now faced with the situation where they have to utilize all channels to stay afloat. The market has gotten so competitive with more airlines going the direct booking route. Travel Agents now have to be flexible though they face the risk of multiple accounting systems. This could potentially increase the cost of doing business and they may have to input information in multiple system which of course per article may lead to mistakes. GDS may need to look at their approach and some of the fees charged if this trend continues.

This article, posted on seekingalpha.com discusses the success behind Kayak. Kayak is an OTA that "gives consumers a one-stop research solution to best fares along with other value-added services like flight status updates and pricing alerts." However Kayak's revenues stem primarily from advertising and referrals. The article futher breaks down the percentiles of the profits with ads at 55% and referrals at 38%. Kayak's stock is at a premium and only seems destined to improve. A very interesting graph portrays estimates of its improvements for both ads and referrals.

This article highlight what different hotel chains are doing in order to "go green" It looks at different sections of the hotel and explains what the hotel chosen is doing to go green in the different areas. The first are is the Guest Room. The article explains the the Kimton Hotels have recycling bins for bottles, cans and paper and this increase there recycling rate to 75% over 3 years. The second area the article touches on is the Kitchen. It explains how the Fairmont Hotels and Resorts are encouraging their kitchens all over the world to use organic foods. The third area the article explains in the Bathroom. Apparently, the Aloft group has installed refillable shampoo and body wash dispenser at its locations and plan to do it for the future locations they are opening. As it relates to the outdoors, Asia's Six Senses is protecting the seascapes with chlorine fee pool sanitation system in order to protect the coral and marine life. The article also explained that the RockResorts have changed chemical cleaners to cleaners that were more natural. The article also states that changes are being made in shops and boutiques. The Swedish Scandic hotels stopped selling bottle water at 147 of their hotels and Banyan Tree resorts has partnered with local vendors to sell in their boutiques. I feel that all of these hotels and resorts are going in the right direction in order to save the environment in which they operate.

USA TODAY assembled five of the industry's top executives last month at the Americas Lodging Investment Summit in Los Angeles in the LA Live JW Marriott hotel for a discussion of the industry's latest developments. They were: Marriott International CEO J.W. "Bill" Marriott Jr.; InterContinental Hotels Group (IHG) CEO Richard Solomons; Carlson CEO Hubert Joly; Choice Hotels CEO Steve Joyce; and Eric Danziger, CEO Wyndham Hotel Group. The discussion ranged from hotel Internet fees to iPad apps, new lobbies and chainwide hotel renovations. The hour-long event was moderated by USA TODAY's Barbara De Lollis . The text has been edited for clarity and length.

Thought this was a great article from the perspective of five of the top industry executives. Of particular note was about the issues of catering to the newer wireless data hungry traveler. Interesting to see all of their comments and concerns. Seems like this is an issue that is across the board and there is no consensus at the point about how to tackle.

This article is about the concern of customers paying their purchase online, and not through a machine as is the most typical way to do it. But for many this transaction is not safe at all, there could be hackers that can make fraud. This is why two of the most popular CC companies has developed the Visa's 3-D Secure™ and MasterCard's 28SecureCode™ to keep their customers safe, these cards requires a personal security code for every transactions and other personal information in order to keep the purchase safe and some others requires a monthly fee to obtain this service.

This article introduced how GDS controlled the whole industry in the last decades. Most airline companies and hotels use GDS and the traditional distribution channels and travel agencies dry up. But after 2001, things become different. Hotels need to do marketing and distribution by themselves to survive. But many of them are not professional, so they lock themselves into OTA contracts. They need reinvented hotel marketer by themselves. 

My article this week is about how GDS (Global Distribution Systems) can be compared to a seatbelt. The author opens the article discussing the main reasons we still continue to use seatbelts; even though they aren't the most comfortable or fashionable items to use, they still do their jobs in saving our lives when it comes to a collision of some sort. The author is in favor of GDS and makes the claim that like seatbelts, the GDS may not be the most up-to-date or may not appear to be as nice as other local systems to each individual airline, but they get the job done and there are no other systems out there like it that we know of (no other systems that do everything he GDS system does that is). The main topic of discussion that the article is concerned with is the recent decision made by the company Lufthansa to start charging its customers an additional surcharge for using GDS systems instead of going through its own system. The author clearly makes it know that she doesn't believe Lufthansa when they say they are charging this additional surcharge because GDS is the most expensive channel to go through. "Because there's no reason to think that an airline should expect to distribute its products without any cost, Lufthansa's recent gambit seems more of a tactic for increasing lagging direct distribution... Its strategy seems to rest in shifting distribution costs to corporate buyers" claims Rose, the author of the article. The author also points out some of the draw backs of using agency portals, the main reason being that a customer cannot compare rates of other competitors and that agency portals cannot handle high volume transactions like the GDS can. It is also made known that there are costs that come with other channels as well, like the prices you pay for building airline websites and keeping them updated. The author concludes that "Given the history of negotiations between airlines and GDSs, it's impossible to know whether Lufthansa is using DCC as

One issue that I always get into when travelling is misplace my room key. Every time I leave my room I have to find my room card first, even just for getting the ice, or for finding a microwave in the middle of the night. And when we return to the room, I have to dig into my purse to find the keys to open the door, not to mention when there is something wrong with the key due to all kind of issue. This Smart Band is so convenient and useful, I can simply leave the room anytime and not have to worry about losing the room key or misplace it somewhere else. The only concern I have about it, is that there is fee for it. Although it seems to be reusable, it's not well adopted in the industry, but I'm sure the cost will eventually go away. 

The term known as a Point of Sale (POS) has evolved greatly in the past couple decades. From an actual human being in a ticket window, to instant mobile ticket sales, we've come quite a long way. Technology has given us the ability to purchase things on both a leisure and business level instantly. From a business standpoint, POS helps optimize inventory, cash flow, expenses, and revenue. And from a leisure standpoint, it just gets consumers what they want faster. This article focuses on the importance of today's POS in small businesses. Stripe, Venmo, and Square are just a few POS applications that help small businesses. This allows the company user-friendly access to invoices, billing, taxes, inventory, payroll, purchase history, etc, etc. Venmo, for example, allows instant payments to either individuals or companies with a few touches of a mobile device, without the presence of the actual card. This third-party POS system verifies and then stores your account information. Prior to these tools, many companies had to resort to only taking cash, or incurring overwhelming credit-card transaction fees. Although evolving POS systems are an asset to small business, there is still a risk of compromising confidential information. For example, WingStop had four locations' POS systems compromised. This results in a lot of bad press and a lot of upset customers.

Mark Starkov, President & CEO at HEBS Global provides advice as to how to understand and optimize several tools hotels use for bookings. We live in a world where mobile connectivity is on the rise with no fall in sight. More and more people are spending more time and money on and through these devices, and it is something that our travel and hospitality industries are booming from. In 2014, nearly 40% of web visitors and page views were credited to non-desktop computers. In terms of hotels, these devices can also account for over 20% of bookings and 17% of sleeping room nights. Between 2013 and 2014, hotel revenue generated via tablets more than doubled and booked over 77% more room nights than non-"pure" devices. These stats alone should have all hoteliers seeing opportunity. The world of e-commerce is allowing hoteliers and other travel companies to open up many revenue streams. Between DGS, OTAs, and CRM, we are able to reach a much wider audience and bring in an exponentially larger amount of business. These tools do not work for free, as there are often commissions or subscription fees these companies are compensated for. As valuable as these third-party tools are, it is equally important to invest in your direct-booking outlet. Booking direct business keeps the most money in your pocket. Not only will you get optimum rates, you will also save on commissions, referral fees, etc. Just imagine not having to pay a third-party commission of 10% of a $100,000 dollar piece of business. That's 10 thousand saved. Sometimes, when large corporate events are booked, there can be two referral services involved, resulting in 15% commission payout. In terms of direct vs. third-party business, a hotel could not survive on only one.

Computer skills are listed on almost every job description posted. However, companies are now being more selective when choosing the candidate that will be more cost effective for their organization. Employee turnover is becoming more expensive especially if it is a seasoned employee with the database knowledge for the organization. Each employee comes with a cost to train, if the employee enters the job with prior computer knowledge the fees associated to hiring that person are less. From a personal standpoint, when looking to hire a front desk agent and two agents apply one with prior experience on Opera PMS and one without, I would hire the agent with experience. This is a cost savings measure for me on labor as the experienced employee would require less training time. In my opinion, a 2 week notice is very rare in our industry or with the new generation in general. Therefore causing employers to be in an urgent state to hire when one employee leaves. Finding the appropriate candidate with prior computer based knowledge is only more enticing with that in mind.

This article summarizes why we wont be seeing a decline of GDS use in the travel industry anytime soon. As stated in the article "nothing beats a GDS model for booking seats on planes". The article suggests that a good GDS agent can ultimately work more efficiently than someone working with a GUI. Another major positive to using GDS is accessibility. A firm can book both corporate and leisure travel from anywhere, as long as internet access is available. In one study 62% of agents said that air content was the biggest draw of a GDS. One agent said that when booking air the GDS system Amadeus gives her a selection of choices in a fraction of the time it takes her clients to see them online. Clearly, GDS systems such as Amadeus and Sabre are saving agents and customers time and money while booking. Another upside to using GDS is that it allows agents to see routes, departures and arrival times which are important because many clients have preferable airports when they travel. The article also says how GDS is more commonly used for air and car rentals instead of hotels. It also gives a look into why Airlines werent a fan of GDS usage. For example, GDS were changing revenue models for airlines because GDSs paid travel agents and it seemed that they were buying loyalty with money from airline fees.