Airlines vs. the World | An Analysis of Future GDS & OTA Trends | By Douglas Quinby - 1 views
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yiran DING on 31 Jan 13This 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.