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Kevona Richardson

Travel agents know something you don't - CNN.com - 0 views

  • In an age where travelers of all ages turn to the Internet to book flight and hotel reservations, modern travel agents are offering expert advice on cruises and tour packages to far-flung locales, advice on the best a particular city has to offer, exclusive perks, hidden discount prices and the security of an adviser in case of inconvenience or disaster.
  • Successful agents know that their customers have access to lots of travel information -- often too much -- and want time-saving guidance, exclusivity and security in a complicated world.
  • It's true that there are fewer U.S. travel agents today: 105,910 in 2010 versus 111,000 in 2006, according to the American Society of Travel Agents. And there are fewer agencies: 14,800 agencies in 2010, compared with 18,850 in 2006, according to ASTA.
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    Arthur & Alex Beach were onboard the Costa Concordia when it began to sink. They were taken from one place to another on bus and train, until they go to an airport outside of Rome where they were able to call their son to call their Travel Agent, Jackie Berube, where she helped them book a flight out the next day. Many people these days have access to the internet where they can look at the information themselves. There are also many people that would like to save the trouble and call a Travel Agency to help them find specific information. Although when the Economy isnt doing so well, they begin to drop Financially because people are traveling less. Travel agents used to rely heavily on a percentage of the price of an airline ticket, now they often charge flat fees for airline ticket purchases or creating a custom trip package.
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    Some travel agents has made a shift in the way they do business. Since most agencies have went out of business after airlines took away their commissions and consumers started to shop online, they had to start offering more service than the internet can provide.
Yunfan Wu

Was hotel marketing always this complicated? Part Two of Three - GDS consolidation and rise of OTAs - Tnooz - 0 views

  • These four GDS vendors controlled the marketing and distribution channel for the entire industry. They had market power and could impose higher fees at a whim on both the agent and airline. At the same time airlines sought ways to lower their distribution costs.
  • For the most part the hotel industry did not have the coordination or the moxie to fight like the airlines and simply paid the higher distribution fees and travel agent commissions.
  • But the larger effect was that the travel agency industry was shrinking; in a short period of time hotels saw their traditional distribution channels dry up. No longer were agents sending customers to the hotels.
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  • The arrival of the internet as a commercial device only accelerated the demise of the travel agency business. Of the nearly 40,000 independent travel agencies in existence, less than a third still exist today.
  • In 2001, the early years of our hospitality consultancy, general managers walked through our doors describing their online marketing strategy as “having a static online hotel brochure, email, and Expedia“.
  • The catchphrase “direct online distribution strategy” described the new world order in hospitality. Yet hotel managers were slow to embrace the idea that they would soon be entirely responsible for the marketing, sales, and distribution of their hotel inventory.
  • hotels locked themselves into OTA contracts that required steep discounts, ever-increasing inventory, and multi-year agreements. To this day OTAs resemble GDS-like oligopolistic behavior.
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    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. 
cpaez007

Airline ticket distribution: How airlines might reduce Global Distribution System (GDS) fees by encouraging customers to use direct distribution channels - Industry perspectives - 0 views

  • After a quick search I found and booked the same ticket through an online travel agency for a bit more than the price on the airline website, but less when you included the €8 fee. Unfortunately this small change in booking method would have cost the airline a substantial amount of money. Here’s why…
  • Selling costs generally represent around 4% to 8% of overall airline expenses
  • Many airlines sell a large proportion or the majority of their tickets through indirect channels.
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  • A key driver for the high cost of selling tickets through indirect channels is the fees charged by Global Distribution System (GDS) companies for each ticket sold. With airline profit margins under constant pressure airlines need to find ways of reducing distribution costs by selling tickets to customers directly instead of through 3rd parties.
  • The fees to distribute tickets through the GDS are relatively high averages around US$12 per return ticket [2]. In 2012, it was estimated that approximately US$7 billion in GDS fees was paid by airlines which was over twice the industry’s expected net profit for that year [3].
  • Quite simply, the GDS is something that airlines cannot live without. Why? If your competitors are using the GDS and you are not then your tickets will not appear in any searches by 3rd party distributors meaning it is unlikely your tickets will be sold by the 3rd party.
  • Even low-cost carriers such as Air Asia and Ryanair that have avoided the GDS for years have recently started selling tickets through the GDS as they have realised that they are missing out on revenue from not selling tickets through the GDS.  
  • The ‘New Distribution Capability’ (NDC) is a XML-based data transmission standard set by the International Air Transport Association (IATA) and provides a set of guidelines for communications between airlines and 3rd party distributors. The NDC will allow for the sale of ancillary products (for example, baggage, meals, special seating etc.), something which the GDS currently cannot handle. However, while the NDC has the potential to help airlines boost revenue, there are still questions as to whether there will be any benefits stemming from reduced distribution costs.
  • How can we make our direct channels so attractive that customers will want to use them over indirect channels?”
  • The simplest solution is to ensure that the user experience on the airlines website is seamless and easy. Users are highly likely to abandon online bookings and use another booking website if they encounter difficulties. Simple actions such as ensuring customers are not diverted to an error page can translate into a significant increase in direct bookings
  • Airlines might also want to re-think the way it provides incentives and commissions for ticket sales.
  • With the trend moving towards airline consolidation (for example, partnerships, equity interests and mergers) airlines might also consider how they can work together to sell each other’s tickets on their websites. This strategy goes well beyond the sale of interline or codeshare tickets and will give customers benefits including the ability to book multi-airline itineraries directly from an airline website. Of course airlines must be wary of how they do this to ensure they are not in breach of any anti-trust regulations.
  • There is no ‘one size fits all’ approach and for an airline to decide on the best distribution strategy it will need to conduct a solid analysis into their customer behaviours, channel usage and also the commercials of their different distribution systems.
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    In this article we discuss the issues that airlines are having with the GDS system. They give an example of someone attempting to purchase a ticket through an airline website, and then through a travel agency. The direct airline method was only cheaper, if the guest provided information to a direct bank account. The cost for airlines to sell is a bit less than 10%, and they are sold mostly through indirect channels, like travel agencies. The main reason this can happen, is the integrated GDS system. A GDS system is a data facility that shares inventory information for various airlines to different 3rd party channels. The issue with this, is that the total in fees for the use of the GDS system was around $7billion, which is twice the amount of net profit they are receiving. People state that the airline system cannot survive without the GDS, but is that statement really true? Airlines like Air Asia or Ryanair have really attempted to focus on selling tickets directly, and really expand on their profit. How can this be achieved? Well, airlines are making the booking process easier for guests to manage, which gives them more of a reason to book through there. Also, they are offering greater loyalty rewards for directly booking through the site. Different incentives need to be created to attract guests to book directly. Lastly, they would like to create another distribution system, to put GDS out of business. This new system will work to allow guests to handle meal and baggage fees. Concepts that the GDS cannot handle. With that said, will this new system reduce costs for airlines? I guess they will have to wait and see.
kakaboshi

Travel advisors urged to take active role in NDC implementation: Travel Weekly - 1 views

  • While the major GDSs -- Sabre, Amadeus and Travelport -- initially resisted NDC, all three eventually reversed course and last year announced that they would develop and test NDC-enabled solutions.
  • "It is clear that the GDSs are now en masse embracing NDC and trying to at least equalize the airline dot-com content and experience and trying to bring that to the indirect channel,"
  • Sabre earlier this month released its first set of NDC application programming interfaces (APIs) with United Airlines. That gave some agency customers the ability to make NDC bookings, which Kathy Morgan, vice president of NDC at Sabre, called "huge."
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  • As far as integrating NDC into its agency points of sale, Morgan said some capabilities are expected to be integrated into Sabre Red 360 by the third quarter this year.
  • By 2020, IATA wants 20% of sales with a group of airlines known as the Leaderboard to be powered by NDC.
  • Five airlines are currently supplying NDC content on Travelport's platform, and Ferguson said more will be introduced throughout the year; access to NDC content via Smartpoint will also continue to expand.
  • Considering many major airlines' bookings are split roughly 50-50 between direct bookings and agents, Ferguson said meeting IATA's goal would require that about 10% of agent bookings are powered by NDC by the end of 2020.
  • Gianni Pisanello, head of Amadeus' NDC-X program, said that in 2018, the company worked to develop NDC using test programs with airlines and agencies. This year, Amadeus is in deployment mode.
  • "We're trying to implement this with as many airlines as we can and as many agencies as we can this year," Pisanello said. "Next year, 2020, is really going to be a fine-tuning year." 
  • "We are dependent on airlines and their airline systems to be ready before we can do our bit as a GDS provider," Pisanello said. "And, of course, then the agencies are dependent on us as an intermediary to upgrade them and enable them to integrate those services into their own systems. So there is a sequential path here to the deployment of NDC."
  • The ability to make NDC bookings is expected in Amadeus' point of sale app, Selling Platform Connect, by this summer. As with the other GDSs, functionality will initially be limited. At first, agents will be able to complete an essential booking flow: the ability to search, book and settle. Additional features, such as the ability to change bookings, will be rolled out as they are developed.
  • Now is the time for travel advisors to step up and get involved with their GDS's efforts to implement IATA's New Distribution Capability (NDC), thus helping to shape its future
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    GDS companies continue to evolve and implement new technology to stay in line with current consumer demands. After initial resistance, they are implementing the NDC program into their system. NDC (New Distribution Capability) is a travel-industry supported program launched by IATA for the development and market adoption of a new XML-based data transmission standard (source: https://www.iata.org/whatwedo/airline-distribution/ndc/Pages/default.aspx) This article discusses the need of the airlines to upload useful content and for the travel agents to be more actively involved in order to make it useful for them. However, with major airlines' bookings split between 50% direct booking and 50% agents, and the airlines' efforts to drive more direct booking traffic, I wonder what is the sentiment of the companies to provide with more content and information on a platform that competes directly with their efforts to increase direct sales from their websites. Selling air tickets directly from their sites not only allow the companies to decrease booking fees and commissions but also allow them to collect much needed date from the consumers who use their services.
yimengliu

Are travel agents REALLY booking less often with GDSs and going direct? - 2 views

  • The report says agents are booking air tickets 15% less than they did in 2006, while they’re booking tickets direct from airline websites 65% more. That result combines with the trend that there are fewer than 10,000 agencies in the US today — down from 32,000 in 1998.
  • That’s one perspective, over a long period. But if you look at the latest data from another source, a different picture emerges. TravelClick, a provider of cloud-based solutions for hotels, found that GDS room nights in Q4 2013 grew by 5.3%, year-over-year, in North America. That was a larger jump than it reported for either OTAs or brand.com sites received from travel agents.
  • GDSs have long given travel agents a cut of the fees, while also often supplying back-office systems. GDSs have wanted to reduce these kickbacks in recent years, as airlines have negotiated hard on segment fees. But they haven’t been able to, as the bargaining hand of agents has been strong.
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  • GDSs have responded by trying to make their tools more user friendly with “graphical user-interfaces”, but uptake has been slow. Despite complaints, some established agencies seem reluctant to learn new systems.
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    There has a report about the travel agents are booking less with GDSs, the customers booking air tickets 15% less than they did in 2006 and they found they are booking tickets from the company the airline website 65% more than before. According to the research, more than 32,000 travel agencies in the US in 1998, but there are less than 10,000 travel agencies in the US today. According to this report, the article trying to find the answer about if travel agents are doing significantly fewer bookings with GDSs. Online travel agencies are very popular led by Priceline.com, Expedia, and Orbitz etc. More and more people would like to book the hotel rooms, airline ticket via the OTA. The benefit of the OTA is the customers can see the price of the different hotels or airline companies on one website rather than several websites. That can help customers save the time and money because they always can show you the lowest price. OTA make the booking easier and clear. We know how popular of the Online travel agent in these years. That's why this article trying to find it out of why the percentage of direct booking more than their booking via GDSs. Travel agents attract a lot of customers that can directly influence the number of booking with GDSs. "ASTA's survey found that American agents use GDSs to book hotel rooms 29% less today than they did in 2006 but agent reservations made on hotel websites have increased 58%". But if we change a perspective, TravelClick found that GDS room grew 5.3% in the 2013 year over year. Therefore, we can found that travel agents use of the GDS for hotel booking growing very fast than direct booking via the company website.
swhit149

What is Global Distribution System (GDS)? - Guide For New Travel Agencies - 0 views

  • Many travel agents around the world are using the Global Distribution System (GDS) as their major booking channels
  • significant growth of the travel industry.
  • s the brain of the travel industry.
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  • provides real-time information to companies such as airlines, hotels, car rental and travel agencies.
  • can find the availability of hotel rooms, flight seats or cars on behalf of their clients and book through the same GDS.
  • When a traveler requests information from a travel company, the agent will find the most accurate and cost-effective itinerary.
  • Travel companies are charged every time they access the GDS or they can buy a particular software offered by the GDS on a yearly basis
  • The airline industry created the first GDS in the 1960s to track flight schedules, availability and prices
  • They were used by the airline industry to automate the booking system, but, later travel agents were also given access
  • Amadeus
  • Travelport
  • Sabre
  • Effective in attracting international travelers24/7 access to inventoryEnables business models such as retail travel agency and OTA (Online Travel Agency)Offer consumers increased pricing transparencyTravel agents can get a global platform with a strong market penetrationProvide best rates to your customers which no other system can providePlace travel services to many clients without affecting your marketing budget
  • To use a GDS, you have to be a professional travel agent. For that, you must have a proper industry ID such as an ARC (Airlines Reporting Corporation) or IATA (International Air Transport Association) number.
  • Some airlines will not allow you to issue tickets even if you have a full IATA license.
  • they may sell it to you for $150-$160/year (contact the GDS provider to know the exact amount). The software will allow you to reserve tickets on any airlines.
  • A corporate travel agent who books on behalf of corporate clients or an individual working at a corporation who needs to book flight tickets for all their employeesComplex itinerary agents who have steady clients with multiple travel plansHigh volume booking of air-only travel
  • While changes will continue to impact the future growth of GDS, there will definitely be a role for them.
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    This article thoroughly explains how GDS was brought into the airline industry and how a travel agent may get access with the proper training. GDS systems will not be going anywhere I do feel as if it will only improve on helping those that use for travel. As the article states its goal is to impact growth for the future!
nashalsiddiqi

Future of Global Distribution System and Travel Agencies - 1 views

  • the future of GDS and travel agencies. It will be like dinosaurs using new techniques for basic altercation which is related to their expenses
  • GDS provides a digital marketplace that brings together buyers and sellers to allow for the smooth processing of travel transactions and technical standards to simplify sales of all types of travel interim products and services at all stop in the travel course.
  • GDS provides a digital marketplace that brings together buyers and sellers to allow for the smooth processing of travel transactions and technical standards to simplify sales of all types of travel interim products and services at all stop in the travel course.
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  • tter exposure of the property GDS would not be cheap at begining stage
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    The article discuss the relationship between global distribuition system and travel agencies, it also focuses on why OTAs are still using GDS as the first point of contact in the business. also discusses couple of statistics on how growth in the need of GDS have decreased through the last ten years.
amajo017

What is a hotel global distribution system (GDS)? (+3 types) - 0 views

  • A hotel GDS gives your hotel access and visibility to thousands of travel agents and corporate bookers
  • A global distribution system can integrate with your Property Management System (PMS)
  • As part of a GDS hotel booking system, your hotel will be exposed to a more targeted, professional travel community that alternative property types don’t have access to.
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  • First, you should know that GDS services are only available for authorized users who are licensed and registered and not accessible for use by the general public.
  • For the widest visibility and revenue-earning potential, consider connecting your PMS to a GDS distribution platform that will allow you to connect to several big-name hotel GDS providers and manage your account on one system.
  • In terms of hotel GDS providers, there are three main giants that dominate the market:
  • Cloudbeds’ simple solution connects you to a system that connects to the big three GDSs mentioned above, allowing you to manage all your GDS accounts from one platform.
  • Still, GDSs also have the power and functionality to send their inventory to OTAs.
  • A global distribution system (GDS) is one of the best ways for hoteliers to promote their hotel in the global corporate travel market. It’s a critical component of a well-rounded distribution strategy and helps hotel management increase occupancy within the lucrative corporate travel segment.
  • A global distribution system is an online system that delivers real-time hotel, airline, train, and car rental inventory, room rates, discounts, and more to travel agents and other businesses.
  • As part of a GDS hotel booking system, your property will be exposed to a more targeted,
  • GDS hotel booking system allows companies, such as travel agencies and corporate bookers, to book travel on behalf of others.
  • Public rates are visible and bookable to all agencies in a GDS and are subject to commissions paid to the booking agency. Common public rates are the Best Available Rate (BAR), Corporate (COR), and Government (GOV). Negotiated rates are only visible to companies with which you have a special agreement. The authorized agencies that can book these rates must enter an agreed-upon GDS hotel code called a Rate Access Code. Since negotiated rates are based on net rates, they are not subject to commissions.
  • Amadeus has been connecting travel providers to travel sellers since 1987. They serve over 770,000 hotels in 190+ countries worldwide and have a global team of 19,000 employees. Aside from hotels, Amadeus also services airlines, airport operators, rail operators, ground handlers, car rental companies & transfer providers, insurance provider groups, and cruise lines & ferries
    • amajo017
       
      This is the one my work uses!
  • Sabre has been part of the birth of airline automation since the 1960s. Today, they have almost 400,000 travel agents in their global travel marketplace. Their technology products include travel-focused mobile apps, check-in kiosks, airline and hotel reservation networks, ticket agent terminals, aircraft & crew scheduling systems, revenue management solutions, and more.
  • (Galileo, Worldspan, Apollo) – With origins leading back to 1971, Travelport encompasses the Galileo, Worldspan, and Apollo GDS systems. Their worldwide travel retail platform services travel agencies and suppliers with distribution, technology, and payment solutions, among others. They have partnerships with hotel chains and boutique hotels to develop targeted promotions and flexible rate models to gain greater visibility in their markets. 
  • The GDS system will likely evolve in the coming years rather than become obsolete, so it’s worthwhile connecting to one if you want to attract more business travelers and make gains in the corporate travel industry.
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    This article talks about the GDS and how it can help attract clients in particular business clients. It starts by giving all the benefits of the GDS. It then goes on to explain how the GDS works and who can access it. It ends by talking about the types of GDS systems and how they will evolve and stay relevant in the future.
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    This article describes the different types of GDS programs that hotels might use. The one my hotel uses is in here as well! It outlines why they are important, how they are used, and the massive reach that they have. Most companies use GDS to streamline their efficiency so it is interesting to read why it is so effective.
Kristen Kaminski

Phonebooth Helps AiresLibre Travel Soar to New Heights with First-Class VoIP Phone Solution - 1 views

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    AiresLibre Travel, a Florida-based boutique travel agency, needed a phone solution that would meet the company's needs as a global business. Aires Libre Travel is an expanding business that books customized vacations worldwide. This agency AiresLibre Travel has selected "Phonebooth" as their VoIP solution. Phonebooth is a cloud-based VoIP provider that is able to support mobile call forwarding and global call transfers with reliable and clear service. These features are beneficial to the agency because the staff is not only very busy, but they are located in different parts of the world. Raquel Segura, CEO and owner of AiresLibre Travel, mentions in the article that if she is unable to take a phone call, it will automatically be forwarded to her business partner in France. Not only does Phonebooth allow for the agency to be in constant communication with their customers, it allows them to "deliver exceptional customer service and treat international calls as if they were local-with a clear connection and affordable price."
Laura Alonso

NSA, FBI Mining Data Directly From Major Internet Companies, Report Says - 0 views

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    This article by Jaikumar Vijayan from CIO.com is very interesting because it provides a challenging question between personal privacy and public security. The government program code-named PRISM is the motive in which the government is using to gather statistical information. In my opinion, extreme privacy without scrutiny is not more valuable than the safety of Americans or other would-be victims. I don't think it is completely accurate that the stated companies such as Google, Skype, Facebook, Microsoft, etc. don't provide the "back door" for government agencies because they have loyalty to both consumers and the government. Completely free reign and unfettered access to government agencies is a stretch, but to say security agencies have absolutely no right to look for evidence or track suspicious activity for relevant threats and possible attacks is completely unfounded and uneducated. It would be a much larger folly for governments to not track terrorist activities and let their networks run free then to not study behaviors and contacts. Otherwise, people of bad intentions would communicate easily and freely without consequences and proper agencies have no leg-up on potentially dangerous situations. The American people have their right to privacy, but the founding fathers never could have imagined a world where it is so easy to exchange information, tactics or events so quickly. Even contemporary technical analysts and engineers couldn't fathom the technology we have now just 30 years before the internet became publicly accessible. And if they did it is safe to assume they're security measures would have been the priority of American lives than somebody scared of having their facebook messages or Google e-mail snooped on. After all, if you're not a terrorist, and surely you aren't if you're reading this, what is there to hide?
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.
anonymous

Hotel consortium website takes aim at online travel agencies - USATODAY.com - 0 views

shared by anonymous on 27 May 12 - No Cached
  • Room Key is designed to give the benefits of booking your room directly with the hotel and enough choice from these hotel chains and their partners that you won't be tempted to plunk your money down on an online travel agency site instead.
  • On Room Key
  • you can then view an overview of each property, along with photos, a map and ratings and review snippets from TripAdvisor.
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  • You'll get the benefit of earning rewards points, avoid the unpredictability of diverse booking fees from online travel agencies, and make special requests for things such as early check-in or connecting rooms.
  • you opt to use the "Book it" button with no hotel logo shown
  • these hotels come through a Room Key partnership with Travelocity.
  • you'll have to prepay and might miss the benefits of booking directly with the hotel.
  • I found instances when it offered a different room type or lower rates at specific properties of its founding hotels than were available on sites such as Expedia, Orbitz, Hotels.com, Booking.com, Travelocity and Priceline.
  • Room Key provides a convenient and flexible way to shop for stays at major chains.
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    This article discusses the collaborative creation of hotel chains such as Hilton and Marriott, RoomKey.com. It is an OTA site that provides benefits to users who choose to make reservations with the partnered hotels. It is different from other OTAs in that loyalty program points can be used, users are aware of the hotel at which they are making the reservations, the prices are lower, RoomKey provides detailed views of the location and rooms, and there are no hidden fees. I thought this was an interesting article in that it displayed some of the hotels' efforts to compete with OTA websites.
Hanlu Hu

Hospitality industry can benefit from upgraded telecom tech | Subsidium Technologies - 0 views

  • Businesses in the travel industry are often required to connect, collaborate and communicate with other entities all over the globe. Companies within that sector that specialize in hospitality services need to have particularly efficient telecommunication processes if they want to vie for an elite position among their competitors. Outdated telephony and collaborative platforms can be unreliable, and for businesses that provide a service that depends on optimum customer satisfaction, poor accessibility can make the company appear to be unprofessional.
  • Maestro PMS is a cloud-based hosted storage and backup system that businesses can integrate to replace their old physical, in-house servers
  • Businesses that are looking to improve their own telecommunication systems should first contact a professional technology consulting agency before beginning their implementation planning process. With their evaluation and unbiased advice, decision makers can rest assured that they are investing in the best possible solution for their company.
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    In this article talk about hospitality industry has to upgrade to make more benefit for making more profit than now. There is more telecommunication technical solution that is able to hospitality telecommunication problem entities. Notrhwind, the inventor of the PMS software system in hospitality industry since 1987. Northwind offers PMS (Property Management System) in hotel software. Maestro PMS is a storage and backup system based on the cloud computing system and replace from their old data to in hotel server. Tim Belcher assitant general manger of Legacy Hotel and Conferences, one of the telecommunication companies, said that the problem of the telecommunication system could replace duties of their IT staff since maintain and resolve problems with storage provider. Business that are looking to improve their own telecommunication system, the company should contact a professional technology consulting agency before set up the implementation planning process.
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    More and more companies in hospitality industry are focusing on telecommunication, for telecommunication system could help them better manage the company and enhance customer service. Before choosing the right system, companies have to consult a professional company and conduct lots of development and research work. Then they can find a right one for the company. A right telecommunication solution, like PMS in the article, could help reduce cost and time, as well as providing great customer service.
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    This article is indicating that hospitality industry can benefit from upgraded telecommunication technology and hospitality serviced need to have particularly efficient telecommunication process if they want achieve success among their competitors.  A new system is introduced in this article: Maestro PMS. It is a cloud-based hosted storage and backup system that business can integrate their old physical, in-house servers. And the system backups and upgrades in secure network operation hosting facility, which could let operators focus their attention on guest service and revenue generating activities. This article also suggest that if company looking to improve their own telecom systems, it is better to contact a professional technology consulting agency before beginning implementation planning process.
Nicole Dudley

GDS usage on the rise as travel demand grows - 0 views

  • Industry leaders’ speculations that the global distribution system is dying a slow death have lingered for the last decade, ever since online-travel agencies made their debut in the hotel distribution space.
  • A study conducted by the American Society of Travel Agents in 2009 found the percentage of member travel agencies that used the GDS channel declined from 98% in 1999 to 79% in 2009.
  • However, despite the decrease in GDS usage amid the most recent global economic downturn, hotel companies and travelers still find value in the channel, according to sources interviewed for this report.
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  • Sabre Travel Network, for example, saw an increase of more than 7% in its GDS bookings during the first quarter of 2012 over the same period last year
  • “And it’s a steady trend that’s gone up over the last several years,”
  • Many hoteliers are attempting to leverage those increases in demand through dynamic pricing models, which offers clients a percentage off a hotel’s best available rate on each travel date as opposed to a fixed, negotiated rate for the year
  • But that does not mean leisure travelers are not using the GDS as well.
  • “If they are shopping online with (the OTAs), then they are using the GDS
  • Indeed, overall demand has increased from both leisure and corporate travelers
  • Corporate travel demand is primarily responsible for that uptick
  • “Hotels that have typically had a negotiated rate for each corporation can actually work better with corporations with dynamic rates, as long as they are able to ensure they are giving that corporation access to whatever the deal of the day is
  • One of the trends she is seeing in the GDS channel is the increase of combined business and leisure trips
  • . “People are traveling for business in parts of the world and extending it to stay for leisure.”
  • There’s more opportunities for hotels to put promotions, put leisure opportunities on there … It enables hotels to really take value of the GDS.”
  • More and more, Kennedy is seeing corporate account managers ask: “What would you offer our travelers for their weekend stay if they wanted to stay longer or extend?” “What can you offer for group rates?”
  • The GDS is not going away any time soon because of the unique solutions it provides for hotels and travelers alike
  • For instance, it is better-suited to handle incredibly large look-to-book ratios
  • The GDS also provides enhanced marketing support
  • Although these and other benefits will continue to attract hoteliers’ inventory, Cole said the GDS would provide additional value if distribution costs were lowered
  • Travel-management companies are coming up with many security reporting and informative ways to show corporations where people are at any point in time, which can be important for insurance purposes
  • “Insurance companies are also pushing today that (companies) know where their employees are,” which the GDS facilitates,
  • The pricing model provides corporations with a lower rate when demand decreases but also gives hoteliers the opportunity to achieve higher rates when demand increases, Kennedy said. “It’s a win-win for both sides.”
  • Many hoteliers are attempting to leverage those increases in demand through dynamic pricing models, which offers clients a percentage off a hotel’s best available rate on each travel date as opposed to a fixed, negotiated rate for the year,
  • Corporate travel demand is primarily responsible for that uptick
  • Sabre Travel Network, for example, saw an increase of more than 7% in its GDS bookings during the first quarter of 2012 over the same period last year,
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    This article is about the current rise in the use of the GDS system again. This rise has been seen primarily with corporate travelers, but has also been used by the leisure traveler. While GDS usage percents dropped from 98% in 1999 to 79% in 2009, it has slightly started to increase again. Sabre one of the larger GDS companies has seen a 7% increase in use of the system in 2012. Hotels have tried to give companies better rates to their consumers, for example as more corporate travelers are extending their stays from a business trip and then turning it into a leisure trip for a few more days. This gives the traveler a lower rate a night at the hotel, as they are staying for more nights. Overall, while there was a decline in the use of GDS because of the OTA, there is now a slight increase, bringing life back to the GDS system.
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    This article gives an in depth explanation of the importance of GDS's in the hotel industry and the increased usage of the GDS due to the rising travel demand. The American Society of Travel Agents conducted a study in 2009 and found the percentage of member travel agencies that used the GDS declined from 98% in 1999 to 79% in 2009. A significant portion of the decrease was due to the economic downturn, but regardless hoteliers and travels still found value is the GDS channel. According to Sabre Travel Network, there was an increase of more than 7% in GDS bookings during the first quarter of 2012 over the same period last year. The demand for corporate travel is the main reason for the increase. Many people that are traveling for business want to extend their trips for leisure. This allows hotels the opportunity to adjust their pricing strategies by putting travel promotions for leisure for the business travels as well. Many people utilize the GDS to find the most affordable prices, but it is also beneficial to hoteliers as well. Elaine Kennedy, one of the two interviewed in the article, stated the pricing model provides corporations with a lower rate when demand decreases but also gives hoteliers the opportunity to achieve higher rates when demand increases, which ultimately is a win-win for both sides. The GDS also provides many opportunities for hotels to cut costs. Robert Cole, the other person interviewed in this article, stated "The GDS also provides enhanced marketing support….immediately when you use the GDS to put your product, your service, your room, your rate, you're getting it in front of an audience without using your own marketing budget." According to Robert Cole, the GDS is not going away any time soon because of the unique solutions it provides for hotels and travelers alike. I believe this article was very informative on how the GDS is currently being utilized and where it is going in the future. It basically helped answer question 3
Joshua Frost

The Heat is On: Five Online Travel Trends Set to Explode :: Hotel News Resource - 0 views

  • smartphone sales will reach 982 million
  • Expedia reports that 65% of hotel bookings within this last 24-hour window are via mobile, and 15% for flight bookings.
  • Expect also to see increasing numbers of mobile-only companies entering the fray.
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  • A report by eMarketer indicates that ecommerce sales in the US are expected to hit $119 billion in 2012.
  •  
    Another interesting article here regarding smart phones and the booking process. How many times have you gone home to your computer to book a flight or a hotel? Well according to this article you are one of the few. Expedia reported that 65% of hotel bookings in a random 24 hour period were booked on the go. With smartphone sales reaching $982 million this year, there are many companies that are now doing "mobile-only" booking. eMarketer indicates that ecommerce sales are going to reach $119 billion this year. With that being said, travel agencies should be bracing themselves for a hit. If people are using sites like Priceline and Expedia more and more everyday, eventually there will be no need for agencies.
Dalton Draper

Integrating e-commerce into a hotel's overall business strategy - 0 views

  • commerce should be a compliment to every part of a hotel's operations. All staff members need to be briefed on the advantages of taking a collaborative approach to e-commerce
  • needs to understand the correlation of stellar customer service on online guest reviews and the ability of a hotel to sell its products online.
  • sales departments
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  • understand the advantages of using e-distribution channels to aid travel agents and offline sales and get involved in the process
  • But hotels are trying to use e-marketing more effectively as well as focusing on social media outlets to lure prospective customers to their direct channels
  • At the end of the day, the channels that provide the most conducive environments to consumers (i.e. price, ease of use, accessibility) will win the business.
  • What do you think is the most critical aspect of integrating e-commerce into a hotel's overall business strategy?
  • Maximising direct business is most critical as it is the most profitable strategy for a hotel.
  • Ratings and reviews are a trend that is becoming more and more important. I've read that nearly 50% of consumers won't choose a hotel until they read a review. Hotels and brands need to consider this.
  • Earlier this year, an e-commerce professional mentioned that customers do not like pre-made packages, they love to package themselves by cherry picking on different sites.
  • The packaging site of tomorrow could just be a travel shopping cart that lets you add different components from different sites then price it for you when you are ready and even finding the lowest price and you are ready to book.
  • Price and quality are now more transparent than ever and sites that are more transparent will enjoy more conversions
  • Online travel shopping is still in its infancy. What we need to do is facilitate what consumers really want.
  • As an industry, we are not very sophisticated regarding our need for and requirement of intermediaries. In dire times, we are very aggressive with them
  • we must understand the true cost of bookings through each channel.
  • We need to understand when we need them and when we don't so we can minimise cannibalisation.
  • We need balance. There should be a partnership. It's unfortunate that intermediaries feel they need to cannibalise. Margin and share of business needs to be fair for both entities.
  • Which according to you is going to be biggest development in the travel distribution space this year?
  • Mobile. There has been quite a bit of traction, and we have plans of our own for this space.
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    This interview talks to Gareth Gaston, senior VP of Global E-comerse in the Wyndham Hotel Group, about recent trends in E-comerse.He believes that E-comerse should be apart of every department in the hotel, Front Office, Sales, Marketing, and the departments should help the Online Travel Agencies to draw more guest. Mr. Gaston believes that hotels need to start to create a partnership with online travel agencys(OTA) and begin to create a better system for price consolidations online rather than fight them at every turn for overbooking or under-pricing.
Michael Anthony

GDS - 0 views

  •   NFO Plog is a recognized and highly respected research firm that specializes in the travel industry, and has more experience in surveying travel agents than any other research company.
  • travel agents
  • travel agents are increasing … not decreasing … their reliance on GDS systems for hotel information. 
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  • Travel agents are now less likely to use printed hotel directories, direct mail, fax, and the phone to gather information about hotels.
  • Travel agent readership of the promotional text messages continues to have significant influence on hotel choice: 53% of all travel agents who recall GDS advertising report that they made a booking at a hotel at least once in the prior three months due to a GDS ad.
  • ad impressions are sent to 83% of GDS terminals worldwide
  • An advertiser only pays for ads delivered to these terminals.  Situations where an advertiser does not pay for ads would include the following: Terminals at selected agencies that have been turned off to GDS messages by agreement with the GDS to support the agency’s preferential booking programs. A travel agency group has created their own user interface that does not utilize the screen interfaces (with advertising) provided by the GDS. Terminals that are not viewed by a travel agent, but instead are being utilized by a robotic program.  This determination is based on an assessment of the transaction speed that would indicate a programmatic application.  In order to make sure that ad impressions are not wasted, advertising is turned off to these terminals.
  • In 2003, estimates are that travel agents will book $11.5 billion in room revenues compared to total online consumer bookings via the Internet of $7.5 billion.
  • Hotels are seeing a large return on their advertising investment through the GDS.  For a typical reservation worth $200 in rooms revenue (two night stay and $100 ADR), only a 0.5% response from travel agents would create a 10 times return from a GDS advertising campaign. 
  • Still Rely on GDS for Hotel Selection , 83% of GDS Terminals Receive Text Messaging/Advertising
  •  
    GDS and text messaging being used in the travel agency
Melissa Krajewski

Travelport agent survey finds support for GDS ancillary sales - Travolution.co.uk - 0 views

  • Corporate and leisure travel agencies can expect more technology to help them sell airline ancillaries after a global survey found high levels of support for this service through GDSs.
  • Agents understand that as the airline product continues to evolve and ancillaries form an increasingly significant role in the purchase decision and buying process, travel customers continue to look to agents to support them in purchasing itinerary solutions.
  •  
    This article discusses what travel agents think about the enhanced ability of both corporate and leisure based travel agencies to sell airline ancillaries because of improved Global Distribution Systems' technologies. Ancillaries are products and services that airlines sell to gain additional revenue on top of your ticket price. Ancillaries have become increasingly popular in the airline industry because of the sky rocketing price of jet fuel. To keep ticket prices down airlines are "unbundling" items from the overall experience. This presents them with an opportunity to turn a profit by charging fees for bags (carry on, checked, additional), on board food and drink, credit card purchases, headphones. It seems like everything you encounter from when you arrive at the airport to when you disembark the plane has a fee. This phenomenon is especially present in Low cost carriers such as Spirit, Air Tran, Jet Blue, etc. However there are consumers who disagree with this additional costs as is apparent in Southwest's continuous marketing campaign. I'm sure everyone has seen the commercials with Southwest representatives 'flagging' down unnecessary fees in order to promote their 'bags fly free' campaign. Anyhow the reason I am explaining ancillary revenue is because travel agents are now starting to sell more ancillary products such as hotel accommodations, travel insurance, rental cars because of GDS technologies. They can track the sale of fees through EMD (Electronic miscellaneous Documents) which is the current industry standard. In the article some agents state that the EMDs are hard to understand and use. I believe until the EMDs become "seamless and easy to use" there will exist some hesitation to sell airline ancillaries. However on the other hand the article states that Travelport is working towards a simple and uniform platform called Travelport Universal API/Desktop. Once this comeplete perhaps more agents will feel comfortable selling ancillaries. This is a goo
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    Diigo keeps cutting off my descriptions... This is a good start to acknowledge the opinions of travel agents using GDS to sell airline ancillaries but the arguments were confusing and hard to follow. From reading the article I would address ethical concerns that airline agents may have in selling ancillary revenue for commission since 44% of those polled did not impose fees for attaining the additional products and services. I understand the airlines need to stay in business with the increase of jet fuel prices but there must be some way to avoid imposing the fees besides raising ticket prices and laying off employees (American Airlines announcing 13,000 layoffs).
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    I still remember when most airlines used to include breakfast or dinner for their passengers including alcoholic beverages well that doesn't happen any more. I believe when Travelport Universal Desktop becomes available it would become more clear to travel agencies the transaction process and for the consumers what products and services they are ofering.
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    I too miss the days of free sodas and peanuts. "Sigh-" sometimes its the little things in life that bring the most joy. I agree I think the new Travelport Universal Desktop will be a valuable tool if utilized correctly.
YUNTING CHEN

U.S. Spy Agencies Look to Cloud Computing, Clapper Says - 0 views

  •  
    According to the article, cloud computing has huge potential for achieving saving and promoting integration and will play an important role on integrating computer and information system to share more data securely. Clapper said" over the next five years, we will make some serious and notable changes in systems for labeling, tagging, monitoring and accounting for information shared across agencies. Also, intelligence agencies are trying to separate more sensitive information from substance that operatives, analysts and officials need. The US government also will monitor its information system in order to prevent from unauthorized access. The objective is to offer better information with fewer concerns about security.
Claire Conway

GDS usage on the rise as travel demand grows - 1 views

  • A study conducted by the American Society of Travel Agents in 2009 found the percentage of member travel agencies that used the GDS channel declined from 98% in 1999 to 79% in 2009.
  • However, despite the decrease in GDS usage amid the most recent global economic downturn, hotel companies and travelers still find value in the channel, according to sources interviewed for this report.
  • Sabre Travel Network, for example, saw an increase of more than 7% in its GDS bookings during the first quarter of 2012 over the same period last year, said Nancy St. Pierre, a spokeswoman for Sabre, which is one among several major GDS companies including Abacus, Amadeus, Galileo and Worldspan.
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  • The GDS is not going away any time soon because of the unique solutions it provides for hotels and travelers alike, according to Robert Cole, founder of hotel marketing firm RockCheetah.
  • The GDS also provides enhanced marketing support, St. Pierre said
  • Many hoteliers are attempting to leverage those increases in demand through dynamic pricing models, which offers clients a percentage off a hotel’s best available rate on each travel date as opposed to a fixed, negotiated rate for the year
  • GDS would provide additional value if distribution costs were lowered. “I think that what hotel companies don’t like about GDS is there’s a relatively high transaction fee.”
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    In 2009 the GDS usage declined from 98% to 79%. ALthough there has not been a demand to use this technology, there has been a demand in the first quarter in 2012. There has been an increase because of corporate business demand. GDS is being used to transfer room inventory to global distribution partners as well as travel agents and OTA's. Hotels using the GDS technology offer a percentage to a client instead of a fixed rate. This happens as long as companies have access to the hotel's system everyday. According to Robert Cole, The GDS system is notgoing anywhere because of its unique solutitons to hotels and travelers. It makes it easier for everyone.
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  •  
    Although there was a significant slowdown of GDS usage between 1999 to 2009, bookings are steadily increasing over 2012's first quarter. The growing demand is primarily from corporate travel, but leisure travel reservations are also picking up speed as well, especially in the form of job related trips that end with vacation days. Hoteliers are increasingly following a "dynamic pricing model" which has flexibility of rates to increase during high demand and vice versa, encouraging weekend stay-overs and group rates. In spite of previous estimations, GDS enhances the online search tools rather than being replaced by them, since it is much better suited to handle large amounts of site traffic than smaller companies and independent, as well as providing a cost-free marketing presence for the tourism providers. Hotels still consider GDS transaction fees high, but this is an ongoing negotiation. Corporations appreciate GDS' security reporting features which pinpoint employee locations as well.
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    Corporate travel demand is primarily responsible for the rise of GDS usage. There has been an increase in business travel. Many consumers are attempting to leverage those increase in demand through GDS. The pricing model provides consumers with a lower rate through GDS than the actual average rate. The GDS is not going away anytime sooon.
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    This article shows that although GDS were thought to be the end, with its efforts of changing price and strategies, it still can postpones its life circle and continue growing gradually. However, I am a little doubt about this article, because the result it concludes just based on the interviews of three person.
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    This article is about how global distribution systems are still in demand even though they were said to be dying out. Industry leaders thought that with the development of online travel agencies, GDS's would soon be out of business. This isn't the case though. Well it is proven that member travel agencies have been using GDS's less this could be linked to the economy. The people who are purchasing travel through online travel agencies are still using the GDS every day. Business travel is also up in the past 10 years and also an increase in business travelers extending their stays for leisure. With that leisure and corporate traveler are help keeping GDS's alive. But GDS's would be even more profitable if they lowered their transaction fees.
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    The GDS has decreased steadily over the past decade, but recent studies have shown that there has been a small increase. The increase is thought to be due to corporate travel.  Many hotels are trying to increase the use of the GDS through dynamic pricing models. This model offers a percentage off the hotels best available rate depending on what the demand is. The GDS provides many benefits like facilitating the online search process, offering immediate access to information without using a marketing budget, and high sense of security. The only downfall is that the distribution costs are too high, because transaction fees usually are around $5. 
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