Insights

GDS – Is it relevant for you in 2023?

GDSOne of the oldest distribution platforms, a GDS is a middleman that connects your hotel to travel agents looking for the right accommodation for their clients. Feeding in real-time rates and availability is important in this highly competitive platform that attracts high-value guests.

But is it still relevant in 2023?

Yes. Hotel marketing experts are unanimous in their opinion that the value GDS (Global Distribution Systems) brings to a hotel’s distribution mix cannot be ignored.

What benefits does GDS bring to hotels?

As corporate travel is ambling back to normal, GDS is definitely very important for hoteliers in 2023.

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Top of the list of GDS’ benefits is it provides a mix of reservations some made with a solid lead in time and some last minute when a business traveller has to make a late decision.

GDS also ensures you have an effective channel mix, one that is not limited to seasonality. Tourists are less likely to splurge on a holiday off-peak as compared to corporates. Hence having them in your channel mix becomes important to ensure you have year-round bookings and also an opportunity to increase your RevPAR (revenue per available room).

How do GDS systems work?

GDS services are only available for authorized users who are licensed and registered since the GDS hotel booking system allows companies, such as travel agencies and corporate bookers, to book travel on behalf of others.

Typically, a GDS is connected to your property management system (PMS) via your channel manager in order to have real-time access to available inventory. Hotel owners can update two rates for GDS – 1) public rate, which is bookable by any travel agent, and 2) negotiated rates, which are only available to a handful of agents.

What are the types of GDS?

There are three main types of GDS – 1) Sabre, 2) Amadeus, and 3) Travelport.

The STAAH Channel manager connects to your chosen GDS easily. Not only is this approach seamless, it also saves you the possible additional costs to set up with each GDS individually. STAAH’s simple solution connects you to a system that connects to the big three GDSs, allowing you to manage all your GDS accounts from one platform.

Final thoughts

Like all other platforms and the travel industry in general, GDS is evolving. How it will serve hotels in the future is not totally clear. However, in the near future, it is a platform that connects you to high-value business guests and must form part of your channel mix.

Tags: channel mix, distribuition, GDS, Global Distribution Systems

Marketing Director, Auckland, New Zealand

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STAAH is a New Zealand-based technology company that specialises in cloud-based channel management and booking engine for accommodation providers helping them maximise their online revenue. Founded by Gavin Jeddo in 2008, a pioneer in the field of distribution technology, STAAH’s industry-leading technology powers a property’s distribution through online travel agencies (OTA) and direct bookings. STAAH partners with over 19000+ properties across 90 countries through its operations in New Zealand, Australia, India, UAE, Malaysia, Philippines, Thailand, Indonesia, Vietnam, Middle East, UK and Europe.

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