What is a Global Distribution System

Summary

Global Distribution Systems (GDS) are the backbone of the travel industry, connecting suppliers like airlines and hotels with distributors such as travel agencies. These online networks enable access to vast inventories, allowing agents to offer clients the best travel options. By streamlining the booking process, GDS ensures efficient inventory management and provides a comprehensive search and booking platform, crucial for the expanding travel market.

Takeaways

• 🌐 Global Distribution Systems (GDS) have been integral to the travel industry for over 30 years.
• 🔗 A GDS serves as an online network connecting various companies within the travel sector, including travel agencies, cruise lines, hotels, car rental companies, and airlines.
• 📝 GDS functions by taking inventory content from suppliers and making it available to distributors, streamlining the booking process.
• ✈️ Airlines act as suppliers with reservation systems that track the availability of seats, which GDS accesses through contractual agreements.
• 🛂 When a booking is made through a GDS, it ensures the airline's reservation system is updated, reflecting the change in inventory.
• 🏨 GDS provides access to a wide array of travel options, including flights, hotels, and car rentals, enhancing the customer's choice.
• 🔍 The system filters numerous options to present the best travel options to both the travel agent and the customer.
• 📚 GDS allows travel agents to book multiple services, such as flights from different airlines, hotels, and car rentals, in one go.
• 🌍 The vast network of suppliers accessible through GDS enables customers to have access to the best possible travel options.
• 📈 GDS is vital for the growth of the travel industry, as it helps suppliers reach more travelers and provides agencies with a broader range of options to offer.
• 🔄 The GDS connects suppliers and distributors by contracting with suppliers for inventory access and providing this access to distributors for comprehensive travel searches and bookings.

Q & A

What is a Global Distribution System (GDS)?

A Global Distribution System is an online network used by companies within the travel industry to connect travel agencies, cruise lines, hotels, car rental companies, and airlines, making their inventory available for booking.

How long have airlines and travel agencies been using GDSs?

Airlines and travel agencies have been using GDSs for over 30 years.

What role does a GDS play in the travel industry?

A GDS connects suppliers with distributors, allowing them to access and book travel options such as flights, hotels, and car rentals.

Can you give an example of a supplier in the context of a GDS?

An airline is an example of a supplier in the context of a GDS, as they provide the inventory of seats available for booking.

What is the function of a travel agency as a distributor in a GDS?

As a distributor, a travel agency uses a GDS to access and book travel options from various suppliers on behalf of customers.

How does a GDS access the inventory of an airline?

A GDS accesses an airline's inventory through a contract that allows it to view and update the number of booked or available seats.

What happens when a travel agent books a seat through a GDS?

When a travel agent books a seat through a GDS, the system ensures that the information is sent to the airline's reservation system and the inventory is updated accordingly.

Can a GDS be used to book more than just flights?

Yes, a GDS can also be used to book hotels and car rentals, providing a comprehensive set of travel options for customers.

How does a GDS help in booking a trip for a customer like Jean?

A GDS helps by filtering thousands of flights, hotel options, and car rental options, allowing the travel agent to present the best travel options to the customer and book them through the same system.

Why are GDSs considered vital for the travel industry?

GDSs are vital because they help suppliers reach more travelers and enable agencies to offer more options, supporting the ever-growing and expanding travel industry.

How does a GDS facilitate the search and booking process for travel agencies?

A GDS facilitates the process by providing access to a vast network of suppliers, allowing travel agencies to search and book travel options in a thorough and efficient manner.