Looking ahead: What will GDS offer

Without a crystal ball it is hard to tell what the future will hold for global distribution systems (GDS). As with any software, the capabilities are quickly evolving. GDSs are offering new solutions to problems and adapting to the needs of guests and agents.

GDSs were originally created as automated booking systems for airlines. These systems largely slashed the amount of time wasted when users had to manually enter itineraries and compare rates. These systems were able to connect travel agents to multiple providers in one convenient system, benefiting both the agent and the providers. Since its conception, the GDS has gone through many changes and has faced some serious threats along the way. In response, GDS firms have evolved through the setbacks and refined their products accordingly.

GDS firms are constantly working toward creating better, more practical solutions for their customers. As the industry becomes more collaborative and more inclusive, so does the technology. Some GDS firms are recognizing the need to include non-GDS, independent hotels in their searches in order to offer a better range of choices. This acceptance has led to a range of GDS firms working to hone their software and make it more attractive to travelers.

The economic growth seen recently means more companies are putting travel expenses back on their budgets.  More international corporate relationships mean more bookings for hotels. With businesses forging relationships across states and nations, hotels feel the residual effects of the relationships.

At the start of 2013, GDS hotel bookings surpassed January 2012 rates by 7.9 percent, according to Pegasus data. While the rates leveled off in the following months, there was still growth in the first-quarter of 2.4 percent, according to Pegasus Solutions. In addition to the positive economic outlook, the technology of GDS itself is proving to be a powerfully tool. With greater reach and increased visibility, GDSs make the jobs of agents easier, and in an information-based industry, ease of work is a high selling point.

The Global Distribution System for hotels will have many more obstacles to face in its evolution, but the future looks bright for this inclusive booking software.

To know more about GDS you can read our posts on advantages and disadvantages of the GDS system.

Also if your associated with Hospitality Industry you might be interested in checking out our article “How to smartly manage Hotel Front Desk with cloud based solutions” HERE.