How Important is Global Distribution System (GDS)?

GDS stands for Global Distribution System and it is basically a central reservation system that enables travel agents to access, in real-time, availability, feature and prices for hotels, airlines, trains, rental car companies, cruise lines and additional travel services worldwide. The influential global distribution systems are Amadeus(1987), Sabre(1976), Galileo(1993) and Worldspan(1990). They are controlled and managed as joint ventures by significant airlines, car rental organizations, and hotel groups. These travel software and innovative solutions have helped travel agencies to grow fast on a global scale. Initial consumers of Global Distribution System are travel agents and travel companies (web and office-based) to place a booking on various reservation systems run by the vendors. A GDS system provides access to the vendor's database in real-time.

Global distribution systems (GDS), have contributed much to shape the eventual fate of worldwide travel market and as yet shaping the future till today. During the initial days of the computerized reservation system, airline reservation booking was not reasonable without GDS. As global air travel began to expand these systems were moved out for travel agents in which they were given direct access to place booking from their location or offices. 

Amadeus was established in 1987 by Air France, Lufthansa, Iberia, and SAS. The creation of Amadeus was intended to be a substitute for U.S distribution systems 'Sabre', which went public in October 1999. Amadeus also provides solutions like availability, cost, booking and other processing services in real-time to travel agents and travel agencies through its Amadeus CRS. It is the largest player in the air travel reservation market followed by Sabre, Travelport. Amadeus is utilized by more than 32000 airline sales offices for the management and sale of travel services.

Things have changed since last two decades, the internet has revolutionized travel reservation/booking allowing customers to search online and cut down of travel agents. However online travel companies and travel management agencies still place bookings using GDS platforms, since they give the most broad range of travel accessibility over the globe. The making of the GDS was to illuminate the issue which was providing single infrastructure to travelers and customers, it provided an easy comparison between multiple airlines thus which brought cost effectiveness and choices to consumers. 

For a considerable length of time, GDS has been serving the travel industry with authenticity, security, speed and efficiency to airlines, hospitality, car rentals, and much more. The progression of change in the travel industry, empowered by innovation, has moved quickly. There's no suspicion that global distribution systems will have a critical impact on the travel industry for a long time to come, yet it is unclear what precisely the future holds for the global distribution system associations. However, GDS tool must improve continuously as their usual function is being challenged by all the transformations taking place in the travel industry. Two primary factors impacting the role of global distribution systems are the growth of online travel websites that offer price comparisons and the extended push from the airline and other travel service providers to drive consumers to make bookings directly via their websites, airlines have proceeded consumer-direct strategies.

Organizations around the globe are developing innovative solutions to the difficulties in the global travel distribution marketplace.  It won't be long before they hit the standard.

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