The travel industry thrives on seamless distribution, connecting travelers with flights, hotels, and car rentals. Two key players in this ecosystem are Travel Suppliers and Global Distribution Systems (GDS). While both are essential, they serve very different purposes.
In this guide, we’ll break down their roles, how they interact, and the latest industry shifts including direct bookings, NDC (New Distribution Capability), metasearch engines and OTAs that are reshaping travel distribution.
Travel suppliers are the companies that own and provide travel inventory, such as:
How Travel Suppliers Operate
A GDS is a centralized platform that aggregates travel inventory from multiple suppliers and distributes it to:
Major GDS Providers
How GDS Works
Aspect | Travel Suppliers | Global Distribution System (GDS) |
---|---|---|
Role | Own & sell inventory (flights, hotels, cars). | Distribute inventory to travel sellers (agents, OTAs). |
Revenue Model | Earn from ticket/hotel sales, loyalty programs. | Earn per booking fees & subscriptions. |
Primary Customers | Travelers (B2C) & intermediaries (B2B). | Travel agencies, OTAs, corporate bookers (B2B). |
Tech Focus | Direct booking engines, dynamic pricing, CRM. | Real time inventory aggregation, API integrations. |
Industry Trend | Pushing direct sales, NDC, personalization. | Adapting to NDC, AI-powered search, blockchain. |
For travel agents and OTAs, the key is adapting to hybrid models - using both GDS and direct API connections to offer the best prices.
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