Distribution

Global Distribution System

GDS

A global distribution system (GDS) is a network that connects travel agents and travel management companies to airline, hotel and car-rental inventory so they can see rates and book in real time. The three major GDSs are Amadeus, Sabre and Travelport.

GDSs began as airline reservation systems and still carry most agency-booked air travel. For hotels, their value is reach into corporate travel: travel management companies and many agency booking tools shop hotel availability through the GDS, so a property that is not listed there is largely invisible to that business.

Hotels rarely connect to a GDS directly. Rates and availability usually flow from the hotel’s CRS or channel manager through a connectivity provider, and each property is identified by a GDS property code under a chain code. Bookings typically carry a per-reservation transaction fee on top of any commission owed to the booking agent.

Because the business it brings is mostly negotiated corporate rates booked well in advance, the GDS matters most to city-centre, airport and business-focused hotels, and least to leisure properties that sell mainly through OTAs and direct.

Frequently asked questions

What is a global distribution system?

A global distribution system (GDS) is a network that lets travel agents and corporate travel managers search and book airline seats, hotel rooms and rental cars in real time. The major GDSs are Amadeus, Sabre and Travelport. For hotels, the GDS is mainly a route into corporate and agency-booked business travel.

How does a global distribution system work?

The hotel’s rates and availability are sent from its central reservation system or channel manager, usually through a connectivity provider, into the GDS. Travel agents see that inventory in their booking tools and reserve rooms, and each reservation is passed back to the hotel. Hotels typically pay a fee per booking plus any agent commission.

What is a global distribution system in tourism and hospitality?

In tourism and hospitality, a GDS is the shared booking infrastructure between suppliers — airlines, hotels and car rental firms — and the agencies that sell them. It matters most to hotels that depend on business travel, since corporate travel programmes and travel management companies book largely through GDS-connected tools.

Related terms

  • Central Reservation SystemA central reservation system (CRS) is the platform that holds a hotel or group’s rates, inventory and reservations centrally, and serves them out to every booking channel from one place.
  • Channel ManagerA channel manager is the software that distributes a hotel’s rates and availability to every booking channel and pulls reservations back, keeping inventory synchronised so the same room is never sold twice.
  • Online Travel AgencyAn online travel agency (OTA) is a website or app that sells hotel rooms and other travel on behalf of suppliers — Booking.com, Expedia, Agoda and Trip.com are the largest. Hotels pay the OTA a commission on each booking in exchange for the demand it brings.
  • Rate ParityRate parity is the practice of publishing the same room rate for the same room, dates and conditions across every distribution channel — the hotel’s own site, OTAs and other partners.