A study of more than 650 agents from 34 countries found that travel agents are using Global Distribution Systems (GDS) more than ever before – up 14% from 2011. Hotel/chain websites grew 3%, whilst all other channels shrank.
The 2013 Bi-Annual Global travel agent GDS Study, conducted by market research firm Phoenix Marketing International in partnership with TravelClick, surveyed travel agents worldwide who use Amadeus, Galileo, Sabre and Worldspan.
GDS more popular than ever with travel agents
“The GDS is more popular with travel agents than ever. This year the GDS is on track to produce 58 million hotel reservations, up 5 million from 2011,” said Jason Ewell, Executive Vice President, business intelligence, media and web solutions for TravelClick. “As key influencers in booking decisions, hotels need to merchandise themselves to travel agents at the point of sale through the GDS.”
Rate parity is critical
81 per cent of travel agents surveyed stated it is very important that the GDS offer rate parity. Nearly two-thirds (62 per cent) stated that they would book away from hotel properties that do not offer full rate parity within the GDS.
Rate the critical factor determining the booking decision
The study highlighted travel agents’ desire to provide value and build loyalty with their clients by booking promotional rates and best available rates as opposed to just relying on negotiated rates:
- Nearly 60 per cent of travel agents surveyed said that they will book a hotel room based on best available or promotional message over any other factor.
- The number of travel agents offering their clients alternatives to negotiated rates increased 21 per cent from 2011 to 2013.
- In addition, 53 per cent indicated that a promotional message steered them to book one negotiated rate over another negotiated rate.
Amenities are still driving travel agent behavior
Beyond providing competitive pricing, travel agents also indicated that amenities were critical in making a booking decision. The most popular amenities were free Internet and free breakfast (both at 79 per cent).
“To generate bookings from travel agents, hotels need to go beyond just offering a good rate by providing value-added amenities. This was one area that emerged as more important than when the study was conducted in the past, as travel agents continue to focus on building customer loyalty by providing value that their clients can’t find elsewhere,” Mr. Ewell concluded.
About TravelClick, Inc.
TravelClick) provides innovative cloud-based solutions for hotels around the globe to grow their revenue reduce costs and improve performance. TravelClick offers hotels world-class reservation solutions, business intelligence products and comprehensive media and marketing solutions to help hotels grow their business. With local experts around the globe, they help more than 30,000 hotel clients in over 160 countries drive profitable room reservations through better revenue management decisions, proven reservation technology and innovative marketing.
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