The Difference Between CRS And GDS in The Travel Industry

The Difference Between CRS And GDS in The Travel Industry:

Introduction of GDS and CRS:

If you are planning to enter the travel industry, it is important to understand the difference between these terms. It will help you to gain more online visibility and sell your services effectively to travelers.

1.       Global Distribution System (GDS):

A global distribution system is a huge database that stores and updates huge amount of information about inventory and hotel rates to travel agents and travel websites. Global distribution system is responsible for the extensive growth of the online travel industry and was the stepping stone of most internet-based travel services. Through Global Distribution System, travel agencies can access real-time availability, price and offers of flight tickets, rental cars, hotel rooms, cruises, ferry reservations, trains and other services. When compared to public rates, hotels sell their rooms cheaper on GDS.

It’s critical also for the properties to be on a GDS. Travelers now go to travel portals to find travel products. So, hotels, car rentals, etc. have to be there to get Internet visibility and, thus, more reservations. A GDS allows real-time access to inventory system of a hotel with the current prices, discounts, room types, facilities like Wi-Fi and different aspects of interest to the potential customer. Owners can hire a good travel technology company to get access to the GDS of their choice. A property can be connected only in one GDS provider. If the property owner wants to change the provider, he can cancel the existing provider and activate another with a switch letter. Global Distribution System(GDS) is a costly channel that mainly lets the sale of rooms in large numbers to big companies and travel agencies. So, small agencies don’t need GDS.

          2. Computer Reservation System (CRS):

A Computer Reservation System or central reservation system is an automated reservation that is used to store information, retrieve information and conduct transactions related to air travel. The CRS system was originally designed to be used by airlines and was later extended for the use of travel agents. These days, it is also used to store and distribute information about tourism products and services to the public.

In a time, when OTA sales are hitting the new records and most of the travel companies are using online travel software, hotel CRS has also gained equal weight. Hotel CRS is used for consolidated hotel & motels data for a particular region. The main advantage is the unique inventory, which is not commonly available and the pricing. CRS or central reservation system is a computerized system that revolves around storage and distribution of information concerning resorts, hotels and host of lodging facilities.

Introduction of GDS and CRS:

If you are planning to enter the travel industry, it is important to understand the difference between these terms. It will help you to gain more online visibility and sell your services effectively to travelers.

1.       Global Distribution System (GDS):

A global distribution system is a huge database that stores and updates huge amount of information about inventory and hotel rates to travel agents and travel websites. Global distribution system is responsible for the extensive growth of the online travel industry and was the stepping stone of most internet-based travel services. Through Global Distribution System, travel agencies can access real-time availability, price and offers of flight tickets, rental cars, hotel rooms, cruises, ferry reservations, trains and other services. When compared to public rates, hotels sell their rooms cheaper on GDS.

It’s critical also for the properties to be on a GDS. Travelers now go to travel portals to find travel products. So, hotels, car rentals, etc. have to be there to get Internet visibility and, thus, more reservations. A GDS allows real-time access to inventory system of a hotel with the current prices, discounts, room types, facilities like Wi-Fi and different aspects of interest to the potential customer. Owners can hire a good travel technology company to get access to the GDS of their choice. A property can be connected only in one GDS provider. If the property owner wants to change the provider, he can cancel the existing provider and activate another with a switch letter. Global Distribution System(GDS) is a costly channel that mainly lets the sale of rooms in large numbers to big companies and travel agencies. So, small agencies don’t need GDS.

Difference Between GDS and CRS:

Global Distribution System and Central Reservation System have the same functions but, CRS only provides information about airlines. With GDS, you can reserve a Flight ticket, book a hotel room or Rent a car. This is why it is called as Global Distribution System because you can reserve everything with GDS. For a long time, the Global Distribution System had a dominant position in the online travel industry, but in order to bypass them and avoid their fees, airlines have started to distribute flights directly from their online website. Another alternative to bypass them would be to use direct links to marketing organizations like Online Travel Agencies. Today, Global Distribution System is in intense negotiations with airlines about content and distribution charges every five years.

From time to time airlines and Central Reservation Systems are also discussing a switch to a new hosting system, but this is far less often since it involves a huge technical migration with many risks. Sometimes mergers involve a shift to a combined CRS as well. So, the GDS usually operate the CRS and that is why most people consider the terms GDS and CRS synonymous. But, these two distinct measures of creating value stock management (CRS) and Global distribution (GDS) management. Computer Reservation System (CRS) Also known as central reservation system.

Best Provider of GDS and CRS – Flightslogic:

Flightslogic is one of the leading companies in providing both Global Distribution System (GDS) and Central Reservation System (CRS) in the world. Global Distribution System and Central Reservation Systems are the arrangement of an automated network that is to be retained or executed by a company. The network allows affairs among the travel sector and suppliers such as airlines, hospitality, transport, and tour operator.

Most of the travel companies are wholly dependent on GDS for getting the real-time database. The GDS and CRS allows online travel companies to collect data of airline, hotel room availability, ticket availability in other conveyances such as bus or car and fare, etc. Through GDS such as Sabre, Amadeus, Galileo and Travelport in the booking engine it is possible to access data from several suppliers.

CRS with GDS System by Flightslogic:

1.      Amadeus

2.      Sabre

3.      Galileo