The distribution system of rooms in the hospitality industry is vast and complex for several reasons. First of all because it concerns a worldwide market and secondly because of the multiplicity of entities related to hotel distribution.
This article draws on a topic discussed during one of the meetup Hotelier.
Channels of distribution in the Hospitality industry are evoluting at the same time that the tourism sector does. At the beginning, when tourism was being generalized and accesible for a larger number of people a distribution system born – now is knowed as the classic or conventional distribution system.
This distribution channel is constructed as follows:
The customer visits a travel agency, travel agency summited the client’s demand to the Tour operator, the Tour Operator applied a request to incoming agencies via a CRS or else, and finally the incoming agency registered a reservation with the hotel.
Later GDS where implemented to the hospitality industry, and the Consolidators invented for hotels chain to have a data base of hotel’s disponibilties and capacity. This innovation raised a faster way to sale rooms and to prevent overbooking.
With the venue of Internet the landscape fundamentally changes: new entities and new travelers behaviors. We distinguish the OTA’s (online travel agencies) offering customers a faster and direct way to book rooms and compare. Simultaneously, the basis of social traveling starts to raise via travelers communities. Finally, but this is recent, business specialised in “flash sales” are drowning the hotelier’s distribution system.
It is worth to be mentionned that as the online tourism develops in the world, distribution channels are less identifiable as all are connected to different levels and in different ways (ex. Expedia purchased TripAdvisor).
The trend today and because of the full adoption of the Internet – supply and demand wants to be relate directly. Roomkey is a good example of this trend , this site was made to supply directly clients with six major hotel group’s rooms.
Clerk is a response to this trend and to the demand of customers wish to interact with hotels without intermediaries. Discover all the features of Clerk’s Booking plugin for your web site now!