Distribution for travel industry is all about connecting consolidators to business and leisure travelers. Such sales are directly done or through a travel agent, both offline or online through websites. Advent of Global distribution system which has led to new pricing and revenue management for airlines importance of distribution has amplified. With the rising cost and increasing competition the survival of travel service provider such as hotel, car-rental, travel insurance etc. depends on the effective marketing strategies they use to grip the customers. A third-party consolidator employs various ways to put their products to market. The technology has helped the suppliers of travel services to seamlessly reach to their target customers through multiple sales channels such as b2b, b2c, b2b2c, b2b2b etc. It also enables these suppliers to sell into at global platform at competitive rates which otherwise is an expensive concern. The customers on the other hand benefits in terms of retrieving vast travel content at different prices.
With continuous development and innovation in terms of technology the procedure of consolidation for third-party suppliers has become much easier. They derive the benefits such as-
* Improved Visibility- The technology helps the third-party aggregators to bring together all the elements of their business at consolidated under single system. The crucial travel information is easy to use and book. Using technology the third-party aggregators can have transparency in travel business. And the information about suppliers accessed globally by travelers thus, improving visibility of supplier.
* Better Control- The third-party suppliers through consolidated data can control the prices of their products such as rooms, flights, etc… The technological systems are capable of generating the worldwide travel spend helps in monitoring performance.
* Improvement in Service and Relationship- The third-party suppliers give the travel businesses with consistent level of travel agent services thus helps in building the partner relationship through technology. Also allows them to offer higher service delivery to travelers.
* Better Management of Information- Through the technology the third-party aggregators can effectively manage the information about travelers, security and program access levels and promoting preferred suppliers. It helps the travel companies in offering standardized travel policies for all the locations.
* Quick Implementation- By using the advance travel technology the third-party consolidator offers centralized implementation support; also address the country specific issues. Standardization of technology helps in minimizing a number of technical issues related to integration.
The digital revolution has turned over way of doing business in almost all industries, and travel is no exception. The internet empowers the travelers by providing information: they have quick access to their flight, hotel, and car-rental options; the ability to compare suppliers off against one another at the same time; and virtual price transparency. The technological advancements have helped in expanding operations of companies that can quickly make an ROI from combining their disparate travel programs across the globe. The game is now about delivering a superior customer experience. If players can do that, the investment returns will follow. Therefore it is time for you to take initiative and explore same opportunity for your company.
