“Global Distribution” is a phrase used to describe the network of online sales channels that allow hotels to showcase their available inventory, rates, rules and restrictions on various Online Travel Agent (OTA) websites, like Expedia and Travelocity. Through OTAs, guests use specific search criteria, such as location, room type, arrival and departure dates, to find hotels and book reservations.
On the surface, global distribution is a fairly straightforward concept. However, when you “peek behind the curtain” to closely examine the network of systems working together to provide hotels access to global distribution management services and connect them to potential guests, you realize the process is more complex than it appears.
To highlight the important role global distribution plays in unlocking new revenue streams and increasing profits for independent hotels, we will take a look at the key stakeholders responsible for hotel distribution management. Additionally, we will share how independent hoteliers can leverage innRoad to both manage their properties and connect with new global travelers in a simple and cost-efficient way.
The most important component of the global distribution network is an independent hotel that is prepared to connect with new audiences, generate additional revenue and increase profits. This may sound like a no-brainer for every hotel, but as we discussed in a previous blog post, the hotel industry is currently experiencing an increase in demand and revenue, so there is great competition for travelers in local markets and globally. And in exchange for their dollars, hotel guests expect top-tier service, warm hospitality and excellent value. The pressure is on hotels to operate at a high-level and consistently deliver upon their guest’s expectations, or else risk missing out on this industry-wide opportunity for growth.
It’s at this crossroad where independent hoteliers must balance the investment of time, energy and money needed to strengthen their daily operations against leveraging global distribution channels to attract new guests. As a partner to the hospitality industry, innRoad has developed a solution that allows operators to not only better manage their hotels, but also directly connect to the industry’s leading global distribution channels through one, fully integrated hotel property management system (PMS).
With innRoad’s cloud-based, all-inclusive hotel property management software, hoteliers have all the tools needed to streamline their operations, maximize performance and meet the needs of their guests. Our Property Management tools reduce the time needed to complete front desk and back office responsibilities. innRoad’s Revenue Manager allows hotel operators to monitor and optimize critical performance data in real-time. And our Booking Engine captures commission-free reservations directly through a hotel’s existing website. But it’s innRoad’s Global Distribution services that simplify the process of attracting new leisure and business travelers.
Before independent hotels are featured on popular OTAs, like Orbitz and Booking.com, they must first be listed on a Global Distribution System (GDS). A GDS operates as a gatekeeper for OTAs by collecting and storing all of the vital property information, such as daily rates, room types and bed types, that travelers use when searching for hotel rooms. As a result, when a traveler’s search criteria matches a hotel’s inventory, real-time rates and available rooms are downloaded from the GDS to the OTA and displayed to the guest. After a hotel has listed itself on a GDS, it must then negotiate terms and conditions, including commission rates, with each OTA they wish to be featured on.
As you can see, the process of getting a hotel completely integrated into the global distribution network can be complex and time-consuming. Layered on top of managing daily tasks and taking care of guests, this is a very ambitious project for owners and operators to initiate and then manage moving forward.
innRoad has developed relationships and secured competitive rates with top global distribution systems and online travel agents, so busy hoteliers can avoid sacrificing the time and effort needed to build these relationships on their own. By integrating GDS and OTA technical requirements into our easy to use, cloud-based hotel property management system, operators receive all the benefits of global distribution without taking their focus away from guests.
With innRoad’s global distribution services, independent hotels are immediately introduced to new audiences and linked to a network of partners who are focused on converting empty rooms into revenue. Operators only need to login to one system to set rates and rules, promote availability and activate special offers across all connected OTAs. And with our fully integrated PMS, no matter how a room is removed from inventory, whether booked through an OTA or via the front desk, your hotel’s availability is automatically updated across all channels so the risk over over-booking is eliminated. innRoad sets independent hotels apart from their competitors and keeps owners and operators in complete control of their performance.
Starting as low as $150 a month, let innRoad streamline your operations, attract more guests and increase your profits. Contact us today to schedule a personalized demo and learn more about our cloud-based, fully integrated hotel property management system.