GDSs Hotels

GDS: Do you know consortia and their benefits?

12 comments

14 August 2014 at 10:00, by

Consortias GDS hotel

Consortias, Google Plus

Lets’ start at the beginning consortia, consortium”… this is not a spell but the different names that are used to describe a group of travel agencies that have joined together to achieve more competitive advantages, a better share in the market and an increase in distribution. But, what benefits are there for a hotel if it reaches an agreement with them?

As hoteliers, it is often assumed that technical distribution terminology just rolls off our tongues. This is a big mistake. What hoteliers really know are clients, there is no doubt about it. And if we are talking about business clients, the ones we need to negotiate with first are the above mentioned consortia.

The direct benefits of agreements with these agencies are that, when it comes to booking hotel rooms for their business clients, their preferential searches will be for hotels that are integrated within the consortium, ahead of their competitors. In this way:

  • We will increase our hotel’s sale potential: The agencies of this group will always first look for preferential hotels above those that are not.
  • We will optimize our yield: as this kind of bookings tend to have a higher ADR (average daily rate) than those from other channels.
  • We will improve our hotel’s visibility:  Consortia share their databases and marketing tools with others who generate communications, mailings and all kinds of marketing that promote the preferential hotels.
  • We will increase accessibility: Each consortium uses a code with which their agents only access the preferential hotels in the GDSs.

When choosing one consortium over another we must, however, bear in mind that some, like CWT (Carlson Wagonlit Travel), BCD Travel or Amex (American Express Preferred Extras Hotel Program) have a global reach, whereas others operate in very specific markets.

To give you an idea of the volume of business that one of these groups can involve, CWT operates in more than 150 countries and provides service to 60 of the 100 largest companies in the world. Their yearly sales exceed 22.000 million dollars, 99% of the bulk of the bookings come from cooperate travel.

And now the important question, how to access a consortium and when?

Each year, at the beginning of the summer, the consortia open their programs for preferential hotels so as to receive proposals from establishments for the next year. This period is extended well into the autumn and is known as the RFP season.

Idiso manages the access of independent hotels and chains into these programs using a content tool called Lanyon. If hoteliers want to appear as preferential in a consortium they will can their proposal or Request for Proposal through the Lanyon RFP module.

In this way, Lanyon creates a market where buyers and providers can interact during the RFP contracting process, with at least 625 company and consortia programs available for online negotiation within the Lanyon tool.

What are the benefits of contracting Lanyon RFP?

  • Easy to use and cost efficient.
  • A web based easy to use system that reduces manual work and human error.
  • A minimal investment gives you access to all the Consortia’s RFP.
  • Online availability 24 hrs., 365 days of the year
  • Quicker, easier, everything is submitted online
  • Access to channels your hotel has never used.
  • Increase of income working with consortia, TMCs (Travel Management Company) and more than 500 companies.
  • TMCs Maximise long lasting relationships with consortia and TMCs.

Now is the time to negotiate your consortia programme for 2015. This summer and up until the autumn you can check prices and services at info@idiso.com. Do not hesitate, he who dares wins.

 

Idiso Digital

Idiso Digital

Marketing & Distribution Services

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