Travel technology
Travel Management Company software explained
A Travel Management Company (TMC) helps organisations manage their business travel. Behind that simple description is a collection of specialist software used to book flights, hotels, and other services.
This article introduces some of the most common types of software you'll encounter when working with a TMC.
GDS — Global Distribution System
Arguably the most important software for a TMC is a Global Distribution System, or GDS. It lets travel agents make bookings with airlines, hotels, car rental companies, and other travel providers. The main systems used today are Amadeus, Sabre, and Travelport.
There are several reasons why TMCs often prefer booking through a GDS rather than directly with an airline or hotel:
- Consolidation: inventory from many providers can be searched and booked in one place.
- Negotiated rates: corporate discounts that aren't available to the general public can be accessed through the GDS.
- Comprehensive data: availability, pricing, and policies help agents make informed choices for their clients.
- Efficiency: a single workflow makes it easier for agents to manage many bookings.
Why book direct?
A direct booking can still be the better choice in some situations:
- Lower fees: providers may offer lower charges for bookings made on their own platform.
- Special promotions: some offers and packages are only available directly.
- Flexibility: changes or cancellations can occasionally be simpler with the provider.