API Aggregation and Rate Parity in Wholesale Hotel Distribution
Wholesale Hotel Distribution is the B2B (Business-to-Business) mechanism for moving hotel inventory from a property to a travel agent or tour operator. The system functions as a "Switch" between the hotel’s Property Management System (PMS) and the global
The technical core is the Global Distribution System (GDS) and "Channel Manager" integration. Using XML/JSON APIs, the distributor aggregates thousands of properties into a single searchable database. A major technical challenge is "Rate Parity Management." The software must ensure that the "Wholesale Net Rate" (the price sold to a partner) plus the partner's markup does not violate the hotel's agreement to offer consistent pricing across public platforms like Expedia or Booking.com.

