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Towards a fully decentralized distribution for next generation of travel and tourism distribution

Project description

A better way for airlines to sell tickets online

Airlines use global distribution systems (GDSs) to sell tickets directly to consumers. It’s a computerised reservation network launched 30 years ago. GDS booking has increased worldwide over the past couple of years but it comes at a price (every GDS charges per transaction) and lacks flexibility to evolve with the market. The EU-funded Biztribution project will create a new automated and simple distribution model for the air travel and tourism sector. Based on blockchain distributed ledger technology, airlines will be able to regain control over their content and customers, creating more efficient operations and significantly reducing distribution costs by avoiding overheads and intermediaries.

Objective

Currently, air travel distribution (booking and selling of airline tickets and related products) is dominated by an oligopoly of Global Distribution System (GDS) companies. This system, unchanged for the last 30 years, poses a great pressure into airlines profitability due to elevated transactions fees imposed by the GDSs. This concentrated market has resulted in the commoditization of airline contents by third parties and additionally, this obsolete model lacks the flexibility, due to constrains imposed by GDSs, to convey in an adequate way individual offers, limiting innovation and new markets creation in an evolving industry oriented towards air retailing.
biztribution reinvents the industry by creating a new revolutionary automated and simple distribution model for the air travel and tourism sector. Based on blockchain Distributed Ledger Technology, we enable airlines to recover governance over their content and customers, creating a shift of paradigm towards a fully decentralized scenario in which flexibility and de-commoditization are achieved, translating into more efficient operations and significant reduction of distribution costs by avoiding overheads and intermediaries.
At biztribution we think forward about new ways to understand travel and tourism industry, leveraging technology to create a customer-centric scenario. Our aim is to enable a truly new distribution model based on a collaborative, shared and decentralized model, in which all actors can provide and access content across a distributed blockchain network, resulting in benefits that percolate to the whole industry
For us, the successful implementation of biztribution will have remarkable impact in our company. We estimate, it will bring cumulative revenues of €48,25M by 2023 involving the generation of more than 100 new job positions, achieving a project ROI of 3,88 by 2023.

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Programme(s)

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Topic(s)

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Funding Scheme

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SME-1 - SME instrument phase 1

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Call for proposal

Procedure for inviting applicants to submit project proposals, with the aim of receiving EU funding.

(opens in new window) H2020-EIC-SMEInst-2018-2020

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Coordinator

BUSINESS DISTRIBUTION BLOCKCHAIN SOLUTIONS S.L.
Net EU contribution

Net EU financial contribution. The sum of money that the participant receives, deducted by the EU contribution to its linked third party. It considers the distribution of the EU financial contribution between direct beneficiaries of the project and other types of participants, like third-party participants.

€ 50 000,00
Address
CL. NAYIM 6, 7 E
50007 Zaragoza
Spain

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SME

The organization defined itself as SME (small and medium-sized enterprise) at the time the Grant Agreement was signed.

Yes
Region
Noreste Aragón Zaragoza
Activity type
Private for-profit entities (excluding Higher or Secondary Education Establishments)
Links
Total cost

The total costs incurred by this organisation to participate in the project, including direct and indirect costs. This amount is a subset of the overall project budget.

€ 71 429,00
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