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ERPResearch
Hospitality & Travel ERP

ERP Software for Travel Agencies

Travel agencies and travel management companies (TMCs) operate as high-volume intermediaries where financial accuracy, commission tracking, supplier reconciliation, and BSP/ARC settlement are core operational competencies. ERP systems for travel agencies must handle airline and GDS settlement, client billing with complex itinerary-based invoicing, commission income recognition, and multi-currency supplier payables while providing the real-time financial visibility that rapid industry changes demand.

Compare ERP Systems for Travel Agencies

Select up to 4 ERP vendors to compare side by side. Filtered to show systems with strong travel agencies capabilities.

Key Challenges for Travel Agencies

1

Reconciling BSP and ARC airline settlement data with agency accounting systems accurately and on the required weekly settlement cycle

2

Tracking commission income from airlines, hotels, cruise lines, and tour operators across thousands of bookings with varying commission rates and payment timelines

3

Managing complex client invoicing for corporate travel accounts with multiple cost centers, travelers, and approval hierarchies

4

Controlling supplier payables and debtors across high transaction volumes with tight settlement deadlines and foreign currency exposures

5

Complying with IATA financial standards, bonding requirements, and accreditation criteria including minimum working capital and cash flow thresholds

6

Generating accurate management information to identify profitable versus unprofitable corporate accounts, booking channels, and travel categories

7

Adapting to dynamic changes in airline NDC (New Distribution Capability) settlement and commission structures that affect agency economics

Best Travel Agencies ERP for SMBs

Recommended for companies with $10M–$250M revenue and 10–200 employees.

Amadeus Mid-Office

mid-range

Integrated GDS mid-office solution for travel agencies automating ticketing, invoicing, and back-office reconciliation for Amadeus bookings

Best for: IATA travel agencies and TMCs primarily using Amadeus GDS seeking tight mid-office automation

Sabre ARC Settlement

mid-range

Sabre GDS agency back-office tools with ARC settlement integration, commission tracking, and reporting for US-based IATA agencies

Best for: US-based IATA travel agencies using Sabre GDS with ARC settlement needing automated reconciliation

Travelport Agency Analytics

mid-range

Travelport mid-office and analytics platform for agencies using Galileo or Worldspan GDS with BSP/ARC settlement

Best for: Travel agencies using Travelport GDS seeking consolidated booking data and commission reporting

Sage Intacct

mid-range

Cloud financial management platform used by travel agencies for multi-entity accounting, commission income tracking, and client billing automation

Best for: Mid-size TMCs and travel agency groups needing robust accounting beyond what GDS back-office tools provide

NetSuite

mid-range

Full-suite cloud ERP for travel agency groups with complex multi-currency, multi-entity, and service revenue recognition requirements

Best for: Growing travel agency groups and OTAs requiring scalable ERP with multi-entity consolidation

Tramada

mid-range

Travel industry mid-office and accounting platform designed specifically for travel agencies with native BSP/ARC settlement and commission tracking

Best for: Mid-size leisure and corporate travel agencies seeking a dedicated travel-industry accounting platform with BSP/ARC integration

Best Travel Agencies ERP for Enterprise

Recommended for companies with $250M+ revenue and complex multi-site operations.

Oracle Hospitality OPERA Cloud

enterprise

Enterprise hospitality platform with travel program management capabilities for large corporate travel deployments

Best for: Large integrated travel and hospitality groups managing both agency and accommodation operations

SAP S/4HANA

enterprise

Enterprise ERP used by large TMCs and OTAs for complex financial management, supplier payables, and multi-currency treasury operations

Best for: Global TMCs and large OTAs requiring enterprise financial management with deep multi-currency and intercompany capabilities

Infor CloudSuite Hospitality

enterprise

Cloud enterprise suite used by large travel and hospitality groups for unified financial and operational management

Best for: Large travel and hospitality conglomerates managing agency, hotel, and tour operations on one platform

Microsoft Dynamics 365

enterprise

Enterprise ERP with travel industry ISV extensions and strong CRM integration for large TMCs managing complex corporate travel programs

Best for: Large TMCs seeking unified ERP and CRM capabilities with deep Microsoft Power Platform integration

Essential ERP Capabilities for Travel Agencies

BSP and ARC airline settlement reconciliation with automated matching of billing data to ticketed transactions

Commission income tracking by supplier, booking type, and time period with accrual and cash basis reporting

Client invoicing with itinerary-based billing, cost center allocation, and corporate travel policy compliance documentation

Multi-currency accounts payable for international supplier payments with FX revaluation and gain/loss reporting

GDS back-office integration with Amadeus, Sabre, and Travelport for automated booking data extraction

Client account management with credit limit monitoring, statement generation, and aged debtors reporting

Management reporting by account, booking channel, product type, and consultant productivity

IATA accreditation financial compliance monitoring including working capital ratios and bank guarantee tracking

Cruise, tour, and package costing with net rate and margin calculation for leisure products

Supplier contract management with negotiated rate tracking, override commission calculation, and preferred supplier reporting

Travel Agencies ERP Cost Ranges

SMB

$15,000–$70,000

5–20 users, single agency location

Implementation: $10,000–$50,000

Mid-Market

$70,000–$300,000

20–80 users, multi-location agency group

Implementation: $60,000–$300,000

Enterprise

$300,000–$2,000,000+

80+ users, global TMC or large OTA

Implementation: $400,000–$3,000,000+

Implementation Considerations

1

BSP and ARC settlement integration requires specialized configuration and testing with airline billing data before any financial reporting can be relied upon

2

Commission income recognition policy must be defined (booking date, travel date, or cash receipt) in consultation with auditors before chart of accounts design

3

GDS data extraction and mid-office automation setup requires coordination with GDS vendor technical teams and may require middleware development

4

Corporate client billing configuration for complex cost center hierarchies and approval workflows must be validated with key clients before go-live

5

IATA financial reporting requirements and any accreditation financial covenants must be built into ERP financial reporting templates from day one

Frequently Asked Questions

What is BSP settlement and why is it critical for travel agency ERP?

BSP (Billing and Settlement Plan) is IATA's multilateral system for settling airline ticket sales between travel agencies and airlines in most countries outside the US. Agencies report tickets sold during each settlement period and remit net amounts to airlines via a single BSP payment. Travel agency ERP must reconcile BSP billing data against ticketed transactions, manage the settlement cycle, and report accurately on agency remittances — any mismatch can trigger costly default procedures.

How do travel agencies track commission income in their ERP?

Travel agency ERP systems track commission income by recording the standard or negotiated commission rate at the time of booking and posting a commission income accrual. When airline commissions were eliminated by most carriers, commission income shifted to fees charged to clients. However, hotel, cruise, and tour operator commissions remain significant. Modern travel agency accounting platforms track commission by supplier, product type, and consultant and reconcile against supplier commission statements.

What is the difference between a GDS back-office tool and an ERP for travel agencies?

GDS back-office tools (such as Amadeus Agency Manager or Travelport Agency Analytics) automate the extraction of booking and ticketing data from the GDS and produce mid-office reports on sales, invoicing, and BSP/ARC reconciliation. A full ERP adds general ledger accounting, accounts payable, client accounts receivable, payroll, and financial statement production. Most mid-size travel agencies use both: a GDS back-office tool feeding data into a general-purpose accounting platform like Sage Intacct or NetSuite.

Which ERP is best for a corporate travel management company?

Mid-size TMCs commonly use Sage Intacct or NetSuite for financial management, paired with a GDS mid-office tool and a corporate travel management platform (such as Concur, Cytric, or KDS) for client self-booking and expense management. Large global TMCs including American Express GBT, BCD Travel, and CWT use custom enterprise platforms built around SAP or Oracle for their core financials. Smaller independent TMCs benefit from Tramada or similar travel-specialist accounting platforms.

How does travel agency ERP handle multi-currency transactions?

Multi-currency management is essential for travel agencies booking international travel. ERP platforms for travel agencies handle multi-currency by recording transactions in the booking currency, applying exchange rates at the transaction date, and revaluing open foreign currency balances at period end. FX gain and loss on airline ticket purchases, supplier payments, and client receivables is tracked and reported. Larger TMCs also manage currency hedging programs through treasury modules.

What are the IATA financial requirements that travel agency ERP must support?

IATA accredited agencies must maintain minimum working capital levels, satisfy cash remittance requirements to BSP, and in some countries maintain bank guarantees or letters of credit as financial security. Travel agency ERP systems must produce the financial statements and working capital calculations required for IATA financial review, generate documentation for bank guarantee renewal, and provide real-time liquidity monitoring to prevent accidental BSP defaults.

How does airline NDC affect travel agency ERP and accounting?

Airline NDC (New Distribution Capability) changes how agencies access and book airline content, moving from GDS-based EDIFACT distribution to direct airline API connections. From an ERP perspective, NDC affects how booking data flows into the back-office system, how settlement works (some NDC bookings settle directly with airlines rather than via BSP), and how ancillary revenue (bags, seats, meals) is itemized and billed to clients. Travel agency ERP systems must be updated to handle NDC booking data formats and direct settlement workflows.

Can travel agency ERP manage leisure packages and tour operations?

Yes. Travel agency ERP platforms that handle leisure packages and tour operations must support net rate costing (buying at net from suppliers and selling at a gross price to clients), package margin calculation, supplier deposit tracking and payment scheduling, and FIT (fully independent travel) client invoicing. Dedicated tour operator accounting platforms such as TourOps or specialized modules within Sage Intacct handle complex package costing workflows that generic ERP platforms require significant customization to replicate.

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