Distribution

Getting all the relevant, bookable inventory in front of business travelers is a never-ending challenge. Airlines, hotels and other suppliers constantly tinker with their products and pricing, and usually favor direct distribution over more costly third-party channels. That creates complexity in business travel technology.

Some examples of our coverage
• Commissions and other remuneration
• Industry rules of thumb and trade secrets from the US Airways v. Sabre and U.S. v. Sabre trials
• Such newer concepts as New Distribution Capability and personalization

Archive

Notebook: Two Buyers Say Policies Fail In The Face Of Distribution Fragmentation

Regardless of the allure, direct bookings with suppliers are out of bounds for most employee groups at two companies represented on a March 6 webinar hosted by Cerebri AI. Both firms mandate that bookings go through their designated travel management companies via counselors or the SAP Concur Travel booking tool. According to their travel managers,…

Squeezed By Some Airlines, Flight Centre Tweaks Tech To Support Others

How much more can a travel management company make when corporate customers use its proprietary booking technology? Flight Centre Travel Group’s head of corporate travel wouldn’t specifically say, but his answer during a Tuesday evening conference call with equities analysts was instructive. With its own tools, the TMC has to cover maintenance and development costs….

Travel Management Company Consolidation Looms

In a Jan. 29 Business Travel News column, SAP Concur Travel president Charlie Sultan  predicted that distribution changes would “disrupt” travel management company revenue streams and combine with tech investment pressures to prompt “further TMC consolidation.” He didn’t cover Concur’s role. Parent SAP considered buying CWT but decided against it last week, according to sources…

New AA Agency Program, Loyalty Restrictions Support Direct, NDC Distribution 

Keeping its chief commercial officer’s word on plans for more incentives on “internet” bookings, American Airlines on Tuesday announced new conditions for customers to earn miles and points beginning with tickets issued May 1. They’ll earn when they book directly with AA or certain partners, book anywhere as an AAdvantage Business member or contracted corporate…

Southwest Claims Domestic Corporate Share Gain Based On ARC Data

Southwest Airlines finished last year with roughly 12 percent of U.S. domestic managed corporate travel bookings, based on its analysis of ARC data, up from zero four years earlier. The jump resulted from a combination of market and Southwest-specific developments. Measured by passengers, the dataset encompassed global distribution system bookings through a few dozen of…

Notebook: Searching For Better Travel Data, International SOS Endorses Spotnana

As part of its mission to support client employees’ safety, security and well-being, risk management firm International SOS processes 20 million passenger name records a week. Between 1.5 percent and 2 percent have errors, according to the firm’s global travel industry relations VP, Wendy Stachowiak. That’s a lot. But with some new mutual clients using…

Op Ed: Jeff Klee On Not-So-Unintended Consequences Of Traditional TMC Pricing

The always vocal Jeff Klee, CEO of AmTrav, revisits the thorny issue of travel management company pricing. Even travel buyers who feel it needs to change and would like to address longstanding issues of trust aren’t sold on the potential solutions. A friend of mine had a “WTF” moment the other day and called to…

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