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.
[UPDATE, April 8, 2016: We published new information related to this article here.] The U.S. Department of Defense on June 15 started what may become its first centralized lodging program. The initiative includes new booking policies and modifications to the much-maligned Defense Travel System. Even as DoD looks to upgrade or replace the aging DTS, it’s just now adding the capability to…
When building a new company, one way to establish an identity is to offer something no one else does. These days that typically means unique technology. But fast-growing U.S. travel management company Direct Travel is under no illusions of being an IT shop. This makes the company an attractive client for travel tech developers. At the moment, Direct Travel…
Germany’s largest travel management company is not happy with the country’s dominant airline. BCD Travel has been discussing with clients how to react to Lufthansa’s decision to levy a 16 euro fee on bookings through GDS channels. There a few options, none particularly good. That’s according to BCD Travel executive vice president Rose Stratford. She…
Some suggest Lufthansa is making its bold move in business travel distribution out of desperation. The airline company itself attributed Tuesday’s announcement to profit improvement efforts. Carriers attempting similar programs in the past usually were bleeding. While the German aviation group’s earnings could use a boost, the company’s competitive strength gives it leverage. It’s anybody’s guess as to…
Lufthansa Group on Tuesday said corporate clients could avoid its 16 euro surcharge for GDS bookings after September by using its websites. That’s not a genuine alternative. Without workarounds, direct airline booking requires users to jettison price comparisons and complex bookings. Companies would forego data reporting for policy and spend management, duty of care and CO2 tracking. For many, it means they’re…
Lufthansa Group in September will add a 16 euro per-ticket surcharge to bookings made through global distribution systems. The idea is to lower distribution costs by encouraging customers to use direct channels. The strategy dismantles agreements that required the airlines to include all fares and inventory in the systems. Corporate accounts instead can have travelers book on the group’s airline…
Switching reservation systems is a crucial part of an airline merger, and a scary proposition. If it doesn’t go as planned, it can be traumatic for the carriers and their customers. Delta Air Lines in 201o had some glitches when absorbing Northwest’s reservations, but overall the migration wasn’t too disruptive. It was a very different…
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