Some travel management company representatives are unhappy with revisions to American Airlines’ ARC agreement addendum that set conditions for fees charged to their clients on bookings with the airline. Some TMCs have told clients they would need to charge higher fees on NDC bookings to cover reduced productivity and GDS incentive revenue. Precedents for this…
Some corporate travel programs are blocking American Airlines now that the carrier has removed many fares from traditional third-party distribution channels. Observations like this one from SAP Concur align with anecdotes from several corporate buyers who are reacting to both the distribution move and AA’s overall de-emphasis of the corporate market. But preventing travelers from…
Are American and Southwest switching places? No, the low-fare flag bearer isn’t going global, adding business class or assigning seats. But in some critical ways for the corporate market, Southwest is behaving more like its crosstown rival, while that rival is moving in the other direction. As it does for Delta and United, American’s strategy…
What should travel managers tell company employees about the distribution changes American Airlines is making? As one communicator who works in the weeds of airline distribution said, it’s clear as mud. But there’s only so much that travelers need to know. A few travel managers offered some ideas, but for the most part, crafting a…
United Airlines is asking corporate clients to help grow loyalty program membership as part of its new contracting process. “Because we do value our frequent flyer program, it is a consideration when we look at other things we might give that corporation, whether it be discounts, Jetstream [soft-dollar] funds or other things they want in…
American Airlines is anticipating that a small number of corporate travel providers will connect with it directly to access substantially all of its fares beginning in April, according to sources familiar with the airline’s talking points. One such player, Spotnana, already announced its arrangement. Another, Navan (formerly TripActions), also has embraced next-generation airline connectivity as…
American Airlines is retreating from the managed corporate travel market and erasing its tracks. According to a World Travel Inc. newsletter, the airline from April 1 will stop providing discounts to companies with less than $1.5 million in annual AA spending. Also as of that date, AA’s corporate accounts “will be provided with points for…
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