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July 26, 2006

IDSs Face Two Tough Obstacles

Internet distribution systems (IDSs) have the potential to replace traditional systems, but they have a few hurdles to overcome. Here are two specific limitations IDSs must address:

—Consumer Sites Need Consumer Speak. Almost every Internet booking system still hosts travel industry jargon — which is Greek to the average traveler. “Travelers have no idea what a Rule 25 restriction or a PNR is,” says Pawel Mastalerz, an industry analyst with T2Impact.

Hotel descriptions also suffer from antiquated, technical definitions that were written for travel agents and don’t enrich the customer’s experience.

However, this is one area where IDSs are starting to get it right. Hotel sites and distribution systems are creating virtual tours and consumer-friendly descriptions that leave out the industry jargon.

—IDSs Must Solve Complex Problems. In their most basic forms, IDSs quickly solve easy problems, but in order to become a stand-alone distribution source, the systems must be able to solve complex problems, Mastalerz says.

Example: A complex problem might be a traveler who wants to fly to Chicago for three days, then to Europe to meet with a client, then to China for five days before returning to Denver.

IDSs aren’t capable of solving this problem yet, but the systems’ developers are working on the type of functionality necessary to solve not only this problem, but unforeseen issues down the road.

Want more information about IDSs? Check out the July 31 issue of Travel Distribution Report.

July 19, 2006

TBiz Alerts Travelers To Itinerary Quirks

Travelocity Business is out to remove potential pitfalls from corporate travelers’ flights.

The online agency has enhanced its mid-office and agent desktop systems to produce e-mail alerts to travelers as soon as a potential discontinuity is detected in their itineraries, TBiz announced July 17.

Potential e-mail alerts include when travelers book round trip tickets that arrive and depart from different airports, a connecting flight arrives at one airport and departs from a different airport or hotel dates don’t match arrival and departure dates.

The alerts are part of TBiz’s “continued effort to make the business travel experience as seamless as possible for travelers by keeping them updated with the travel information they need,” said Ellen Keszler, president of corporate solutions at Sabre Holdings.

July 18, 2006

Portaga To Provide Agents Access To FLX

Farelogix wants to put travel agencies back in the distribution driver’s seat.

The GDS new entrant has partnered with Portaga to provide agents with an integrated booking and distribution management tool, according to a July 17 release.

Farelogix’s new FLX Platform gives distributors “total control of content configuration for the end user; whether GDS, GNE, Direct Connect, Web content or other external sources,” said Robert Kost, founder and CEO of Portaga.

The partnership will produce a desktop travel agent solution that allows suppliers, distributors and buyers to access content from multiple distribution sources and configure that content as necessary, Portaga stated.

The FLX-powered desktop will help travel management companies and suppliers “manage the complexities of the ever-evolving distribution and content matrix,” Kost said.

The solution is slated for release in Q4 2006.

July 17, 2006

Worldspan Opens Up About Opt-In Products

Worldspan has unveiled its new optional content products.

The GDS has developed Super Access Product and Subscription Access Product to help agencies and corporations maintain full access to airline inventory, according to a July 17 release.

Super Access Product protects Worldspan’s retail and corporate customers from Program Airlines’ content fees while guaranteeing full access to content. Participants will also have access to Worldspan’s merchandising and booking capabilities. Airlines will offer private and promotional fares to agencies or corporations that select this option.

Subscription Access Product also provides full content from Program Airlines, but does not protect agencies or corporations from airline content fees. The option does offer competitive financial terms.

The new options “offer the control our customers have asked for in managing their relationships with airlines,” said Rakesh Gangwal, chair, president and CEO of Worldspan.

Worldspan customers who do not select one of the new options are not guaranteed full access to airline inventory, nor are they protected from airlines’ content fees.

Program Airlines include American Airlines, Continental Airlines, Northwest Airlines, United Airlines and US Airways. The products will be available Sept. 1.

Make your voice heard: If you have something to say about the recent airline announcements or GDS optional products, leave a comment and you may become a source for the upcoming issue of Travel Distribution Report.

July 13, 2006

American Limits Agencies’ Access To Full Content

American Airlines is taking distribution into its own hands, and the GDSs are scrambling to keep up.

The carrier has adopted a new policy for agents who book segments through non-preferred channels, according to guidance posted July 12 on American’s Web site.

The policy provides full access to American’s full schedule, fare and inventory content to “competitive booking sources,” but charges $3.50 per segment for access to content through “other booking sources.”

Competitive booking sources include specific Worldspan and Galileo optional programs, all G2 SwitchWorks’ GDS products and all Farelogix’s GDS products. Agents will be charged when they use any Sabre or Amadeus products, Worldspan’s existing product and any other Galileo or Apollo program.

The new policy, which was developed to help American better compete with low-cost carriers, is effective Sept. 1. American may eventually withhold content from its non-preferred suppliers if they fail to display its content on “neutral terms as compared with other airlines,” the carrier stated.

In response to American’s policy change, Galileo announced its opt-in Content Continuity Program, meant to protect its agency customers from airline service fees -- including those announced by American, according to a July 13 release.

Effective Sept. 1, the program will provide agencies with access to full public content and negotiated non-public fares from all airlines participating in the Galileo GDS, as well as access to air, car, hotel, cruise and tour content on its agent desktop.

The Content Continuity program provides “airlines with market competitive distribution savings and delivers our travel agency partners efficient access to the full content they require while protecting them against airline service fees,” said Kurt Ekert, senior VP of supplier services for Travelport.

Worldspan GDS also issued a statement in response to American’s announcement promising to provide details of its optional products next week.

For more information about American Airlines' new policy, click here or stay tuned to the next issue of Travel Distribution Report.

July 12, 2006

Put Your Community To Work

Today’s guest blogger is John Burns, president of Hospitality Technology Consulting. With the increasing popularity of user-generated content and community sites, Burns outlines four top strategies to help travel companies to make the most of their social networking efforts:

Launching a user-generated content site is a small portion of the Web marketing battle. The real work comes after users populate your community. Here’s what you can do:

1. Monitor the community regularly. You don’t need to station an employee in front of the computer screen for days on end, but you should be paying attention to who is posting and what they’re saying.

2. Act on feedback. Most vendors and suppliers who host their own communities fail to actively respond to community users’ comments.

3. Take advantage of a captive audience. Social networks can and should serve a real business purpose. That means using your online connection with customers and potential customers to harvest valuable feedback.

4. Avoid blatant sales pitches. Hotels and other travel vendors will have a hard time developing a loyal following if marketing and advertising take center stage on their community sites.

For detailed ideas on how to complete these steps, check out the July 17 issue of Travel Distribution Report.

July 07, 2006

Galileo Makes Headway With American Airlines, Virgin Atlantic

American Airlines and Virgin Atlantic want to broaden their distribution horizons -- now and in the long run.

The carriers have signed long-term, full-content agreements to publish their content in Travelport’s Galileo GDS, according to July 6 and July 7 releases.

The contract makes all of American’s and Virgin’s published fares and inventory available to Galileo-connected agencies and corporate customers while allowing the carriers to distribute their products through Travelport’s online channels, such as ebookers, Orbitz and CheapTickets.

Galileo’s broad base of online and offline subscribers helps the GDS provide a “cost-effective and comprehensive distribution platform over the long-term,” explained David Cush, senior VP of global sales for American Airlines.

The long-term contract is meant to help Virgin Atlantic “reach our customers in a more targeted and effective way,” explained Paul Wait, head of sales for Virgin Atlantic.

For Galileo, the agreements mean its “travel agents, corporate travelers and consumers can be assured of continuing to get the fares, convenience and service they are used to receiving,” said Kurt Ekert, senior VP of supplier services for Travelport.

July 06, 2006

Online Travelers Seek Out Southern U.S. Vacations

Despite Hurricane Katrina’s devastation, New Orleans is back on top as a summer destination.

Orlando, Atlanta and Miami also rank high on travelers’ lists, according to searches conducted in June for destinations in the Southeasten U.S. using BookingBuddy.com’s travel search engine. Other southern hot spots include Raleigh and Charlotte, NC; Nashville, TN; Fort Lauderdale, FL; and Savannah, GA.

“Although it is hot in the summer, people looking for a relaxing vacation can definitely find a location to suit their needs in the Southeast,” explained Krista Pappas, senior VP of Smarter Living, Inc., BookingBuddy’s parent company.