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Sunday, 22 November 2009 09:05 UAE time

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GDS provider head to head

by ArabianBusiness.com staff writer  on Thursday, 01 May 2008
DANIEL NAOUMOVITCH: Sabre can help agents be flexible in their business models.

Amadeus will support travel agents to re-engineer their operations by helping them to integrate all travel components through a single platform and link their technology functionalities with employee incentives, helping to increase the rate of cross-selling.

Amadeus will also educate agents to implement Customer Relationship Management (CRM) to help them understand, store and track their travellers' profiles, design programmes to increase customer satisfaction and eventually carry out segmented marketing campaigns.

Naoumovitch: We always look to gain feedback from our customers to allow us to work with them to tailor our products and meet their specific needs.

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This also helps us to develop new products to meet the evolving requirements of the industry using STNME's global expertise and experience.

We will be demonstrating to travel agents - who represent the majority of our customers in the Middle East - our unique and broad range of sophisticated technology products, which gives them instant access to content from airlines, hotels, car rental companies, cruise lines and more.

Our products and services can help them work smarter, reduce costs, generate more revenue and build stronger customer relationships.

Specifically, we will be showing travel agents how Sabre can help them to be flexible in their business models because we customise our products to their specific needs and requirements. These tailored technology solutions allow travel agents to be more effective and competitive in their markets.

What do you think will be the big talking points at ATM 2008?

Al Bloushi: In addition to the growth of low-cost carriers and a shift towards online distribution channels, the big talking point among travel agents will be 0% commission.

Travel agencies are seeing their business models increasingly challenged by reductions in airline commissions, which are expected to drop from the current level of 7% to zero.

Travel agencies in the Middle East will soon have to re-engineer their operations to achieve long term sustainability. It's just a matter of time until 0% commission will be a standard procedure adopted by all major airlines regionally.

This move will eventually compel regional travel agents to consider new sustaining options to increase their returns and long term business profitability.

Naoumovitch: Low-cost travel and trends towards online booking, progress towards IATA's ticketless initiative deadline and the AACO agreement.

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