search.noResults

search.searching

dataCollection.invalidEmail
note.createNoteMessage

search.noResults

search.searching

orderForm.title

orderForm.productCode
orderForm.description
orderForm.quantity
orderForm.itemPrice
orderForm.price
orderForm.totalPrice
orderForm.deliveryDetails.billingAddress
orderForm.deliveryDetails.deliveryAddress
orderForm.noItems
ANCILLARIES


content – including air, hotel, car and insurance – from any source – traditional GDS Edifact, NDC and APIs – to be distributed via any channel or device, allowing comparisons and bookings to happen in a uniform and transparent way.” However, while the end goal of NDC – a richer, more user-friendly customer experience – is appealing, the process of getting there won’t be easy, and it’s already creating disruption in the industry. “Whether it’s NDC or another API standard, when they finally do it, it’ll be great,” says Chappell. “The flipside is that in the market, the fragmentation of content is accelerating. “As an agent, you could go into your screen and everything would be aggregated there. You’d see a very transparent marketplace, just like going into the beans aisle in Tesco. You’ve got your cheap beans and your organic beans side by side – you could see the market all in one place, get a good picture of what was out there, and go back to your customer.” With fragmentation, there are a lot more options


– “do you want your can of beans to have a ring pull? Metal or plastic?” – but it also becomes harder to compare offers, as certain deals will only be offered to certain customers via certain channels. For example, Lufthansa recently announced that its cheapest European fares (Economy Light) would only be made available through NDC or direct from the airline.


This is clearly proving a concern to travel buyers. According to a recent survey by ACTE and American Express Global Business Travel, 89 per cent of travel managers fear that NDC, and the fragmentation arising from it, could threaten cost control and compliance with travel policies. Just under half of respondents highlighted the fact that travellers were already sometimes buying “out-of-policy ancillaries from airline websites”. One buyer BBT spoke to echoed these concerns. “The biggest challenge as a corporate client is that this adds a lot more complexity, and complexity largely leads to higher costs and a greater chance of error. “The other risk is that if people go through different channels – booking their flight via one channel but then booking their hotel independently – then we lose sight of them. That’s not just a problem in terms of the costs, but it’s also a problem for things like security and knowing quickly where our people are if we need to alert them to an issue.” However, airline extras should be kept high on the


buyer’s agenda in 2019, no matter which channel. Keeping these costs on the radar not only means a better grasp of ancillary spend, it also means comes better leverage when it comes to negotiating better bundled deals in the future with airlines.


136 JANUARY/FEBRUARY 2019


Global ancillary revenues hit


This accounts for one-tenth of total sales for


$47.2billion 73


in 2017 airlines SOURCE: CarTrawler


fear NDC threatens cost control and compliance


SOURCE: ACTE/Amex GBT


WHAT IS ANCILLARY REVENUE?


In The 2018 Car Trawler Ancillary Revenue Yearbook, Idea Works Company classes ancillary revenue as revenue “beyond the sale of tickets that is generated by direct sales to passengers, or indirectly as a part of the travel experience”. Ancillary revenue is further defined


using the following categories: frequent flyer activities; a la carte features; commission-based products; advertising sold by the airline, and the a la carte components associated with a fare or product bundle. Ancillaries are also an important measure for airline investors, and the


item is deemed “a core component of a carrier’s fiscal health”.


buyingbusinesstravel.com of travel managers 89%


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36  |  Page 37  |  Page 38  |  Page 39  |  Page 40  |  Page 41  |  Page 42  |  Page 43  |  Page 44  |  Page 45  |  Page 46  |  Page 47  |  Page 48  |  Page 49  |  Page 50  |  Page 51  |  Page 52  |  Page 53  |  Page 54  |  Page 55  |  Page 56  |  Page 57  |  Page 58  |  Page 59  |  Page 60  |  Page 61  |  Page 62  |  Page 63  |  Page 64  |  Page 65  |  Page 66  |  Page 67  |  Page 68  |  Page 69  |  Page 70  |  Page 71  |  Page 72  |  Page 73  |  Page 74  |  Page 75  |  Page 76  |  Page 77  |  Page 78  |  Page 79  |  Page 80  |  Page 81  |  Page 82  |  Page 83  |  Page 84  |  Page 85  |  Page 86  |  Page 87  |  Page 88  |  Page 89  |  Page 90  |  Page 91  |  Page 92  |  Page 93  |  Page 94  |  Page 95  |  Page 96  |  Page 97  |  Page 98  |  Page 99  |  Page 100  |  Page 101  |  Page 102  |  Page 103  |  Page 104  |  Page 105  |  Page 106  |  Page 107  |  Page 108  |  Page 109  |  Page 110  |  Page 111  |  Page 112  |  Page 113  |  Page 114  |  Page 115  |  Page 116  |  Page 117  |  Page 118  |  Page 119  |  Page 120  |  Page 121  |  Page 122  |  Page 123  |  Page 124  |  Page 125  |  Page 126  |  Page 127  |  Page 128  |  Page 129  |  Page 130  |  Page 131  |  Page 132  |  Page 133  |  Page 134  |  Page 135  |  Page 136  |  Page 137  |  Page 138  |  Page 139  |  Page 140  |  Page 141  |  Page 142  |  Page 143  |  Page 144  |  Page 145  |  Page 146  |  Page 147  |  Page 148  |  Page 149  |  Page 150  |  Page 151  |  Page 152  |  Page 153  |  Page 154  |  Page 155  |  Page 156  |  Page 157  |  Page 158  |  Page 159  |  Page 160
Produced with Yudu - www.yudu.com