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AA Vs. Online Agents Death Spiral Continues  
User currently offlinemogandoCI From , joined Dec 1969, posts, RR:
Posted (3 years 6 months 3 weeks 6 days 9 hours ago) and read 15093 times:

Sabre to Drop American Airlines Data as Ticket Dispute Widens

http://www.bloomberg.com/news/2011-0...er-online-ticket-sales-widens.html

with this, AA is off from Travelocity, Orbitz, and Expedia, plus any Sabre-related systems.

On top of their old planes (MD80), lack of PTV or satellite TV, lack of trans-pac routes (zero own metal flights to KIX, ICN, HKG, BKK, SIN, SYD, MEL, AKL), lack of flat-bed in J, and lack of frequencies on key markets (seriously, JFK-LAS is only 2x daily??), now we get inconvenienced when attempting to perform price discovery.

99 replies: All unread, showing first 25:
 
User currently offlineSESGDL From United States of America, joined Jan 2001, 3466 posts, RR: 10
Reply 1, posted (3 years 6 months 3 weeks 6 days 9 hours ago) and read 15087 times:

Wow. I can't see this helping AA at all. Pretty soon people will only be able to purchase tickets on AA.com. This airline seriously needs new management, they're running AA into the ground.

Jeremy


User currently offlineFlyASAGuy2005 From United States of America, joined Sep 2007, 7004 posts, RR: 11
Reply 2, posted (3 years 6 months 3 weeks 6 days 9 hours ago) and read 15037 times:

I'm not quite sure what's going on here. So what GDS system is AA slated to partner with?


What gets measured gets done.
User currently offlineenilria From Canada, joined Feb 2008, 7046 posts, RR: 13
Reply 3, posted (3 years 6 months 3 weeks 6 days 9 hours ago) and read 14988 times:

Quoting SESGDL (Reply 1):
Wow. I can't see this helping AA at all.
Quoting SESGDL (Reply 1):
they're running AA into the ground.

What they are doing is very savvy, but they are the wrong airline to be doing it. They are going to take a massive hit for leading this and then DL/UA will quietly follow and suffer not at all. All they are doing is lowering everybody's cost which doesn't really do them any good as compared to their legacy competition...and they get the backlash to show for it. It really should be Delta leading this...or maybe UA. They are much stronger than AA right now. AA has enough fights going on with DL, the FAA, their unions, and now the whole distribution system.

It's kinda funny to see Sabre come out against them since AMR used to own Sabre and "birthed" them.


User currently offlinemd3 From United States of America, joined Jul 2009, 103 posts, RR: 0
Reply 4, posted (3 years 6 months 3 weeks 6 days 9 hours ago) and read 14959 times:

Doesn't AA's own system run on Sabre?? I thought agents use either basic sabre or AA's overlaying interface. This went back to AA's creation of Sabre itself. This is a much more interesting development than even Expedia/Orbitz.

User currently offlineLONGisland89 From United States of America, joined Jan 2006, 731 posts, RR: 0
Reply 5, posted (3 years 6 months 3 weeks 6 days 9 hours ago) and read 14928 times:

Quoting mogandoCI (Thread starter):
On top of their old planes (MD80), lack of PTV or satellite TV, lack of trans-pac routes (zero own metal flights to KIX, ICN, HKG, BKK, SIN, SYD, MEL, AKL), lack of flat-bed in J, and lack of frequencies on key markets (seriously, JFK-LAS is only 2x daily??), now we get inconvenienced when attempting to perform price discovery.

Woh woh woh! Don't turn this into an AA bashing thread. The fare issue has nothing to so with these statements you made.
1. FYI, JFK-LAS is going to 3 daily in the Spring.
2. Why on earth would you think JFK-LAS is a "key market" for AA


User currently offlinetugger From United States of America, joined Apr 2006, 5427 posts, RR: 8
Reply 6, posted (3 years 6 months 3 weeks 6 days 9 hours ago) and read 14900 times:

The big question in this dispute had been "what will Travelocity do".

This had now been answered, all the major aggregation systems have dropped AA due their stance. So the gloves are off and the line in the sand has been drawn. The next move is really up to AA now as they need to get their tickets back into public view (which for all intents and purposes is what the aggregators do).

Orbitz, Expedia, and now Travelocity have all taken a unified stand against the change and favoritism that AA was attempting to initiate. I assume they did this to stop it from spreading to all the other airlines.

So now its AA's move.

Tugg



I don’t know that I am unafraid to be myself, but it is hard to be somebody else. -W. Shatner
User currently offlinesw733 From United States of America, joined Feb 2004, 6304 posts, RR: 9
Reply 7, posted (3 years 6 months 3 weeks 6 days 9 hours ago) and read 14857 times:

Quoting tugger (Reply 6):
The next move is really up to AA now as they need to get their tickets back into public view (which for all intents and purposes is what the aggregators do).

Expect Southwest-esque "You can only get your AA tickets at AA.com" marketing to come out VERY quickly.


User currently offlineTSS From United States of America, joined Dec 2006, 3066 posts, RR: 5
Reply 8, posted (3 years 6 months 3 weeks 6 days 9 hours ago) and read 14776 times:

Quoting md3 (Reply 4):
Doesn't AA's own system run on Sabre?? I thought agents use either basic sabre or AA's overlaying interface. This went back to AA's creation of Sabre itself. This is a much more interesting development than even Expedia/Orbitz.

I'm sure others will know more in detail, but I seem to remember a thread or two from here on Anet a few years back about how AA was planning on replacing SABRE with a more modern system. If I recall correctly, the general consensus of opinion on those threads was that while SABRE had an old-fashioned interface and a steep learning curve for newbies, it was exceeding flexible and functional for experienced users, and concerns were expressed that any new system replacing SABRE would probably sacrifice overall flexibility and functionality for initial ease of use and a more up-to-date interface.



Able to kill active threads stone dead with a single post!
User currently offlineCubsrule From United States of America, joined May 2004, 22734 posts, RR: 20
Reply 9, posted (3 years 6 months 3 weeks 6 days 9 hours ago) and read 14760 times:

Quoting tugger (Reply 6):
This had now been answered, all the major aggregation systems have dropped AA due their stance.

Is Kayak not a "major aggregation system?" If not, why not?



I can't decide whether I miss the tulip or the bowling shoe more
User currently offlinepar13del From Bahamas, joined Dec 2005, 7074 posts, RR: 8
Reply 10, posted (3 years 6 months 3 weeks 6 days 8 hours ago) and read 14691 times:

If AA lowers fares by passing savings achieved from not "paying" the middle man onto the customers, the travelling public will be happy.
It will come down to what is more important, getting a lower average fare on AA, versus the ease of viewing all fares in one place. Most folks are now used to having 2 or 3 windows open on the computers anyway, so multi-tasking while looking for fares is not great burden, of course that has absolutely nothing to do with one's preference of having all information in one place or AA's real intention in driving folks to their site only.
It would be interesting to see if they pass any realised savings onto their clients, their competitors would quite likely match the fares while at the same time having to maintain the "commissions" paid to online sites, would get real interesting.


User currently offlineFWAERJ From United States of America, joined Jun 2006, 3722 posts, RR: 2
Reply 11, posted (3 years 6 months 3 weeks 6 days 8 hours ago) and read 14622 times:

Quoting sw733 (Reply 7):
Expect Southwest-esque "You can only get your AA tickets at AA.com" marketing to come out VERY quickly.

Except Priceline signed on for AA's direct connect system. In fact, AA is refering Travelocity/Expedia/Orbitz clients to Priceline.com in addition to fare aggregators like Kayak and Bing.

With this in mind, Priceline could say "we have AA, they don't".



I don't work for FWA, their tenants, or their ad agency. But I still love FWA.
User currently offlineMaverickM11 From United States of America, joined Apr 2000, 17361 posts, RR: 46
Reply 12, posted (3 years 6 months 3 weeks 6 days 8 hours ago) and read 14598 times:

Quoting tugger (Reply 6):
Orbitz, Expedia, and now Travelocity have all taken a unified stand against the change and favoritism that AA was attempting to initiate.

However those companies need airline content more than airlines need bargain bin distributors. It will be very interesting--and disastrous for Orbitz/Expedia/Travelocity etc--if other airlines follow suit.



E pur si muove -Galileo
User currently offlineairbazar From United States of America, joined Sep 2003, 8232 posts, RR: 10
Reply 13, posted (3 years 6 months 3 weeks 6 days 8 hours ago) and read 14596 times:

Quoting enilria (Reply 3):
What they are doing is very savvy, but they are the wrong airline to be doing it.

How is taking How is taking your product off the market a savy thing to do? Yes you can go o aa.com for for every customer that does that there will be hundrends that don't.


User currently offlineFWAERJ From United States of America, joined Jun 2006, 3722 posts, RR: 2
Reply 14, posted (3 years 6 months 3 weeks 6 days 8 hours ago) and read 14504 times:

Quoting airbazar (Reply 13):
How is taking your product off the market a savy thing to do?

It was the decision of Expedia, Orbitz, and Sabre to drop American Airlines flights and fares, not AA's. American wanted to stay with these agencies and transition them over to AA Direct Connect, and AA is still open to negotiations with Expedia/Orbitz/Sabre.



I don't work for FWA, their tenants, or their ad agency. But I still love FWA.
User currently offlineXT6Wagon From United States of America, joined Feb 2007, 3392 posts, RR: 4
Reply 15, posted (3 years 6 months 3 weeks 6 days 8 hours ago) and read 14431 times:

Quoting airbazar (Reply 13):
How is taking How is taking your product off the market a savy thing to do? Yes you can go o aa.com for for every customer that does that there will be hundrends that don't.

The problem is that in an industry with margins as thin as the Airlines see... every dollar counts. It would be interesting to see what % of the seats sold the online ticket sales sites were making more than AA. I'm betting its over 50% of them. So if AA can move that $10 or whatever per seat from Orbitz's pocket to thiers, its a huge shift in revenue and profit.

Of course, AA is giving up the "free" advertising of thier product, but they also are giving up giving customers a very easy place to see that Airline X is $5 cheaper that day.

To make this work, they are going to have to spend more time and money on ensuring customers who are loyal and satisfied with thier product. AA has done well with this in the past, but they have to step up to a new level to ensure any that do try thier product stay with it. Without the online travel sites thier share of "new" customers will be far lower than before.


User currently offlinemogandoCI From , joined Dec 1969, posts, RR:
Reply 16, posted (3 years 6 months 3 weeks 6 days 8 hours ago) and read 14432 times:

Quoting par13del (Reply 10):
If AA lowers fares by passing savings achieved from not "paying" the middle man onto the customers, the travelling public will be happy.

That's the same argument of retailers attempting to lower credit card merchant fees from Visa and Mastercard claimining savings will be passed onto consumers, when in fact, the ONLY place where the savings will be passed along to is the "profit" line in the income statement

next thing you know, AA can also claim they only accept online booking, and only via debit cards, and on top of that, possibly screw all their vendors in the crusade of "savings"

Quoting par13del (Reply 10):
Most folks are now used to having 2 or 3 windows open on the computers anyway, so multi-tasking while looking for fares is not great burden, of course that has absolutely nothing to do with one's preference of having all information in one place or AA's real intention in driving folks to their site only.

imagine a horrifying future when you need to perform the same search on AA.com, United.com, Delta.com, Southwest.com etc etc etc just to buy a single ticket when you can do it all in 1 portal today (sans WN). We shouldn't be here to BEG AA for its product - AA is no Apple.

Quoting LONGisland89 (Reply 5):
2. Why on earth would you think JFK-LAS is a "key market" for AA

America's largest metropolitan to "America's Playground" is not a key market ? Everyone else flies it 5x and 6x and 7x.

Meanwhile, AA floods JFK/EWR-LAX with a trillion frequencies to ensure the airspace and runways at JFK/EWR are clogged up and no one arrives on-time.


User currently offlineAirCalSNA From United States of America, joined Mar 2010, 329 posts, RR: 0
Reply 17, posted (3 years 6 months 3 weeks 6 days 8 hours ago) and read 14360 times:

Quoting TSS (Reply 8):
I'm sure others will know more in detail, but I seem to remember a thread or two from here on Anet a few years back about how AA was planning on replacing SABRE with a more modern system. If I recall correctly, the general consensus of opinion on those threads was that while SABRE had an old-fashioned interface and a steep learning curve for newbies, it was exceeding flexible and functional for experienced users, and concerns were expressed that any new system replacing SABRE would probably sacrifice overall flexibility and functionality for initial ease of use and a more up-to-date interface.

NY Times yesterday confirmed that AA is unveiling a new online reservation system that will be much more extensive than their old one.


User currently onlineseabosdca From United States of America, joined Sep 2007, 5326 posts, RR: 4
Reply 18, posted (3 years 6 months 3 weeks 6 days 8 hours ago) and read 14350 times:

Quoting MaverickM11 (Reply 12):
However those companies need airline content more than airlines need bargain bin distributors. It will be very interesting--and disastrous for Orbitz/Expedia/Travelocity etc--if other airlines follow suit.

"Other airlines" here means UA and DL. No one else is big enough to count. Has anyone heard anything from either one? If either one pulls out, it's really a death blow for the online sellers.

Quoting mogandoCI (Reply 16):
America's largest metropolitan to "America's Playground" is not a key market ? Everyone else flies it 5x and 6x and 7x.

Meanwhile, AA floods JFK/EWR-LAX with a trillion frequencies to ensure the airspace and runways at JFK/EWR are clogged up and no one arrives on-time.

Which market would you rather dominate: the high-yielding business market or the trash bin FF and $150 fare market? There's a reason everyone is pulling out of LAS.


User currently offlineBennett123 From United Kingdom, joined Aug 2004, 7473 posts, RR: 3
Reply 19, posted (3 years 6 months 3 weeks 6 days 8 hours ago) and read 14323 times:

Those who think that this is a good idea assume that all customers will know that AA fly their intended route.

I am not sure that they will.

For example, if I was flying from London, to say Boston, I do not know off hand if the route is operated by AA.


User currently offlinepeanuts From Netherlands, joined Dec 2009, 1438 posts, RR: 4
Reply 20, posted (3 years 6 months 3 weeks 6 days 8 hours ago) and read 14290 times:

Quoting tugger (Reply 6):
The next move is really up to AA

Or better: UA and DL... Their move is next, whatever it is they do...



Question Conventional Wisdom. While not all commonly held beliefs are wrong…all should be questioned.
User currently offlinecommavia From United States of America, joined Apr 2005, 11453 posts, RR: 61
Reply 21, posted (3 years 6 months 3 weeks 6 days 8 hours ago) and read 14290 times:

Quoting enilria (Reply 3):
What they are doing is very savvy, but they are the wrong airline to be doing it. They are going to take a massive hit for leading this and then DL/UA will quietly follow and suffer not at all. All they are doing is lowering everybody's cost which doesn't really do them any good as compared to their legacy competition...and they get the backlash to show for it. It really should be Delta leading this...or maybe UA.

Well, one thing is for sure.

If AA can hold out for long enough, and recover even just the majority - if not all - of this revenue through other sources, and thus generate largely the same revenue, but at 50%+ lower distrution costs (i.e., stop paying fees to GDSs), Delta, United and every other U.S. carrier will fall in line behind them rather quickly.

The GDS model is dying. It's just a matter of time. AA is just trying to speed the process along. In my viwe, the GDSs - in their present form - will cease to exist because the market no longer needs them. They were created at a time when they were the only way to aggregate fare information and comparison shop all on one screen. Today, web-based booking systems can easily do that and bypass the GDSs completely without missing a beat. If AA isn't successful now, maybe Google-ITA will be the tipping point, but either way, it is just prolonging the inevitable.

Quoting par13del (Reply 10):
It will come down to what is more important, getting a lower average fare on AA, versus the ease of viewing all fares in one place.

Can somebody please explain this to me, since I must be missing something.

I certainly understand why the OTAs want to portray it as though they are somehow altruistically sticking up for consumers (yeah, right), but how, exactly, are AA's direct-connect system and consumers being able to comparison shop in some form of 1-screen, matrix-style system mutually exclusive? If, hypothetically, AA and every other airline supplied their fares/schedules to the OTAs via proprietary direct connect systems, could the OTAs not just aggregate all of that information as they do now? In other words - from the perspective of the consumer, it doesn't matter how the OTAs get the fare/schedule information - either directly from airlines or from airlines via GDSs - as long as it is all displayed, which it still of course could be.

From my perspective, what this is really about, of course, is not that the OTAs won't be able to display all fares at once so consumers can comparison shop. Again, I see know reason why they couldn't. This is about the OTAs not wanting to relinquish control, not wanting to forego the revenue they split with the GDSs from the fees/commissions airlines pay them, and about the GDS companies - several of which own these OTAs - not wanting to accept the inevitable reality that they are now an antiquated middleman that modern technology (namely the internet) has now rendered largely obsolete and unnecessary.


User currently onlineOzarkD9S From United States of America, joined Oct 2001, 5010 posts, RR: 21
Reply 22, posted (3 years 6 months 3 weeks 6 days 8 hours ago) and read 14263 times:

Quoting mogandoCI (Reply 16):


Meanwhile, AA floods JFK/EWR-LAX with a trillion frequencies to ensure the airspace and runways at JFK/EWR are clogged up and no one arrives on-time.

With larger B6 frequencies at JFK and larger CO frequencies at EWR, how can you possibly state the congestion at JFK/EWR is AA's fault? AA isn't the one sending countless ERJ's into EWR. The entire NYC airspace/slot allocation procedures need to be reworked, and last I checked AA wasn't running any government agency.

[Edited 2011-01-05 12:05:29]


Next Up: STL-LGA-RIC-ATL-STL
User currently offlinetsugambler From United States of America, joined Jul 2010, 302 posts, RR: 0
Reply 23, posted (3 years 6 months 3 weeks 6 days 8 hours ago) and read 14179 times:

Quoting tugger (Reply 6):
The big question in this dispute had been "what will Travelocity do".

I was just on Travelocity's site, and I was able to bring up several AA flights from STL to SJT (a route for which I commonly search for fares on Travelocity). The search seemed to take a little longer while finding it, but it still came up.


User currently offlinetxagkuwait From United States of America, joined Aug 1999, 1803 posts, RR: 43
Reply 24, posted (3 years 6 months 3 weeks 6 days 8 hours ago) and read 14151 times:

Quote:
Expect Southwest-esque "You can only get your AA tickets at AA.com" marketing to come out VERY quickly.

Wouldn't it be hysterical if you could start booking AA seats/buying AA tickets on southwest.com???

American will sruvive all of this and end up being much better off.


25 Post contains images MaverickM11 : It's not "off the market" but "out of the bargain bin" as these websites are the epitome of the pricing tranparency/airline-seat-as-a-commodity trend
26 mogandoCI : With no flat-bed J product on international routes and old planes (762s) on the flagship transcons, only the low-yield portion of the business market
27 commavia : They have a more consistent international J product (including angled-flat) than some of their U.S. competitors do, plus a lie-flat F seat in key pre
28 LAXtoATL : And this would defeat the purpose of AA trying to lower their costs. WN spends a ton of money advertising southwest.com (and iflyswa before that). Ag
29 MAH4546 : Essentially, American Airlines is trying to move to a more Southwest-like model in distributing tickets. It's a risk, but it may very well pay off. Th
30 Post contains links VS11 : I wouldn't worry too much for American. For one, in this time and age it is about alliances and frequent fliers who have enough ways to check AA fares
31 nycdave : You nail it, right there. Right now, Orbitz and Travelocity basically get to "hide" their take of the ticket cost in the form of commissions/fees pai
32 TOMMY767 : HAHA I just saw one last night! But this isn't good for AA, and quite frankly I don't understand the motive behind upper management in this decision
33 peanuts : The sky may not be falling for the middle man as of yet but I certainly would start to tidy up my resume, just in case. AA will end up on top of this
34 LAXtoATL : I thought I would mention that with the JV with BA/IB some of AA's flights will still show up on these websites. They will show as BA/IB of course but
35 LAXtoATL : Hardly comparable. The volume of websites that DL ditched to that of the ones that AA has been removed from are not even close to comparable. DL stoc
36 Post contains images Tango-Bravo : That's what I thought as well, at least as of late 2008...back then any issues pertaining to the Sabre system were referred to the AA/Sabre help desk
37 rduddji : Is AA not using SABRE anymore for ACI and operational functions? I know SABRE is modular (i.e. pay for what you use), but I would think SABRE would be
38 LAXtoATL : I agree completely with every word.
39 kgaiflyer : AA also used to be part-owner of Orbitz, so this whole thing is getting progressively weirder and weirder.
40 mogandoCI : CO flies it 5x to 7x daily EWR-LAS nonstop depending on the season (they might have trimmed it down to 6x in the summer now but i'm not sure since th
41 CaboChris : American is just implenting the next part of "Jetstream" Jetstream will run, for both American and its regional airline affiliate American Eagle: •R
42 Post contains images commavia : While I don't disagree with your larger point, I would submit that - all else being equal - the average loyal AA flyer is probably far more valuable
43 C010T3 : I wonder how this reflect on AA's sales in foreign countries. Brazilian airlines did in the past exactly what AA is doing now, but that isolated the c
44 USXguy : please note this will also apply to interline bookings. For instance, Hawaiian Airlines and Alaska Airlines are connected to American thru Sabre. (the
45 Longhornmaniac : Or maybe, people with a lot more information than you do have made an objective analysis, and come to a decision. The fact that you're sitting there
46 Goblin211 : Absolutely!!! I'd bet Priceline is next.
47 FWAERJ : Funny you mentioned AA.com, as it just got the first phase of user interface upgrades about 2 months ago. It looks better and is easier to use now. A
48 FWAERJ : Priceline is already using AA Direct Connect, and AA is encouraging travelers to use Priceline if not booking through AA.com.
49 kalvado : Looks like airport desks are going to be the only place where tickets would be really available...
50 TOMMY767 : Sounds about correct. One way to look at it is AA management is a bunch of cheap penny pinchers, just like CO management is a bunch of bean counters.
51 macsog6 : It is a wise business move, the vast majority of the time, to look at the industry leader and emulate what they are doing. WN, while not a worldwide
52 Post contains images commavia : In other words, they are legally-bound managers of a publicly-traded corporation with a fiduciary responsibility to maximize return to shareholders.
53 PlaneAdmirer : Great summation of what's really happening. Allowing so many third parties at the trough isn't helping AA or any other carrier. Like all sellers AA w
54 B377 : Back in the day when the airlines were paying travel agents 10% commission on their sales, the airlines found that the agents in turn were rebating up
55 ADent : The article said Sabre will stop carrying AA info in AUGUST 2011. So Travelocity should be good to go for the next 8-9 months. They also said they we
56 ripcordd : This is just like the start of the internet and what it did to travel agents the world is moving forward and orbitz wants to stop it so they can stay
57 Post contains images commavia : It's called creative destruction. It's a perfectly natural - and beneficial - process that has been and will continue to go on in all capitalistic so
58 LAXtoATL : Agreed. There is no question that on average a loyal AA flier is a higher valued passenger than an average loyal Expedia customer. But this is not an
59 FWAERJ : You are correct. In fact, Braniff complained, prior to their demise in 1982, about an AA bias in Sabre during the DFW AA/BN fare war. More recently,
60 GlobalCabotage : The anti AA agenda on this forum continues! What if DL and UA pulled flights from here? DL has already pulled from smaller groups. AA could be leading
61 Cubsrule : An important point, but I think it's somewhat market-dependent. In Nashville, it's rare that more than 2 carriers would make sense for any given itin
62 OA412 : They'd be getting similar or worse treatment. Have you seen some of the DL or UA threads?
63 wwtraveler99 : That is a big IF, AA surely will not pass any of these saving to the customer. Over the last couple of years what saving have they passed on to the c
64 Tango-Bravo : OTOH... That could be exactly AA's point... Does AA's strategy perhaps wisely include steering away from senseless pandering to the insatiable cravin
65 Post contains images crosswinds21 : It's great how you immediately turned this into a AA-bashing thread. I don't have any problem with you bashing AA, or any other airline for that matt
66 kalvado : Which begs a question... if all the fixed costs (whatever small portion it is) allocated to those "garbage" fares, how much would higher grade fares
67 ripcordd : on WSJ I just read that AA spends 1 Billion Dollars a year to companys like expedia/orbitz for selling their tickets....Now I dont know about you but
68 AJMIA : I am dreading the day that they turn Native Sabre off! It has a long learning curve, but it is an amazing system. AJMIA
69 PA110 : I think that figure might be a little exaggerated, but probably not by much. One question is, how much extra will AA's marketing department have to s
70 ChicagoFlyer : Allocation of fixed cost is irrelevant. You either sell the surplus seat above variable (aka carrying aka incremental aka marginal) cost or you do no
71 cws818 : Are you actually suggesting that AA's LAX-JFK/EWR schedule is designed primarily to clog airspace and delay competitors' flights? Why would you think
72 LAXtoATL : If I read the article correctly, that figure was there total costs for all distribution channels not just expedia/orbitz etc. It also mentioned that
73 Post contains links and images ebs757 : I am having far too much fun reading all of the naive comments over on CNN.com. All AA fans should take a look http://www.cnn.com/2011/TRAVEL/01/05...
74 777ORD : Years ago, when I worked for AA. There were several news stories on AA going from SABRE to a custom built system. It would be like most foreign carrie
75 baw716 : This is just another battle in a distribution war that has been ongoing now for about 10 years; the minute the internet became viable as a distributio
76 offloaded : I'm having fun reading a few in this thread. The GDS's aren't disappearing any time soon. The arguement, which is turning nasty, is the cost of conte
77 Burkhard : I think this definitvely costs American and also its partners ( British Airways I can see) significant market share. I checked several web sites ( opo
78 rampart : I had thought ITA was part of, or at least heavily based on, Sabre. Will this go away, for AA first and then other airlines who might follow AA? I al
79 kalvado : Same thing. AA make some more money - which means AA profit goes up, or it means AA does not have to charge loyal customers more to make ends meet. G
80 DLD9S : It is convenient timing that AA chose to pick this battle with its biggest sellers and distributors just before it goes back to the negotiating table
81 Burkhard : I think I can add an experience from another part of the internet, that might help here too. I have developped a software and sold over one single poi
82 wjcandee : Hmmm... Don't many corporations use the GDS systems exclusively for biz travel? Isn't that why B6 decided to pay extra to go up on those systems, chuc
83 AirNZ : To do so would amount to collusion.....thus illegal.
84 TOMMY767 : Just as clairification, this is actually one of the positives to flying AA. Frequent, 3-class, widebody service between JFK and LAX on 767s. In F and
85 VS11 : Frankly, I don't know how ITA model works now. A friend of mine used to work in their sales team and I do know that airlines need to sign up with the
86 Tango-Bravo : Which, besides the collusion issue (Reply 83), raises another interesting issue...which is the effect it has on codeshare fraud (albeit legalized fra
87 kalvado : Welcome to the world of retail, where customers put some value in shopping convenience. Welcome to free market!
88 ckfred : Do any of the online travel agencies charge the passenger for their services. I seem to remember that Orbitz did for a while. I know that corporate tr
89 nyc2theworld : These loss-leader fares are the same fares that can be found on the airline's website!! The fare I book on expedia.com is usually within +- 5.00 of t
90 aairbussju : SABRE is just sore because they know their days with AA are numbered with the introduction of jetstream. The just took the opportunity to "get back" a
91 offloaded : And Easyjet entered the GDSs as part of its evolution as an airline. I do not know the % for the USA unfortunately, but in the UK, in the case of BA,
92 Post contains links BNAtraveler : I just found the following AA blog that shows their perspective https://www.aa.com/i18n/agency/distr...n=DirectURL&title=distribution We all know
93 cabochris : Jetsream Project, thats all American is doing. I'm Sure Delta and United have similar programs going on right now. 3rd parties are out.
94 Post contains images TBYO787 : Totally agreed. And 100% faster than point and click systems. TBYO787
95 rfields5421 : I've seen instances where corporate travel agents were required to compare fares on Southwest. In those instances, there was a fee added to the trave
96 RogerThat : SABRE was developed 50 years ago before DOS was a twinkle in Bill Gate's eye. Best comment ever on a.net
97 Post contains images Tango-Bravo : Who ever suggested otherwise If anything, I would think that airlines would especially want customers to purchase their loss-leader fares at the airli
98 Post contains images lightsaber : I'm not so sure this is only about leisure fares. My corporation switched booking agents and now forces a 'lowest fare' purchase. It is not allowed to
99 FWAERJ : DL pulled their flights from CheapOAir.com, BookIt.com, and OneTravel.com. Not sure which sites UA pulled from.
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