Sabre Ends Distribution of Aeroflot Flights in Travel Tech Retreat From Russia

Sabre, a provider of airline information technology to Aeroflot, said on Thursday morning it would stop providing distribution services to the Russian flag carrier, essentially preventing it from selling tickets.

“We are taking a stand against this military conflict,” said Sean Menke, CEO of Sabre.

The moves come as part of a broader retreat from Russia. Expedia has stopped selling travel to and from Russia, Boeing has suspended major operations in Moscow, and multiple airlines have stopped flying to, and over, Russia. Meanwhile, enterprise software giant Oracle has “suspended all operations” in Russia while Apple has stopped selling its devices there.

“There’s likely one final action that can level, instantly, Russian commercial aviation,” tweeted Jon Ostrower of The Air Current on Tuesday before the announcements. “That’s Sabre, the IT backbone on which Aeroflot runs. No Sabre, no reservations. No reservations, no airline.”

While Russian airlines have been banned from North American and Western European airspace, they’ve been able to fly abroad in other directions. Removing Aeroflot from agency platforms made it harder for agents worldwide to book Aeroflot tickets. For internal domestic flights, travel agents can use Sirena, a Russian distribution player. Chinese buyers can use Travelsky.

Amadeus had the largest share of distribution in Russia, Sabre had the second-most, and Travelport had the third-most, according to statistics from Travelport that covered the past 12 months and the pre-pandemic year of 2019.

There are two sides to the services the tech vendors provide. One side is their reservation services used by hundreds of thousands of online and retail travel agencies and corporate travel management companies.

Amadeus and Sabre, but not Travelport, also provide passenger service systems to airlines to help run their operations, too.

“Reservations, passenger service, operations, network planning, and management are core automation, commercial, and operating systems, without which airlines cannot function, except minimally and manually,” said Robert Mann, an industry consultant.

Lastly, Amadeus and Sabre sometimes run “central reservation systems” for airlines, helping the airlines take bookings.

“It’s reasonable for GDSs to decide not to sell Russian flights if they so choose,” said Brett Snyder of Cranky Flier. “But it’s a lot harder to make the decision to turn off the airline reservation system. That effectively shuts the company down.”

Some analysts thought any action at this point would be superfluous.

“I give it five to seven days before domestic aviation is grounded,” said Mike Boyd, president of Boyd Group International. “With many planes repo’ed [being reposessed], with Boeing suspending parts, maintenance, and technical support services, and with passengers being hard up for cash, Russian airlines will mostly stop flying.”

However, Russia might try to follow a policy of carriers grounding two planes to use for spare parts for every plane it keeps in service, on average, according to Djois Franklin, CEO of Seatmaps, a Germany-based seat map data vendor. That policy could keep domestic aviation flying for much longer.

Some analysts noted that legal contracts can make things complicated.

“For example, Amadeus hosts the Russian airline S7,” said Eric Leopold of the aviation consultancy ThreeDot. “Will Amadeus suspend their service, meaning that S7 cannot board their flights? These relations are based on contracts, which are difficult to suspend unless there are clear sanctions to apply.”

“Our immediate focus remains the safety and wellbeing of our colleagues and their families in Ukraine,” the Amadeus spokesperson said. “In light of the attacks on Ukraine, we immediately stopped any new planned commercial projects in Russia. At the same time, we continue to assess and evaluate the potential impact of international sanctions imposed on Russia and any counter-measures by Russia.

A Decision for IATA, Too

Mann also argued that the leading industry body the International Air Transport Association, or IATA, should stop facilitating payments and commerce for Russia-based airlines.

We asked that organization for comment.

“We comply with all sanction regimes applicable to us,” a spokesperson said. “This has reduced IATA’s business activity in Russia. Prior to the imposition of sanctions, some 140 airlines were doing business in Russia through the IATA BSP [billing and settlement plan].”

“As a result of the conflict and the sanctions, many people who purchased tickets will have had their trips canceled and will be seeking refunds, which would typically be processed through the BSP if the tickets were purchased through a travel agent,” the spokesperson said. “Closing the BSP would eliminate this recourse.”

Meanwhile, many travel tech companies, including Kiwi.com and Hopper and Sabre, have been donating money to relief efforts.

“To help support humanitarian programs in the region, Sabre, which has approximately 1,500 team members in Poland, has donated $1 million to the Polish Red Cross,” Menke of Sabre said.

Source: Skift

Flight Centre trends report: ‘Travel agent is king’

Flight Centre UK’s 2022 report says the “travel agent is king” and bookings through agencies are expected to rise this year because of the complexities of travel in the Covid era.

More than half (54%) of Brits would choose to book through a travel agent, rather than independently, according to the report.

“Though the benefits of booking through a travel agent have long been recognised, the uncertainty of travel in this Covid-age has further cemented the value of an agent’s expertise,” the report said.

“Pandemic-era travel requires more emphasis on pre departure planning than ever before.

“Add to that, unexpected changes and cancellations due to outbreaks, reduced airline capacity and scaled down airline staff, makes having a one-stop shop service with a travel agent invaluable.”

Flight Centre said its UK travel agents have had “thousands of conversations with new customers looking for the help and support they just can’t get elsewhere”.

“This has driven hundreds of Trustpilot reviews, quoting how our Flight Centre staff have helped our customers,” it said.

“Since the pandemic began, the average age of our British customer has dropped from 53 to 51, as younger travellers have discovered that extra help and protection offered by an agent is missing when you book several components online.”

January 2022 has seen Flight Centre’s highest levels of enquiries and UK bookings since the start of the pandemic.

As well as the importance of agents, its 2022 Travel Trends Report highlighted how “flexibility is key” and beach holidays are the most popular type of break.

Reconnecting with friends and family and sustainable travel were other notable trends in the report.

Liz Mathews, managing director of Flight Centre UK, said: “This year is one of revenge travel. Travellers are itching to stick it to Covid-19 and will take great pleasure in boarding a plane and crossing borders in 2022.

“The pent-up demand from the last 22 months is bubbling over as people see an end in sight for this pandemic.

“And they want vengeance. Vengeance for all the cancelled holidays, missed weekends away, and the get-togethers they never got to plan.”

Source: Travel Weekly

Using a travel agent will make your 2022 vacations much more enjoyable. Here’s why.

When Calista West started planning a trip to Sedona, Arizona, seeing a local healer was on her to-do list. She shared her aspiration with her travel adviser as an afterthought. But when West tried to make an appointment with the physician, he was unavailable. 

Then her travel agent, Brie Shelly, sent over West’s itinerary. Shelly had worked some of her personal connections in Sedona to secure an appointment with the overbooked healer. 

“Brie really went above and beyond,” says West, a jeweler from Nantucket Island in Massachusetts.

Welcome to the future of travel advisers. Yes, they can read your mind – or at least they’ll try.

“Our clients are always impressed just how close friends we are with so many of the hoteliers and tour operators worldwide that we work with,” says Shelly, who works for an agency aptly named Embark Beyond. “It’s those connections and destination knowledge that allow us to elevate client itineraries.”

Shelly says she’s not a mind reader, but she paid attention to West’s wishlist when she contacted her. The healer had to be part of the itinerary, along with the spa treatments, hikes in the red rocks, and other activities.

When it comes to travel agents, there’s a growing divide between online agents that simply process your travel requests and well-trained travel consultants who do what no computer can, which is to anticipate what travelers need before they even ask for it.

Why should you use a travel agent for your next trip? 

You need a travel adviser because travel is complicated

Travel is more complex than ever, for starters. A few decades ago, for example, airlines offered just economy and business- or first-class options. Now there are dozens of options and extra fees. For travel products with more moving parts, like cruises or tours, it’s easy to get lost. Same thing goes for travel insurance.

“There are components of the travel buyer journey that are complex,” says Tim Dodge, vice president of marketing at Arch RoamRight travel insurance. “Travel advisers invest in training and developing a deep understanding of the industry.”

Take your average African safari, for example. In the past, when you booked one yourself, you had to worry about airfare, airport transfers, hotels before and after and optional extensions, plus any vaccine requirements. But now, with COVID-19 on the loose, you also have additional vaccine and testing requirements. A travel adviser specializing in safaris can offer peace of mind, says Marcelo Novais, general manager for North America at Ker & Downey Africa, a tour operator in Cape Town, South Africa. 

“Travel advisers help navigate the new complexities of travel,” he says. “They can activate their network to ensure that should things go wrong, they can easily negotiate with suppliers to postpone your trip and secure your investment.”

That’s particularly true for coronavirus test requirements, according to Sherry Sutton, a vice president of marketing at Travel Insured International. “Rules and regulations are constantly evolving, so working with a travel adviser can help to ease some of the stress of navigating these changes and help clients to identify the best places to travel during these times,” she notes.

How to find a travel adviser

Where do you find a travel adviser? By far the best method is a word-of-mouth recommendation from a well-traveled friend. You can also check the American Society of Travel Advisors website, Travelsense.org. Or you can find an agent through a travel advisor consortium like Ensemble Travel Group.

David Harris, CEO of Ensemble Travel Group, says that while his agents may not be able to read your mind, they can add a little surprise and delight to your trip.

“What I think will surprise people who have not used an adviser before is that they will get some additional perks,” he says. “It could be an upgrade at their hotel, early check-in or late check-out or perhaps a little surprise waiting for them in the room upon arrival.”

And don’t just go with the first travel adviser you see. I’ve covered strategies for finding the right agent in a previous Navigator, but here are the highlights: Read the reviews, make sure they know the area you’re planning to visit, and check their agency affiliation to make sure they’re legit. Look for a well-known host agency like American ExpressTravel Leaders, or Ensemble.

“If you work with an advisor that has a good affiliation, they have more “power” with their vendors,” explains Stephanie Charboneau, a travel adviser with Travel Creates Memories.

You may not need a travel agent, but…

You don’t have to plan your next trip with an adviser, say experts. A weekend trip to visit relatives or even a week at the beach may not require the expertise of a travel professional. And there’s always the money: Many advisors charge booking fees, and if you know exactly what you want, you can probably book the trip yourself online and save a few dollars. 

There’s also the inherent conflict of interest in the travel agency model. Your adviser may charge a booking fee and also take a commission from the cruise line or hotel. Also, travel agents sometimes receive other incentives to book certain cruise lines, resorts, or tours. That leads to the inevitable question of where the loyalties lie. Only the best travel agents can maintain a delicate balance between serving their customers and earning a commission. 

But for complex itineraries, it’s hard to match the efficiency of using a travel adviser.

“You can book your trip, research COVID regulations, cancel and reschedule your plans if needed, and file for travel insurance all by yourself,” says Betsy Ball, co-founder of Euro Travel Coach, a travel adviser that specializes in European itineraries. “But aren’t there other things you’d rather be doing?”

Source: USA Today

NDC ‘Failing to Deliver on Expectations

Business Travel Association members report they are “frustrated” with a “lack of progress” from airlines with New Distribution Capability initiatives, according to a five-year report on NDC released by the U.K.-based association.

The association, which includes travel management company membership accounting for more than 90 percent of U.K. managed business travel spending, said that TMCs and business travelers have been “consistently penalized” by NDC, such as with surcharges on NDC content booked through global distribution systems, “with promises unfulfilled by airlines” even with “heavy financial and technological investment from TMCs.” The report also bemoaned slow adoption from airlines, with only about half of airlines currently certified to any standard of NDC.

In addition, the report cited a lack of “significant functionality” such as “personalization, unused tickets, group bookings, interlining, split [passenger name records] and mixing NDC PNR with other air content.” Online booking tools  also remain unprepared to offer full NDC capabilities, according to the report.

“We are fully supportive of the transition to NDC, as modernizing airline retail is essential for the entire business travel community, but this fractured and disjointed approach is failing to deliver on expectations,” BTA CEO Clive Wratten said in a statement. “Airlines must employ a collective customer-centric approach that streamlines with TMCs’ activities to sustainably grow the business travel sector and enable tangible change.”

The report further claimed that airlines and content aggregators have been the major beneficiaries with lower distribution cost while agents have seen “very little” benefit and the travelers has seen little “aside from lower fares.” The fares benefit also is up for debate, as TripBam founder and CEO Steve Reynolds, who recently launched an airfare-reshopping solution, said initial use has not shown that tapping the NDC aggregators brings savings.

“We’re not seeing that significant difference between that content,” Reynolds told BTN during the recent GBTA convention in Orlando. “I had thought I’d see lower fares through NDC right out of the gate, but we’re not seeing it yet.”

Still, there are those that remain optimistic about NDC benefits and adoption. Amadeus earlier this year issued a report calling 2021 “the year of scaling” for NDC as airlines develop bundles and TMCs go live with NDC content. American Airlines this week announced it was on track for a “full integration” with Amadeus for NDC at North American points of sale in early 2022, following completion of integration for European points of sale earlier this year. Capabilities will include access to a new “Corporate Experience” offer that gives access to preferred seats and priority check-in, security lines and boarding.

“This market launch will be a significant milestone for our industry and creates opportunities for more personalized offers and a more intuitive booking experience,” American Airlines managing director of digital and distribution Neil Geurin said in a statement.

The BTA report in fact praised U.S. carriers along with Qatar Airways and Etihad for taking a “customer-centric approach alongside working collaboratively with the travel management fraternity.” It called for a similar approach across the industry.

“Modernizing airline retailing is essential for all of the business travel ecosystem,” according to the report. “It will work only if the entire industry collaborates to ensure a beneficial solution for all and not least a beneficial outcome for our mutual customers.”

Source: BTN