Posts Tagged "airlines"

Online travel site Expedia removes American Airlines flights – CNN

Posted by Mike Collins on Feb 12, 2011 in Travel News | 0 comments

American said it did not expect significant impact from the Expedia action.American removed its fares from Orbitz.com last monthReport: Expedia says American’s new pricing model is “anti-choice”The airline says travelers can use other websites or the American site

(CNN) — The online travel site Expedia has removed American Airlines fares and schedules, the latest move in an ongoing legal squabble between travel websites and airlines.

“Expedia, after more than a week of discriminating against American’s fares and schedules by omitting them from its top search displays … has removed American’s fares and schedules from Expedia.com, effective January 1, 2011,” the airline said in a statement Saturday.

American’s fares and schedules remain on Egencia, Expedia’s corporate travel site, the statement said. Customers looking to compare flights online can visit other travel sites such as kayak.com, priceline.com or travel agencies, it said, as well as American’s own website, aa.com.

The airline has seen a year-over-year increase in ticket sales since removing its schedules and airfares from the travel site Orbitz.com on December 21, and since Expedia “began discriminating against American’s flights and schedules” two days later, a practice the airline said was “deceptive to consumers looking for competitive choices for travel.” The ticket sales have shifted to other channels, the airline said.

Expedia has not responded to repeated requests for comment from CNN. In a statement to Bloomberg News, Expedia said that American Airlines’ new pricing model — a system called Direct Connect that provides fair and pricing options directly to larger online travel agencies — is “anti-consumer and anti-choice” and makes it harder to compare ticket prices and options between American and other airlines, Bloomberg reported.

American said it did not expect significant impact from the Expedia action. Tickets for air travel on American purchased on Expedia remain valid, the airline said.

“Our direct connections offers a path to a new era of buying and selling travel services,” Derek DeCross, American’s vice president and general sales manager, said in a December 29 statement. Previously, airlines have offered “different flavors” of airfares, he said. “… Our direct connection will help travel agencies help their own customers by giving them access to customized choices and delivering the best value to travelers.

“We do not envision a future in which we only sell to our customers through our own branded website,” DeCross said. “Our goal is to have broad distribution channels and choices for our customers, with our products and services delivered efficiently and without unnecessary costs flowing through the process.”

Last month, Delta Air Lines also notified three online travel sites — cheapoair.com, onetravel.com and bookit.com — that it had terminated them as authorized travel agents, according to Bloomberg.

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American Airlines severs ties with online travel giant Orbitz – Catholic Online

Posted by Mike Collins on Dec 23, 2010 in Travel News | 0 comments

American Airlines severs ties with online travel giant Orbitz – U.s. – Catholic Online Skip to main content

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American Airlines severed all ties with online travel giant Orbitz this week, ending a relationship formed 10 years ago with United and other leading airlines. The Chicago-based Orbitz halted ticket sales for travel on American and American Eagle flights after a Cook County Circuit Court judge allowed the nation’s No. 3 airline to cancel contracts amid a dispute with the online travel agency and its corporate parent, Travelport.

In spite of their severance, American Airlines confirmed that it would continue to honor tickets sold through Orbitz. The airline advised customers who needed to change their travel plans to contact American Airlines reservations by calling 1-800-433-7300.

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LOS ANGELES, CA (Catholic Online) – American Airlines confirmed that it would continue to honor tickets sold through Orbitz. The airline advised customers who needed to change their travel plans to contact American Airlines reservations by calling 1-800-433-7300.

The bold and controversial move by American Airlines comes as it heatedly fights Orbitz and Travelport, the online travel agency’s largest shareholder, over the complex technology that has changed how consumers shop for flights.

American is insisting that travel agencies and giant ticketing clearinghouses, such as Travelport’s Worldspan and Galileo, to use an electronic pipeline created by the airline, called AA Direct Connect, to handle all transactions with the carrier.

This gesture would lower American’s distribution costs and diminish the role of global distribution systems such as Sabre that has acted as the industry’s middlemen for the past three decades.

“It’s very clearly a shot across the bow for all (global distribution systems) and also online travel agencies about the future of distribution,” Douglas Quinby, senior director of research at travel research firm PhoCusWright Inc. says. “All of the (online travel agencies) are watching this very, very closely, and other airlines as well.”

Consumer advocates say that if other carriers also sidestep the airline industry’s middlemen, traditional and online travel agencies like Orbitz, Expedia Inc. and Priceline could lose the ability to display the best available fares to consumers.

In brief, travelers would lose the ability to quickly track down the best deals on the Internet.

“As soon as the information isn’t all there, you can’t compare apples to apples, the complete costs of all the offers in the marketplace,” Kevin Mitchell, chairman of the Business Travel Coalition says. “That will absolutely drive all the fares up.”

Analysts don’t know whether other airlines will follow American’s lead or try to snatch away its customers.

“Since customers who buy on the neither online travel agency sites are generally price-focused, they may notice nor care that American is not appearing on their flight searches,” Henry Harteveldt, vice president and travel analyst with Forrester Research Inc. says. “In that case, American stands to lose.”

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