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airline distribution

From deregulation to automation to online – 40 years of distribution

DEREGULATION Deregulation of the US Airline Industry in 1978 brought enormous change to the US travel landscape, making entry into new markets accessible and entry as a new airline much more feasible.  Deregulation took us from 60 airlines in 1970 to 90 in 1978 all the way to 192 airlines serving the US in 2010. …

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Clarification in terminology – Direct Connect or Supplier Direct

Thanks to Jim Davidson for his comments on The Beat on my post on Channel Shift (see below for his comments in italics).  Jim is right.  There are two things at issue here.  DIRECT CONNECT – Farelogix provides a technology solution to suppliers which they refer to as the “Direct Connect Distribution Model” that allows …

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Is it time to “make nice” with the offline travel agency distribution channel?

Sharpening conflict online between OTAs and Airlines renews discussion about the value of the offline distribution channels – namely the mega agencies that focus largely on the corporate traveler and the other, nearly 16,000 brick and mortar agencies still in business in this country. As we listen to the media talk about the Expedia and …

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Correction on yesterday’s post on online travel agency decline

CORRECTION TO 5/17/2010 POST According to ARC, the current air ticket sales stats actually show the OTAs still growing year-over-year, with the RATE of growth declining a bit (see the chart in the original post).  Clearly the rate of growth in business travel via the Megas is making the OTAs growth look more mild, but …

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