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ARC Segmentation

The Online/Brick and Mortar agency gap is widening on domestic ticket sales

As the GDS/Airline battle is being waged in a courtroom in a state district court in Texas, I’d like to take this opportunity to put to rest the discussion about the profitability of airline direct versus the GDS driven agency channel.   This is the first in a series of blogs this week about the …

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Making Sense of Airline Distribution Noise – International Transaction Volume

Over the last two days we took a look at US travel agency sales of domestic airline tickets. Today, we are going to look at the international air transaction volume by agency channel. Thanks to the Airlines Reporting Corporation (known as ARC) for providing the data for today’s post.  As a reminder, ARC settles transactions …

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Making Sense of the Airline Distribution Noise – Domestic Airline Revenue Segmentation

On Wednesday, we began a series of looking at the noise in the press, the courts and even on Capitol Hill regarding airline ticket distribution.  The GDS companies are at the center of the debate.  Global Distribution Systems are the tool that is used by most agencies to access airline inventory and to manage the …

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Making Sense of the Airline Distribution Noise – Domestic Air Transaction Volume by Channel

Yesterday we took a look at the average airfares per channel, but viewed in isolation, those numbers are not as meaningful. Today, we are going to look at the domestic air transaction volume by agency channel.  I would like to thank the Airlines Reporting Corporation (known as ARC) for providing the data for today’s post. …

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Making Sense of the Airline Distribution Noise – Airfares by Agency Channel

With all the noise over airline distribution, how has it really changed since 2010? I’m glad you asked. For well more than a decade, I’ve been analyzing the changes taking place in airline ticket distribution here in the US.  There is a lot of noise over this issue, particularly as the airlines continue to invest …

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Anti-disintermediation – The airlines should be leading the charge!

NOTE: Corrected Version In commerce, anti-disintermediation is a term used to describe the preservation of intermediary positions. Today’s consumer can access goods or information on the Internet that traditionally required the assistance of an intermediary such as a retailer, travel agent, or banker. By cutting out the middleman (disintermediation), e-businesses are able to sell goods …

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Airline Channel Shift – The Real Story (sneak peak at GBTA panel Direct Connect – The Hot Seat)

Today I was doing my final preparations for the Direct Connect HOT Seat panel that I’m moderating next Monday at GBTA in Denver.  I put together a couple of slides based on ARC’s 2nd quarter data that I would like to share with my loyal blog readers as a “sneak peak” at the airline channel …

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Travel Industry – Online airline ticket sale growth trending down – TMCs picking up slack

The Airline Reporting Corporation tracks airline ticket sales for the 14,500 travel agencies (both online and offline) in the US.  In May, these agencies sold $7.4 billion in air tickets, up 5.92% year over year. In the first quarter of 2011, online agencies represented 23% of all airline tickets sold in the US, that is …

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