April 26, 2006 | E-mail article link | m-Travel.com

Amadeus delivers Ticketless Access for low cost airline market

In what is being termed as a revolutionary initiative for the low cost airline (LCC) market, Amadeus has introduced a distribution solution, which enables up-to-the-minute fare and flight information from ticketless carriers to be displayed alongside those of full service airlines through the GDS.

Amadeus Ticketless Access also eliminates an estimated 3-5 Euro per booking in added technology costs, currently faced by LCCs that distribute through this channel, says an official release.

Amadeus developed Ticketless Access in response to market demand from LCCs, travel agents and travellers, especially corporates who wish to have a fuller choice of flights through a single channel. The solution is the only one available to LCCs that uses standard Extensible Markup Language (XML) messages and integrates airline content with the core back office GDS.

Michael Hansen, vice president, business development and IT of Sterling, the airline pioneering Amadeus Ticketless Access, said, “We have often been outspoken critics of the costs associated with traditional GDSs in the past but Amadeus Ticketless Access is a truly pioneering tool to help us extend our reach and distribution. It is a genuine change in the industry.”

As per the information available, Amadeus Ticketless Access provides Sterling with access to the GDS channel without significant expenditure as the airline does not place inventory into the GDS and all transactions are carried out using Sterling’s existing system. The benefit to Sterling is two-fold: a reduced distribution cost and increased reach across Europe whilst retaining full control of all content.

Hansen added: “We expect the new solution to deliver significantly increased bookings from business travellers and inbound traffic which will have a major impact on our commercial objectives.”

Frédéric Spagnou, vice president - Airline Business Group, Amadeus, said: “In Europe alone the number of LCCs has increased from five in 2000 to 65 in 2006. By removing the added technology cost associated with distribution via the GDS, we have truly opened up sales through travel agencies, balancing the dependency of low cost airlines on the internet channel. LCCs tell us this will enable them to realise approximately 30 percent increase in yield, through access to higher value corporate customers and also a 20 percent increase in the volume of bookings. As a launch customer, Sterling has first mover advantage in the dynamic low cost carrier market.”

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