IATA representative Juan Antonio told delegates the world summit of travel agencies in Granada that travel agents were been given opportunities rather than being threatened by New Development Capacity (NDC).
“We see great opportunities in it, trying not to separate travel agencies. Not only at the time of booking but also in the customer’s needs and their final experience.”
“The beauty of NDC and the offers in agencies is that now we can do things that were previously impossible: tailor-made programs, customised products, etc. That’s why technology allows us to put the customer at the centre of everything.”
A delegate from Chile criticised airlines for promoting their direct sales with new distribution systems like NDC, which sidelines travel agencies. “They are claiming that their relationship with travel agencies is exemplary, but in reality, there are differences because they are strongly promoting direct sales.”
“NDC is a thorn the shoes of travel agents. The way it’s developing is unfair. And until today, 100pc of the tickets are prepaid before the passenger flies. We have said that there will be another disaster like COVID, and the airlines will be left with nothing, and it will be us, the agencies, who will be responsible for those upfront payments. And when you earn a commission of 0.1pc, you cannot cover 100pc.
“Governments are sitting on a bomb that can explode at any moment, and the airlines will not respond. It could be solved if all passengers had insurance that would take care of guaranteeing that trip. And IATA has done nothing in this regard.”
Jesús López of Iberia replied: “We have to learn from other markets, we have made many mistakes, but we have learned a lot from NDC, and we are improving. We should talk because I see that Chilean travel agencies are dissatisfied,”
“We haven’t come together to see who can accelerate the implementation of future-oriented areas. As an industry, we are slow, and it is a problem of both airlines, IATA, and travel agencies. We are not helping each other move forward quickly. We are creating obstacles. I understand the problems we face, and distribution is complex, but there are other ways to do it, with flexibility.”
The summit was attended on behalf of the Irish travel Agents Association by CEO Clare Dunne and President Angela Walsh.
