27 July 2007

BCD fights for rationality in Global Distribution

A well meaning paper written by the folks at BCD Travel is well worth the read. http://www.bcdtravel.com/aw/home/Corporate_Page/en-us/Content_5811652/Document_centre_5912426/~bmk/White_Papers/

The points it lays out are clearly expressed and mostly valid.

There are two points that we think should be added to the debate. So since we have the pulpit - we will exercise our rights:

1. Fragmentation of distribution actually benefits TMCs who can now show their value by being the real aggregator of content - rather than just the re-presenter of information.

2. The true cost of distribution has not fallen - either for the Airlines nor the users of travel.

We will continue to push these points in coming weeks and months as we believe that there is a sea change of distribution re-alignment occurring. One thing is for sure. Full Content deals were not the great seminal moment of change that the airlines thought it would be. Rather it has resulted in an increase in distribution costs as the GDSs unbundled their offerings while rejoicing in the the handcuffs they have placed on the airlines signing such deals.

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