THE Australian Travel Industry Association (ATIA) has called on the ACCC to exclude agency distribution strategies from a proposed re-authorisation of the Qantas-American Airlines Joint Business Agreement (QAJB).
In its letter to the competition watchdog, ATIA argued that allowing the carriers to coordinate on agency tactics would reduce pressure needed to offer competitive commissions and fair access to fares.
“We don’t oppose these major airline partnerships but we are fighting for the safeguards that ensure travel professionals, including the 92% of our members who are small businesses, can continue to negotiate independently,” ATIA CEO Dean Long said.
“When airlines coordinate their distribution strategies, it weakens the ability of travel agents to act as independent advisors, so we are asking the ACCC to put a ‘referee’ in place so that the travel trade can continue to compare, contrast, and steer demand based on merit, rather than facing coordinated restrictions from the major carriers,” he added.
ATIA also highlighted that travel agents and tour operators act as a “critical competitive constraint” on airlines, by facilitating price comparison and product substitution at the point-of-sale for travellers.
Qantas and American Airlines were granted interim authorisation last week by the ACCC to extend their QAJB, covering trans-Pacific routes between Australia, New Zealand and the United States, Canada and Mexico.
MEANWHILE, ATIA has announced its inaugural Independent Travel Agents Association (ITAA), naming 12 members representing agencies from across the country.
First revealed at ATIA’s Beyond Borders last year as a means of delivering a stronger voice for smaller independent agencies, the ITAA will meet at least twice a year and report annually against agreed KPIs.
The ITAA members are:
- Robyn Sinfield – Home Travel Company
- Julia van Huisstede – italktravel & Cruise The Junction
- Brian Conway – Bonaventure Travel
- Felicity Dascomb – HLO Pursers Travel Group
- Peta Godfrey – Travel Focus Group
- Emma Whiting – Emma Whiting Travel
- Sonia Jones – Sonia Jones Travel
- Paul Pearman – Helloworld Travel Gisborne
- Sandy Chen – Suncatcher Holidays
- Mandi Forrester-Jones – Viva Travel/Viva Destination Weddings
- Mario Paez – Planetdwellers
- Nicole King – Holiday and Cruise Centre
Members serve two-year terms, with the committee structured through staggered appointments.
“We launched ITAA to make sure that every sector of the industry has representation and a voice in the direction of the association,” CEO Dean Long said. “These professionals represent the full breadth of the independent sector, home-based, regional, boutique, specialist.
“They also bring front-line experience that no submission or survey can replace.”
