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Singapore trade to benefit from SIA move

I write in reference to your story about British Airways’ proposals to scrap agents’ commission (Travel Weekly November 15).


The reference to Singapore Airlines axing commission in favour of fees from October 2001 is totally misleading as this only applies to travel agents based in Singapore.


Outside of Singapore we will continue to follow local practice. For your further information, the scheme was developed jointly with the National Association of Travel Agents Singapore whose members voted in its favour. The scheme is a tripartite agreement between the corporate client, the travel agent and the airline. Currently agents receive a rebate from the airline on first, business and full economy-class fares and compete with each other to pass on some or all of the rebate to corporate clients. This means that client companies do not always know if they are being offered the lowest fare because agencies do not offer the same rebate to all clients. With the new scheme, the rebate will be offered to the corporate client, and the agent will receive applicable service fees from the client. Our Singapore colleagues feel that the scheme is in the best interests of the consumer. They feel it will help to strengthen the travel agency community in Singapore.


Gerry Stevens


Sales and marketing manager UK and Ireland


Singapore Airlines Limited


London

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