News

BA set to minimise CRS costs with intranet booking system


British Airways is claiming it can offset smaller agents’ computer reservation system costs by setting up a secure intranet booking system for them.



BA head of UK and Ireland sales Tiffany Hall said the airline’s Internet plans will be an opportunity for agents to work with BA directly and cut out CRS costs.



Her team plans to meet smaller agents to discuss the proposal.



Hall said:”It is rather bizarre that agents can decide which CRS to use, but the cost is fixed to us.



“We want to talk to smaller agents, the ones who really pay for the CRS companies, and explore opportunities.”



She added that BA was not being anti-CRS, but said: “The CRS companies have to continue to look at what they offer and cost it at the value it gives.”



Small agents can effectively get CRS access for nothing if the reservation firms pay them for each booking made on their systems.



However, BA pays CRS firms for being included in the technology and the carrier stands to make huge savings by going direct to the agents. BA will use its newly unveiled eCommerce unit to push more sales and marketing direct to agents and key passengers through the Internet.



Agent helplines will also be put on-line to improve efficiency.



However, Hall said the majority of the carrier’s on-line initiatives will be aimed at the airline’s biggest revenue earners, but could not say if it will help them achieve improved sales and marketing agreements after April 1.



The new agreements are being drawn up once BA drops its Interim Bonus Agency scheme at the end of the month.



This will leave travel agents with a basic 7% commission, plus bonuses under new deals.


Share article

View Comments

Jacobs Media is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.