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Goodbye Tango fares


manwest

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Thats absolutely right. The airlines want us to look like the fall guys, thats OK we have done it for them in the past.

But its the first ones to do it will bear the scorn of the public.

Now go and solve those customer service issues.

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Guest rattler

Some interesting stats:

As was the case in all previous reports, approximately 75% of the

Quality of Service issues raised were not directly related to the

actual service provided, but had more to do with how problems or

complaints were dealt with. From a business perspective, it would

seem that the company’s approach to handling complaints

has the potential to improve customer satisfaction as much as

improving the actual service.

There are more complaints about equipment, meals, and lineups.

Most baggage complaints were raised over delayed baggage,

although it would appear that more passengers are

experiencing lost, damaged and stolen baggage.

Airlines that overbook result in a number of complaints about the

failure to provide confirmed seating. The reservation issues

doubled from the last report.

Issues – Air Canada Air Canada accounted for

approximately 53 per cent of all issues raised in complaints. Quality of Service

continues to be identified as the primary source of Air Canada issues. Of the

1,199 issues raised in complaints about Air Canada,

Approximately 41 per cent were identified as Quality of Service.

This is a little lower than in previous reporting periods for Air

Canada. During this period, the attitude of staff or the company

was mentioned 113 times; the lack of communication 113 times,

and the handling of the complaint 117 times. As noted in previous

reports, the interaction between the agents of the carrier and the

passenger generate more complaints than deficiencies in

the actual service.

Baggage continues to be mentioned as a source of

complaints from passengers. 61 complaints were for delayed

baggage, 23 for damaged baggage, and 40 cases were for

lost baggage.

Reservations and ticketing were raised more frequently as an

issue than in the previous report.

Westjet

There were 18 complaints about Westjet, raising 63 issues. In the

eighteen complaints, there were 21 Quality of Service and 16

Scheduling/Disruption issues. The number of complaints and issues raised

by Westjet passengers continues to increase. If the trend continues, the

complaints will be given more detailed analysis in future reports.

Sources of the data

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Sabre drops sanctions against AC

Sabre and Air Canada are burying the hatchet. The GDS operator says that over the next two weeks it will remove all sanctions it imposed against the carrier in retaliation for AC pulling Tango fares from GDS systems. A Sabre spokesperson says the conciliatory move "reflects the progress we have made in our discussions with Air Canada to provide for the availability of the Air Canada content in our system.” AC’s Marc Rosenberg says Tango fares could eventually be reinstated, once GDS companies add functionality to accommodate AC’s ‘a la carte’ booking approach. TravelWeekly

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Guest rattler

Sabre drops sanctions against AC

Sabre and Air Canada are burying the hatchet. The GDS operator says that over the next two weeks it will remove all sanctions it imposed against the carrier in retaliation for AC pulling Tango fares from GDS systems. A Sabre spokesperson says the conciliatory move "reflects the progress we have made in our discussions with Air Canada to provide for the availability of the Air Canada content in our system.” AC’s Marc Rosenberg says Tango fares could eventually be reinstated, once GDS companies add functionality to accommodate AC’s ‘a la carte’ booking approach. TravelWeekly

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Sounds like ACE Lawyers won a round.

On the topic of Sabre:

Travelocity pulls up Sabre Holdings profit

By Jim Jelter, MarketWatch

Last Update: 4:53 PM ET Nov 2, 2006

SAN FRANCISCO (MarketWatch) - Travel services company Sabre Holdings Corp. reported Thursday a 16% rise in third-quarter profit, with brisk sales growth at Travelocity, its on-line booking service, and Sabre Airline Solutions driving results.

For the quarter ended Sept. 30, Sabre (TSGsabre hldgs corp cl a

G ) posted a net income of $67.6 million, or 52 cents a share, up from a year-ago profit of $58.5 million, or 45 cents a share.

Adjusted to exclude one-time items, the company earned $84 million, or 64 cents a share, in the latest quarter, up from $65 million, or 50 cents a share, a year ago. Revenue rose 6.6% to $746.1 million from $699.7 million.

Analysts polled by Thomson First Call had expected the Southlake, Texas-based company to report earnings of 63 cents a share on $764.6 million in revenue.

Global sales at Travelocity rose 16.2% in the third quarter to $321.3 million from $276.6 million a year ago, making it the company's fastest-growing business segment, while booking growth was 18%.

Analysts said the market had been hoping for slightly higher booking growth at Travelocity.

"This morning's 0.7% to 1.3% sell-off in Internet travel stocks, relative to a 0.5% decline in the NASDAQ, may reflect disappointment regarding Travelocity's bookings growth, which came in below our forecast," BMO Capital Markets analyst Brian Egger said in a note to clients. He left unchanged his outperform rating on the company.

Third-quarter revenue at Sabre Airline Solutions, which provides software and consulting services to the airline industry, was $72 million, up 7.2% from $67.1 million in the year-ago quarter.

Sabre Travel Network, the company's biggest business unit by revenue, saw sales drop 1.1% from a year ago to $397.9 million from $402.2 million.

For the fourth quarter, Sabre predicted adjusted earnings of 42 to 46 cents a share on revenue of $650 million to $680 million. Analysts said the outlook was unchanged from guidance the company offered in mid-October.

Sabre Holdings shares fell 3 cents Thursday to close at $25.27.

Jim Jelter is Industrials Editor for MarketWatch in San Francisco.

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