The Regulation proposal on a Code of Conduct for computerised reservation systems (1) (CRSs) presented on 15 November 2007 by the European Commission contains some important safeguards but does not address the threat to customers of losing neutral and complete access to fares.
ECTAA and GEBTA welcome the initiative of the European Commission to maintain and update CRS regulation. They are very satisfied with the proposed prohibition to identify travel agents in the marketing information that CRSs sell to airlines, as this practise has been providing in the past years to airlines damageable oversight of travel agents’ commercial policy. ECTAA and GEBTA also support the maintenance of safeguards against the risk that carriers holding shares in a CRS use this relationship to twist information provided to customers. A major issue is however whether the safeguards will in practise apply to the carriers and CRS that currently have incentives to manipulate access to fares.
From a customers’ point of view, ECTAA and GEBTA regret that the proposed Regulation has opted to liberalise content in CRSs. It does fail to address the increasing trend of airlines to provide different fares at different prices and conditions depending on whether the customer buys directly online or whether he buys through a CRS used by an agent. Without specific rules on full content in CRSs, finding the optimal flight will require more time and money, to the detriment of customers ultimately. Said the President of ECTAA Jan Van Steen: “In the European environment where markets for air transport and for CRSs are still fragmented and subject to dominant positions, liberalisation of content jeopardizes the functionality of a complete and neutral display of fares through CRSs. This could bring us 30 years back, where information was completely decentralised. With an increasing offer of routes and fares, losing a centralised information tool would be detrimental for agents and their customers. ”
(1) Computerised Reservation Systems are systems centralising air fares of subscribing carriers, which permits subscribing travel agents to provide instantaneous information on fares and availability to customers.
Date of publication: 15/11/07