Dan Greaves Strategy Airline Distribution APG WORLD CONNECT 2012 / MONACO
Š 20112 Amadeus IT Group SA
Distribution is Inspiration
96%
63%
54%
of TMCs prefer GDS to make bookings
of premium bookings made in GDS / TA
of International bookings made in GDS
People like to compare
2
Direct $164 Indirect $221
Cost is comparable
Š 2012 Amadeus IT Group SA
1. Why were past predictions on full service airline direct sales moving to 80% of total sales so wrong?
2. Will airline direct sales reach 60% of revenue by 2016? 63 54 48 37
3
36
37
37
General search OTA Provider website
Choosing destination
Choosing travel components
Booking travel components
95 Days
72 Days
57 Days > > Days before departure > >
Š 2012 Amadeus IT Group SA
49
3. How Amadeus sees airline distribution evolving Shopping / inspiration Low conversion ratios Very, very complex search Caching is paramount
4
Focus Today
Choosing destination
Choosing travel components
95 Days
72 Days
Booking travel components
57 Days > > Days before departure > >
Š 2012 Amadeus IT Group SA
Focus Tomorrow
4. How Amadeus is positioning ourselves to address this evolution Shopping trx per booking OTA vs airline.com
110
Products +24%
83
70 47
+5% 28
2007
OTA
5
30
2008
32
2009
30
2010
Airline.com
33
2011
Extreme Search
Pricing feeds
Travel Seeker
Affinity shopping
Š 2012 Amadeus IT Group SA
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