Amadeus, SNCF Advance European Rail Distribution - Business Travel News

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Amadeus, SNCF Advance European Rail Distribution

August 31, 2010 - 11:10 AM ET

By Amon Cohen

Amadeus has taken major steps in the internationalization of European rail distribution after achieving three separate breakthroughs with French national rail network SNCF, the travel technology company's head of rail told BTN on Tuesday.

Diane Bouzebiba said travel management companies using the Amadeus global distribution system in Benelux, Germany, Italy and Spain now are able to integrate SNCF bookings into standard passenger name records for the first time. In addition, TMCs in those countries and the United Kingdom have started issuing electronic tickets in recent weeks for journeys on SNCF's main business routes, most of which are high-speed rail services.

The final innovation is that Amadeus and SNCF have created a web-based application to sell the rail network's inventory via non-French third parties online. Bouzebiba said this would make it possible for corporate online booking tools outside France to offer SNCF tickets, although she added that none is doing so yet.

The inability of either TMCs or booking tools to book and manage rail journeys outside the traveler's home market has long been a source of frustration for the European corporate travel industry. Giving TMCs the opportunity to create PNRs would help them integrate foreign rail into clients' travel programs, providing much better management information and comparisons between air and rail spending.

However, said Bouzebiba, the industry has an even larger problem to tackle. "The big nut we have to crack is ticketing," she said. "During the volcanic ash crisis, it became very clear how difficult it is to ticket internationally for business travelers. TMCs had to use special ATP printers which needed to be validated by SNCF."

Until now, the best SNCF has been able to offer foreign travel management companies is the arrangement of tickets on departure, to be collected by kiosks from major French rail stations. However, SNCF introduced e-ticketing using two-dimensional barcodes in its home market earlier this year, and in recent weeks has extended this facility to TMCs in other markets.

Both the e-ticketing and PNR integration facilities are subject to TMCs obtaining accreditation from SNCF, Bouzebiba said, something which is required because there is no equivalent of the airline Billing and Settlement Plan financial clearing process for rail vendors.

Regarding the potential to provide content for booking tools outside France, Bouzebiba said, "We are in discussions with quite a few companies that provide self-booking tools. It is part of our strategic roadmap for the regionalization of rail content." Booking tools have been selling SNCF tickets inside France since 2001.

Bouzebiba added that the introduction of distribution through Amadeus Web Services—a standard way of integrating web-based applications—also would enable TMCs and booking tools to compare SNCF departures alongside airline options for the same route on a single screen.

According to Bouzebiba, there remain two major barriers to standardization of rail distribution in Western Europe: the lack of a mechanism to create through-ticketing and the absence of a centralized European timetable.

"In the ash crisis, there was nowhere to see how travelers could get home in the absence of air services," she said. "We are proactively proposing solutions, but progress is slow." Amadeus plans a rail forum at its offices in Sophia-Antipolis, France, on Nov. 15-17 to explore industrywide answers to these and other problems.

Also on Tuesday, Amadeus announced a 38 percent increase in adjusted net profit to €246.8 million for the first half of 2010. Revenue climbed 11.9 percent to €1.4 billion. Within the Amadeus distribution business, air bookings through travel agencies climbed 9.8 percent to 201 million and total bookings rose 8 percent.

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