<H1>United Extends Ticketing</H1><H3>By Jay Campbell</H3>To cut down on CRS fees, United Airlines has announced that it will test an extension of the time allowed for travel agents to ticket a reservation from 24 to 72 hours in two markets, Phoenix and Las Vegas.
While the move is one that more and more carriers are making since Midwest Express and American Trans Air pioneered it last fall (<I>BTN</I>, Nov. 6, 1995), United's choice of test markets suggests a matching response to the same move made by Delta and America West. Delta also is testing the extension in Las Vegas and Phoenix, which are America West's hubs.
The idea behind extending the ticketing time is that if travel agents can give their customers more time to make their final decision, fewer cancellations and rebookings would be required. Each transaction on all CRSs except Sabre results in a charge for the airlines, and Sabre charges for cancellations. This type of transaction-based pricing, the airlines say, drives up their costs.
American Trans Air said the program has had a positive impact, although not a staggering one. "We've probably moved our cancellation rate down by about 3 percent," said Lyn Piccirillo, group manager for consumer sales and distribution. "That's an annual $100,000 savings for us."
Delta said it is continuing to evaluate the program, and while Midwest Express reportedly has realized a large savings, the carrier could not be reached for comment.
Piccirillo said the program also has helped partner relations, showing travel agents in a friendly way that "we're watching those costs." She also said that extending the time frame has not negatively affected inventory availability.
Bernice Rosmarin, American Society of Travel Agents aviation committee chair, praised United for initiating the test. However, she said that "while these types of moves will help, I think CRSs need to look at their relationships with travel agents, particularly as it relates to the pricing structure."
In other CRS cost-cutting news, the European Commission said it plans to rewrite its 1993 CRS regulations by the end of next year. The EC said the current system encourages travel agents to create passive or fictitious bookings in an effort to reach CRS sales goals, increasing airlines' cost without additional revenue.