Inside Track - 1996-08-19

By AUTHOR / August 18, 1996

<H1> Inside Track</H1></H1>Continental's Corporate Booking

Continental became the first airline to acknowledge it is developing an Internet booking system for corporate customers. The product will come sometime after the year-end introduction of general booking on Continental's Website; the airline also will provide disk-based booking early next year. In addition, sources said USAir is out to bid for a booking engine for its Website-with Travel Net, Internet Travel Network and WorldTravel Partners under consideration. Delta and United also are developing Internet booking.

According to a three-month survey conducted online by CIC Research of San Diego, travelers are most likely to book on airline sites, compared with sites operated by travel agencies, financial institutions and tourist boards .

Sato Survives Scrutiny

The Department of Justice has decided not to investigate a complaint lodged against SatoTravel by three mega agencies and the American Society of Travel Agents. Justice officials denied the "request for review" of the airline-owned agency for alleged anticompetitive activities because of lack of evidence. Spokesman for American Express, BTI Americas and Carlson Wagonlit Travel would not concede defeat, however, saying that they intend to pursue the case further.

"What we want is a level playing field," said Nancy Muller, vice president-public affairs for American Express. "The airlines should not be allowed to combine in order to subsidize Sato while discriminating against independent travel agents by imposing commission caps."

"We haven't been contacted by DOJ and don't expect to be," said Michael Premo, SatoTravel's president and CEO. "Nothing in SatoTravel operations would provide any basis for Justice Department actions."

Front-To-End Partnerships

Worldspan Travel Agency Information Services joined the CRS trend toward marketing fully automated booking solutions with an announcement of partnerships of its own: with E-Travel Inc.'s booking software on the front end and Portable Software's expense reporting system on the back.

Worldspan's Sue Powers said the CRS "sees its role as a system integrator and single supplier of a full solution," which it will market to travel agency and corporate customers in both distributed and intranet versions. Powers said Worldspan chose E-Travel from an original field of 26 suppliers to which it sent RFPs, based on a list of criteria that included price, modularity, cost effectiveness and quality, as well as having an actual working product. E-Travel also recently signed with Mt. Laurel, N.J.-based super-regional agency TravelOne (BTN, July 29), and is in beta at its first customer, Fidelity Investments.

A Move for carlson wagonlit?

It appears that this fall, following its official merger, Carlson Wagonlit Travel will establish new international headquarters in Atlanta. "It's not yet decided, but Atlanta is the most likely location at this stage," said Herve Gourio, co-president and CEO. "What we are trying to do is have one management team in one place. It is a very small team of about 20 of our very best people, with a good mixture of Americans and Europeans." So will Herve be there? "I? No comment," he said. "I will be spending some time in Atlanta."

Air France's Suitors

Continental staff vice president of national sales Dave Hilfman said the airline is in "significant discussions" with Air France about a marketing alliance, although "nothing is committed to." Meanwhile, rumors abound about whether USAir or American may still be interested in Air France, depending on the outcome of the British Airways-AA alliance proposal and USAir's suit against AA and BA.

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