<B> TechTalk</B>
By Mary Ann McNulty, Technology Editor
<B>Surge Ends Orbit Merger Plans</B>
Electronic components maker Surge Components Inc., Deer Park, N.Y., late last month announced it ended merger talks with travel distribution provider Orbit Network Inc., Novato, Calif., due to Orbit's "inability to meet the terms and conditions under the merger agreement." Last November, Orbit and British Airways subsidiary Travel Automation Services Ltd. announced plans for a joint venture in which Orbit would provide content and technology for a major European Commission-based project named Trip.
<A NAME="2"><B>Cos. launch Low-Cost e-Fulfillment</B>
Trying to help the early adopters of online booking technology realize a greater return on investment, both Sabre and World Travel Partners-BTI Americas are launching new low-cost fulfillment services to process tickets booked online for as low as $20 or $10, respectively. Sabre plans to launch its fulfillment service this fall, but has yet to select a vendor or agency to perform the fulfillment. It plans to limit its online ticket fulfillment services to BTS users and their travel agencies.
The intent, said Nancy Raynor, senior vice president and general manager of BTS, is to help customers reduce ticket fulfillment costs by as much as 50 percent. "If the agency can't come down to $20 per transaction because of its infrastructure, we'll offer an outsourced fulfillment option," she said. "I understand the agency dilemma, but this should help the agency speed this along and be competitive."
Corporate OFS is launching now with three trial customers, one using WTP technology subsidiary's ResAssist booking tool and two using other online products, according to Steve Reynolds, president of TTG, Dallas.
Separately, Raynor said, BTS by year-end or early next year will debut versions that can run concurrent global distribution systems, with Galileo and Amadeus the first up. If demand warrants, BTS also will run on Worldspan. In another mindset change for Sabre creators, Raynor's team is developing applications that can search for the lowest fares on the Internet, even if they're not bookable through Sabre.
<A NAME="3"><B>Sabre Researching Enhanced Settlement</B>
Watch for Sabre to announce partnerships that will help it enhance the settlement process, bringing in richer data to its VantagePoint reporting package and other tools. With a charter to explore any and all ways that Sabre can garner more of its revenues from non-booking fees, Nancy Raynor, senior vice president of emerging businesses, said, "We don't want to go into financial services, or replace ARC or other BSPs, but improve the information within Sabre," and perhaps facilitate enhanced settlement options for hotels, meetings or other types of suppliers. With connections already in place with credit card vendors, agencies and the Airlines Reporting Corp., Sabre is looking at ways to pull in more data and improve the quality of the sale. Executives hope to have some contracts signed soon.
<A NAME="4"><B>Airline Distribution Heads Leave Posts</B>
Three of the major forces driving e-ticketing, Internet sales and other e-commerce initiatives for Continental and United airlines were lured away in recent weeks. Steve Cossette, vice president of distribution planning for Continental Airlines, joined American Express Corporate Services as vice president of U.S. travel supplier relations last month. United late last month also lost part of its distribution team. Sue Fullman, former director of distribution, joined Motorola as vice president of e-commerce, while Mark Koehler, former electronic distribution manager, headed to Disney to work with its new Internet company, Buena Vista Internet Group, as vice president of travel.
<A NAME="5"><B>Expedia Adds Fare Shopper</B>
In a major overhaul to the design and functionality of its consumer-based Expedia booking engine, Microsoft has added new low-fare search tools, a dashboard to ease navigation and a more robust search history area that stores all fare searches and past itineraries. The Fare Compare feature shows users low fares that others have found on the same route, and searches all airlines on domestic and international routes. To speed up the booking process, Microsoft added an Express Purchase option to book a ticket with just three mouse clicks. And it also has added My Travel, allowing customers to create personal pages with components of interest to them, such as the lowest fare to Phoenix, the weather in Chicago, or the latest vacation deals.