More and more LCCs are looking to the travel agency channel to grow presence amongst corporate and international travellers.
SINGAPORE – Scoot and Amadeus announced the renewal of their distribution partnership, ensuring that the airline’s fares and inventory continue to be available to Amadeus’ global network of travel agencies. Tigerair, which is expected to come under the Scoot brand this year, likewise joins Scoot in making its content available through Amadeus under a new agreement.
More and more low-cost carriers (LCCs) are looking to expand their presence with international travellers and better target the corporate traveller segment, and it is easy to see why. By 2020, Asia Pacific is forecast to receive over 657 million international visitors1, and the region is the world’s biggest and fastest growing market for business travel2, traditionally a more lucrative segment for airlines than leisure travellers.
Travel agencies are an effective and efficient way for airlines to connect with these travellers, and Amadeus offers LCCs like Scoot and Tigerair access to the world’s widest network of travel agents. At the same time, partnerships like these give travel agencies more affordable options to address demand from a growing population of budget-conscious travellers.
Trevor Spinks, Head of Sales and Distribution, Scoot said, “We have a great range of products and services for the corporate travel segment, and capturing a wider share of this market is important. The travel agency channel is an effective way to reach business travellers, and the agreement with Amadeus is essential for our business. Over the years, our partnership has helped extend our brand reach through an unrivalled global network of travel agencies, and we look forward to more success.”
Hazem Hussein, Executive Vice President, Airline Group, Amadeus Asia Pacific, Russia, Turkey and CIS, said, “We believe the travel agency channel plays an important role in an LCC’s distribution strategy, and our partnership with Scoot and Tigerair reaffirms that. We’re thrilled these airlines have renewed their confidence in us to deliver the reach they want to the customer segments they wish to target, and we look forward to supporting their growth. For Amadeus-connected travel agents, these agreements further our commitment to delivering the best range of options to cater to the needs of their travellers. The appetite for budget travel keeps growing, and we’re making sure travel agents are well-equipped to serve it.”
More than 90 LCC and Hybrid carriers work with Amadeus, and 80% of total global LCC and Hybrid seats are available in our system today. Amadeus saw bookings of this segment in 2016 grow 15% over the previous year.
1 Executive Summary Report of the PATA Asia Pacific Visitor Forecasts 2016-2020
2 GBTA BTI Outlook – Annual Global Report and Forecast 2014-2018
Vicky is the co-founder of TravelDailyNews Media Network where she is the Editor-in Chief. She is also responsible for the daily operation and the financial policy. She holds a Bachelor's degree in Tourism Business Administration from the Technical University of Athens and a Master in Business Administration (MBA) from the University of Wales. She has many years of both academic and industrial experience within the travel industry. She has written/edited numerous articles in various tourism magazines.
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