After 14 years, online tourism has again been the airline's knife cut meat

Source: Internet
Author: User
Keywords Air tickets bucking the trend squeezing
Tags .mall agents air china air tickets airline airlines analysts art dragon

Absrtact: Analysts pointed out that a large number of small ticket agents were squeezed out of the market, and the medium air ticket agents to where the main network is expected to expand market share. After a lapse of 14 years, online tourism has again been cut by the airline's knife.

Analysts pointed out that a large number of small ticket agents were squeezed out of the market, and the medium air ticket agents to where the main network is expected to expand market share. After a lapse of 14 years, online tourism has again been cut by the airline's knife.

It is reported that China International Aviation Company Limited ("Air") will be from July 1 (whichever is the date of the ticket), the domestic sales of Air China domestic passenger ticket agent rate from 3% to 2%. In the industry's view, because Air China is the leading brother of shipping enterprises, Air China is likely to trigger the East Airlines, Southern Airlines and other airlines to follow up. For the agents who take the ticket commission as the main profit model, with the continuous cramped of profit space, the pressure of transformation becomes more and more great.

Data show that at present, the domestic aviation market more than 50% of the air tickets through the ticket agent sales, users from the agent channel to buy each ticket, there are about 3% of the cost of the airline returned to the channel as a commission. In fact, the ticket booking income is also Ctrip, Art Dragon and other large OTA (online travel business) of the important business composition, a-share listed companies, there are cyts under the Cyts Network, Teng Bang International's flying network and the number hundred holding its wings, such as the Hundred.

Airlines ' dismally

In the industry's view, the airline after many years to reduce the Air ticket Agent commission, and aviation industry overall macro situation is not unrelated. The last time airlines to the air ticket agents collective "down the domestic helper" or in 2010 years. However, at that time, the main focus on international routes, the domestic three major airlines to international routes of the agency rate from 5% to 3%.

Once upon a time, up to 90% of the air tickets are through the ticket agent sales, airlines annual tens of billions of dollars in ticket income, for the agent to pay Commission for the sales cost accounted for a huge, and in this process, Ctrip, Art Dragon, where OTA rapid growth and expansion, from the Ticket commission income.

Air China 2013 Annual report shows that the 2013 sales cost of 7.199 billion yuan, an increase of 305 million yuan, an increase of 4.42%, of which, the system and agency business fees accounted for more than 70%, to 5.227 billion yuan, an increase of 165 million yuan, an increase of 3.2%.

With the increasingly sluggish demand for aviation, the struggling airlines will find ways to further cut expenditure, and with the Internet, especially the development of mobile Internet, the role of the middleman is rapidly falling, so the claim back to this part of the long-term transfer of profits, it is reasonable. As a result, airlines are actively withdrawing the right to speak, the development of their own telephone, website, app and other direct sales services.

"This is not the last time the ticket agent will be lowered." Small ticket agents will face a life test, and OTA should also be prepared to further shrink the line of business, an analyst who declined to be named, said the securities daily.

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