Apr 4, 2018, 4:38 am
Last edit by: Globaliser
GDS fee offsets for users of the ITA Matrix
A consequence of the introduction of the GDS fee discussed in this thread is price quotes given by ITA Software's Matrix tool now include the GDS fee in the relevant currency. It is still possible to reconcile ITA fare quotes both to ba.com fare quotes and to the ExpertFlyer fare ladder listing (which is published net of the GDS fee) by deducting the appropriate GDS fee from the ITA quote.
Typically, one fare component covers travel from origin to destination even if there are transfers or stopovers, so even a complex routing may be fared as a round-trip and thus include only two fare components.
With effect from 1 January 2020, the GDS fee is the following amount per fare component in the following currencies:-
Corrections and additions to this list would be welcome.
A consequence of the introduction of the GDS fee discussed in this thread is price quotes given by ITA Software's Matrix tool now include the GDS fee in the relevant currency. It is still possible to reconcile ITA fare quotes both to ba.com fare quotes and to the ExpertFlyer fare ladder listing (which is published net of the GDS fee) by deducting the appropriate GDS fee from the ITA quote.
Typically, one fare component covers travel from origin to destination even if there are transfers or stopovers, so even a complex routing may be fared as a round-trip and thus include only two fare components.
With effect from 1 January 2020, the GDS fee is the following amount per fare component in the following currencies:-
- GBP 11.00 per fare component
- EUR 13.00 per fare component
- USD 14.00 per fare component
- JPY 1,500 per fare component
- CHF 14.00 per fare component
- ZAR 70.00 per fare component short-haul (plus 15% VAT on domestic itineraries)
- HKD 0 per fare component
Corrections and additions to this list would be welcome.
BA (and IB) to impose GDS booking fee from 01 Nov 2017
May 26, 2017, 9:03 am
#1
Original Poster
Join Date: Dec 2014
Location: UK
Programs: BA, U2+, SK, AF/KL, IHG, Hilton, others gathering dust...
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BA (and IB) to impose GDS booking fee from 01 Nov 2017
Couldn't see this posted elsewhere on the forum, feel free to close/merge if it has been posted already.
Not a great surprise given the noises from Mr Walsh about this, it's been announced that IAG are following the lead of LH and will impose a £8 per booking fee from 1 Nov on all bookings made via GDS. They have notified agents. Some details here
http://www.travelweekly.co.uk/articl...ds-booking-fee
I guess it's possible some agents (I'm thinking some large corporate agencies) will privately negotiate reductions or waivers on the fee.
Not a great surprise given the noises from Mr Walsh about this, it's been announced that IAG are following the lead of LH and will impose a £8 per booking fee from 1 Nov on all bookings made via GDS. They have notified agents. Some details here
http://www.travelweekly.co.uk/articl...ds-booking-fee
I guess it's possible some agents (I'm thinking some large corporate agencies) will privately negotiate reductions or waivers on the fee.
May 26, 2017, 10:07 am
#3
Join Date: Aug 2013
Posts: 8,762
It's only for those using traditional GDS as opposed to the new NDC systems. Full details here:
https://www.britishairways.com/asset...ogy-charge.pdf
Also note the charge is per fare component not per booking, so £16 return.
https://www.britishairways.com/asset...ogy-charge.pdf
Also note the charge is per fare component not per booking, so £16 return.
May 26, 2017, 11:46 am
#5
Join Date: Aug 2014
Location: London
Programs: KLM, BA Silver, Etihad
Posts: 918
Thanks for th tip off. We are moving to the new booking platform.
I have enquirer with my TMC to see what the situation is with the gap between the introduction of the fee and the new system if there is one.
I have enquirer with my TMC to see what the situation is with the gap between the introduction of the fee and the new system if there is one.
May 27, 2017, 3:17 am
#6
Join Date: Jan 2006
Location: London
Programs: AA EXP 2 MM
Posts: 2,823
Interesting articles about NDC
What is IATA’s New Distribution Capability and Why it is Needed?
In summary:
In summary:
IATA’s New Distribution Capability represents a shift from the way airlines sell today by loosening the constraints of legacy architecture. NDC is an XML standard that enables airlines to deliver richer and dynamic content where price is ultimately related to a traveller’s value. It shifts control over pricing from a traditional published process to a dynamic response controlled by the airlines. To achieve that in a rich merchandising environment XML is needed.
IATA … recognizes that selling ancillaries holds the key to its members becoming more profitable. Ancillaries is the revenue that can be made from non-ticket sales such as speedy boarding, baggage items, seating choices and a whole bunch of services that can be delivered to make the flying experience more enticing such as catering choices, Wi-Fi or flight entertainment.
May 27, 2017, 3:20 am
#7
Join Date: Aug 2015
Location: Somewhere around Europe...
Programs: BA Gold; MB Ti; HH Diamond; IHG Plat; RR Gold
Posts: 530
I saw this story yesterday, but I must admit to having assumed this was already in force. My bookings through Amex Travel already incur a £6.43 "eTicket" fee. Presumably BA's will result in an increase to this..
May 27, 2017, 4:55 am
#8
Join Date: Nov 2012
Location: Rhineland-Palatinate
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Posts: 5,689
What at doe sit mean for the non initiated? Does all tickets take a 8GBP hike or only the ones booked thru à TA/OTA ?
My BS o'meter hits the roof.
IATA’s New Distribution Capability represents a shift from the way airlines sell today by loosening the constraints of legacy architecture. NDC is an XML standard that enables airlines to deliver richer and dynamic content where price is ultimately related to a traveller’s value. It shifts control over pricing from a traditional published process to a dynamic response controlled by the airlines. To achieve that in a rich merchandising environment XML is needed.
May 27, 2017, 5:04 am
#9
Join Date: Oct 2014
Programs: BAEC Gold, HHonors Gold, ALL Gold, Bonvoy Gold
Posts: 212
"NDC is an XML standard that enables airlines to deliver richer and dynamic content where price is ultimately related to a traveller’s value. It shifts control over pricing from a traditional published process to a dynamic response controlled by the airlines"
Presumably this translates as "airlines set prices based on what they know about your personal willingness to spend, rather than being stuck with generally published fares", e.g. https://www.yahoo.com/style/how-airl...613697017.html. (As an aside, I'm not sure I like that property being termed "my value".)
Is an answer to keep cookies clear and only add BAEC number after booking? At any rate, this certainly looks like a disincentive to loyalty. An airline that knows less about me will be less able to extract the maximum I'm willing to pay.
Presumably this translates as "airlines set prices based on what they know about your personal willingness to spend, rather than being stuck with generally published fares", e.g. https://www.yahoo.com/style/how-airl...613697017.html. (As an aside, I'm not sure I like that property being termed "my value".)
Is an answer to keep cookies clear and only add BAEC number after booking? At any rate, this certainly looks like a disincentive to loyalty. An airline that knows less about me will be less able to extract the maximum I'm willing to pay.
May 27, 2017, 5:12 am
#10
Ambassador: Emirates Airlines
Join Date: Sep 2004
Location: Manchester, UK
Posts: 18,604
May 28, 2017, 1:28 am
#11
Original Poster
Join Date: Dec 2014
Location: UK
Programs: BA, U2+, SK, AF/KL, IHG, Hilton, others gathering dust...
Posts: 2,552
"NDC is an XML standard that enables airlines to deliver richer and dynamic content where price is ultimately related to a traveller’s value. It shifts control over pricing from a traditional published process to a dynamic response controlled by the airlines"
Presumably this translates as "airlines set prices based on what they know about your personal willingness to spend, rather than being stuck with generally published fares", e.g. https://www.yahoo.com/style/how-airl...613697017.html. (As an aside, I'm not sure I like that property being termed "my value".)
Is an answer to keep cookies clear and only add BAEC number after booking? At any rate, this certainly looks like a disincentive to loyalty. An airline that knows less about me will be less able to extract the maximum I'm willing to pay.
Presumably this translates as "airlines set prices based on what they know about your personal willingness to spend, rather than being stuck with generally published fares", e.g. https://www.yahoo.com/style/how-airl...613697017.html. (As an aside, I'm not sure I like that property being termed "my value".)
Is an answer to keep cookies clear and only add BAEC number after booking? At any rate, this certainly looks like a disincentive to loyalty. An airline that knows less about me will be less able to extract the maximum I'm willing to pay.
May 28, 2017, 11:28 am
#12
Join Date: Oct 2014
Programs: BAEC Gold, HHonors Gold, ALL Gold, Bonvoy Gold
Posts: 212
To be sure, they have maximum flexibility on direct bookings already. But I take it carriers would also like this ability on other channels, and the bit of bumpf I quoted re the NDC suggests it offers just that sort of capacity over the GDSes.
Dec 17, 2017, 12:46 pm
#13
Suspended
Join Date: Jun 2017
Programs: BAEC
Posts: 325
Surprised no one has picked up on this yet... but from next year HBO fares won't be available except direct or through NDC channels, meaning the charge will be even higher with an enforced trade-up to Plus for shorthaul.
Dec 17, 2017, 1:17 pm
#14
Moderator, Iberia Airlines, Airport Lounges, and Ambassador, British Airways Executive Club
Join Date: Feb 2010
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However Basic fares also move from being Private to Public fares and combinable, so INV here we all come. For most FTers I don't think it matters (given how few questions we get on on non NDC channels), mostly FTers are unaffected. Another mini snippet is that they are adding more pricing points, so less of the clunky £20 jumps when O starts to sell out.
Dec 17, 2017, 2:43 pm
#15
Join Date: Dec 2009
Location: Flatland
Programs: AA Lifetime Gold 1MM, BA Gold, UA Peon
Posts: 6,109
Here's the big change for anyone who wants to price compare or understand availability:
"NDC is an XML standard.."
That's probably the only actual advantage to anyone; the actual protocols and data formats in GDS systems are horrible to implement.
"..that enables airlines to deliver richer and dynamic content where price is ultimately related to a traveller’s value."
For "traveller value" read "traveller wealth". So rather than presenting a price that is standard for all customers, this will allow airlines to present a different price quote aimed exactly at each traveller; exactly what each traveller will pay. I expect it will be internally quantised in £5 increments or so, but it is a world where the only question you can ask the airline is "how much for this seat on this route?" rather than a GDS where you can ask "What fares are available, with what restrictions, and how many seats for each of those fares?" and make your decision with more information.
"It shifts control over pricing from a traditional published process to a dynamic response controlled by the airlines."
So, airlines can move the price around much faster than they can with a GDS, making it harder to compare or consider a decision.
NDC will greatly increase the information asymmetry in airline pricing, in favour of the airlines. NDC is not looking like it will be good for anyone who wants to analyse fares for good deals or work out complex sets of possibilities for air travel, i.e. almost everyone who contributes to this forum.
"NDC is an XML standard.."
That's probably the only actual advantage to anyone; the actual protocols and data formats in GDS systems are horrible to implement.
"..that enables airlines to deliver richer and dynamic content where price is ultimately related to a traveller’s value."
For "traveller value" read "traveller wealth". So rather than presenting a price that is standard for all customers, this will allow airlines to present a different price quote aimed exactly at each traveller; exactly what each traveller will pay. I expect it will be internally quantised in £5 increments or so, but it is a world where the only question you can ask the airline is "how much for this seat on this route?" rather than a GDS where you can ask "What fares are available, with what restrictions, and how many seats for each of those fares?" and make your decision with more information.
"It shifts control over pricing from a traditional published process to a dynamic response controlled by the airlines."
So, airlines can move the price around much faster than they can with a GDS, making it harder to compare or consider a decision.
NDC will greatly increase the information asymmetry in airline pricing, in favour of the airlines. NDC is not looking like it will be good for anyone who wants to analyse fares for good deals or work out complex sets of possibilities for air travel, i.e. almost everyone who contributes to this forum.