ATIA Urges ACCC to Implement Guardrails on Airline Distribution Strategy to Protect Travel Agents
The Australian Travel Industry Association (ATIA) has formally requested the Australian Competition and Consumer Commission (ACCC) to establish specific guardrails to protect the competitive travel market in light of the Qantas-American Airlines Joint Business Agreement. ATIA's submission to the ACCC emphasizes the need to exclude agency distribution strategies from the agreement. The association is concerned that the alliance, which allows airlines to coordinate flights and frequent flyer schemes, also permits them to coordinate dealings with travel agents and tour operators. This coordination could undermine the ability of travel agents to act as independent advisors, as it may reduce competitive pressure on airlines to offer fair commissions and access to fares. ATIA CEO Dean Long highlighted the importance of maintaining a level playing field for all members, including small businesses, to ensure they can negotiate independently.