Friday, January 7, 2011

Latest fare war: Airline vs. online


Travel industry watchers say a struggle is brewing for manage of the air travel reservations, and that travel websites and even some travel agents are already feeling the effects.

American Airlines and online ticketing sites Orbitz and Expedia are at odds over the airline's efforts to steer more air ticket purchases through its latest reservation system. As a result, American's flights are no longer sold through Orbitz and Expedia.

"American Airlines wants to stop paying the global distribution systems charge and instead have people come to them directly," said Charlie Leocha, director of the nonprofit Consumer Travel Alliance in Washington, D.C., a subscription-supported consumer advocacy group.

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