Calling American Airlines’ decision to award loyalty points only to clients that book directly or through a small number of “preferred agencies a “punitive measure” against travel agencies that choose to use third-party booking platforms, the World Travel Agents Associations Alliance (WTAAA) warns the policy is “a threat to the travel agent ecosystem.”
Echoing sentiment from ACTA (a member of WTAAA) last week urging American to reconsider its decision (announced in February), the global association of travel agent associations says the move also leaves the vast majority of travel agency customers at a significant disadvantage.
“By discontinuing AAdvantage accrual on tickets booked through most agencies and imposing stringent thresholds for agencies to maintain preferred status, American is actively discouraging travellers from booking through the travel agency channel,” WTAAA wrote in a statement.
It added, “Airline loyalty programs have long been a cornerstone of the travel industry, providing powerful incentives that drive repeat business and customer satisfaction. Travel agencies play an important role in helping consumers maximize the benefits of these programs. American’s new policy undermines this mutually beneficial relationship, threatening to alienate loyal customers and disrupt the balance of the travel distribution ecosystem.
“This heavy-handed tactic will fragment distribution, drive up costs, and reduce transparency for consumers who seek to compare offerings across multiple airlines. It also demonstrates a troubling disregard for the critical role that travel agencies play in serving travellers, especially in the wake of the COVID-19 pandemic when their expertise and personalised service were more valuable than ever.”
To that end, WTAAA is calling on American Airlines to reverse the “counterproductive policy and reaffirm its commitment to maintaining an open and equitable distribution landscape that serves the best interests of all industry stakeholders, including travel agencies and, most importantly, the travelling public.”
It further calls on the airline to engage in constructive dialogue with travel agency associations and other partners to find solutions that “preserve consumer choice and uphold the principles of fair competition.”
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