INSIDE SOUTHERN AFRICA’S TRAVEL NEWS WEEKLY September 23 2009 I No. 2076 Page 8 Page 2 NEWS AIR MADAGASCAR Operators slam flight cut FEATURE AIRLINE ALLIANCES Who benefits most? TRAVEL NEWS WEEKLY HOW TO SWIPE AWAY HIDDEN COSTS Linda Dempster gives her tips Page 5 T HERE was no signing on the dotted line when agent and airline representatives met at the recent APJC (Agency Programme Joint Council) meeting to discuss the highly controversial financial guarantee proposal for BSP ZA. The furore arose just a few weeks ago when agencies were informed about the APJC proposal for either a R250 000 or R500 000 flat guarantee to be applied across the board with the size of the guarantee varying according to agents’ payment cycles (see TNW issue September 2). But, says Asata ceo Robyn Christie, at first glance the proposal was not acceptable to industry. “We have argued that compared to other markets, BSP ZA is a relatively low-risk market.” Robyn says Asata has now been given the opportunity to put forward a constructive counter proposal. “We received a lot of comment from our members and have a few proposals on the table but are waiting for legal advice on these.” APJC chairperson Avryl Gray says although talks around the financial guarantee have been ongoing for some time, this is the first time they have reached the stage where written proposals have been formulated. “At the moment we’re waiting for legal opinions so there’s no particular timeline on when a decision will be made. “Nothing can be decided in this market, we make recommendations. And we cannot put any proposal forward unless we get industry buy-in first. So effectively we have reached a stalemate.” An Iata spokesperson told TNW that proposals for the APJC are not made to Iata. “Any agreements reached as to changes are strictly between the agents and the airlines. Iata merely implements any new changes or additions to the BSP and regulates the BSP accordingly.” Both Asata and Barsa (Board of Airline Representatives South Africa) recognise the need for financial guarantees. Extraordinary economic times, says Barsa ceo Allan Moore, require “extraordinary efforts” from suppliers and agents to protect business. “It is not unreasonable that Iata, and at the same time Asata, are looking to protect against costs that would make it onerous to operate.” n NATALIA THOMSON SOUTH Africans travelling to Nigeria will have to plan ahead as new changes to the Nigerian visa application process thwart the issuing of urgent visas effective immediately. The changes apply only to the Pretoria-based Nigerian Embassy and no changes have been made to the application process at the Consulate General of Nigeria in Johannesburg which currently uses an online application process, but does not issue urgent visas. Although the online application and payment system in place at the Consulate General of Nigeria in Johannesburg has been in place for some time, agents and visa companies have been making use of the Pretoria- based Nigerian Embassy for urgent applications. Dale Weldhagen, Mass Visas managing member, told TNW one of the main reasons the Pretoria office was being used to issue visas was because they were willing to issue an urgent visa (at an additional fee of R500). “Urgent visas are imperative to our business as we have corporate clients that need to travel to Nigeria on very short notice.” “As Johannesburg only accepts applications on a Tuesday and Thursday, and do not offer an urgent issue service, we used Pretoria exclusively as we were able to obtain a visa in 24 hours any day of the week.” Stalemate! Natalia Thomson reports on 11th-hour stay against financial guarantee deal... Nigerian embassy thwarts urgent visas To page 2 Aiming for an awesome special? Travellers Choice has this great local special on offer at Dawsons Game and Trout Lodge in Badplaas valid until November 30. Including two nights’ accommodation sharing in a double or twin room, guests will have the choice of one activity per day from archery and quad biking to fishing. For more fantastic domestic specials, visit the Travellers Choice Travelinfo pages. Pictured here ready for target practice are (from left) Travellers Choice’s Jason Mclachlan and Marius Venter Photo: Tijana Huysamen Local is lekker! TNW3611SD TNW3601SD
Transcript
INSI
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SouTheRn AfRicA’S TRAveL neWS WeekLySeptember 23 2009 I No. 2076
Page 8Page 2
NEWSAIr mAdAgAscAr
Operators slam flight cut
FEaTurEAIrLIne ALLIAncesWho benefits most?
TRAveL neWS WeekLy
HoW ToswIpe AwAy hIdden cosTs
Linda Dempster gives her tips
Page 5
THERE was no signing on the dotted line when agent and airline
representatives met at the recent APJC (Agency Programme Joint Council) meeting to discuss the highly controversial financial guarantee proposal for BSP ZA.
The furore arose just a few weeks ago when agencies were informed about the APJC proposal for either a R250 000 or R500 000 flat guarantee to be applied across the board with the size of the guarantee varying according to agents’ payment cycles (see TNW issue September 2).
But, says Asata ceo Robyn christie, at first glance the proposal was not acceptable to industry. “We have argued that compared to other markets, BSP ZA is a relatively low-risk market.”
Robyn says Asata has now been given the opportunity to put forward a constructive counter proposal.
“We received a lot of comment from our members and have a few proposals on the table but are waiting for legal advice on these.”
APJC chairperson Avryl Gray says although talks around the financial guarantee have been ongoing for some time, this is the first time they have reached the stage where written proposals have been formulated.
“At the moment we’re waiting for legal opinions so there’s no particular timeline on when a decision will be made.
“Nothing can be decided in this market, we make recommendations. And we cannot put any proposal forward unless we get industry
buy-in first. So effectively we have reached a stalemate.”
An Iata spokesperson told TNW that proposals for the APJC are not made to Iata. “Any agreements reached as to changes are strictly between the agents and the airlines. Iata merely implements any new changes or additions to the BSP and regulates the BSP accordingly.”
Both Asata and Barsa (Board of Airline Representatives South Africa) recognise the need for financial guarantees. Extraordinary economic times, says Barsa ceo Allan Moore, require “extraordinary efforts” from suppliers and agents to protect business.
“It is not unreasonable that Iata, and at the same time Asata, are looking to protect against costs that would make it onerous to operate.” n
Natalia thomsoN
SOUTH Africans travelling to Nigeria will have to plan ahead as new changes to the Nigerian visa application process thwart the issuing of urgent visas effective immediately.
The changes apply only to
the Pretoria-based Nigerian Embassy and no changes have been made to the application process at the Consulate General of Nigeria in Johannesburg which currently uses an online application process, but does not issue urgent visas.
Although the online
application and payment system in place at the Consulate General of Nigeria in Johannesburg has been in place for some time, agents and visa companies have been making use of the Pretoria-based Nigerian Embassy for urgent applications.
Dale Weldhagen, Mass Visas
managing member, told TNW one of the main reasons the Pretoria office was being used to issue visas was because they were willing to issue an urgent visa (at an additional fee of R500). “Urgent visas are imperative to our business as we have corporate clients that need to travel to Nigeria
on very short notice.” “As Johannesburg only
accepts applications on a Tuesday and Thursday, and do not offer an urgent issue service, we used Pretoria exclusively as we were able to obtain a visa in 24 hours any day of the week.”
stalemate!Natalia Thomson reports on 11th-hour stay against financial guarantee deal...
nigerian embassy thwarts urgent visas
To page 2
Aiming for an awesome special? Travellers Choice has this great local special on offer at Dawsons Game and Trout Lodge in Badplaas valid until November 30. Including two nights’ accommodation sharing in a double or twin room, guests will have the choice of one activity per day from archery and quad biking to fishing. For more fantastic domestic specials, visit the Travellers Choice Travelinfo pages. Pictured here ready for target practice are (from left) Travellers Choice’s Jason Mclachlan and Marius Venter Photo: Tijana Huysamen
Local is lekker!
TNW3611SD
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Phone: (011) 327-4062 Fax: (011) 327-4094 E-mail: [email protected] Web: www.nowmedia.co.za Address: Now Media Centre, 32 Fricker Road, Illovo Boulevard, Illovo, Johannesburg. PO Box 55251, Northlands, 2116, South Africa.
TRAVEL NEWS WEEKLY
Published by Lugan Investments (Pty) Ltd trading as Now Media Printed by Juka Printing (Pty) Ltd
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2 n Wednesday September 23 2009 QUICK READ FOR DECISION-MAKERS
TNW NEWS
Bird cellars
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Jeanette PhilliPs
AIRLINK says it has no plans to suspend its codeshare with
Air Madagascar, following this week’s reports that the latter would be suspending its Thursday flight between Johannesburg and Madagascar effective immediately.
According to Holiday Aviation, GSA for Air Madagascar, the airline will continue to operate on Tuesdays and Saturdays.
Agents have also been advised that Air Madagascar’s codeshare deal with Airlink would end in September. Says Bets Combrink, Holiday Aviation gm: “If agents would still like the 30% discount they can use Air Madagascar.”
Chris Hoare, Airlink chief
revenue officer, denies the codeshare is coming to an end. “The current codeshare arrangement is due for review in October and Airlink has not been able to secure continuation of the arrangements with Air Madagascar.”
“Consequently, Airlink’s Antananarivo services will be increased from mid October to include Saturday, thus offering a regular (same time), daily service, seven days a week on the Johannesburg Antananarivo city pair.”
Chris said that with the recent political challenges within Madagascar and the changes in Air Madagascar’s management, communication between the codeshare partners has been “difficult”.
Unusual Destinations md Rita Bachman says the
amended Air Madagascar schedule will leave the operator “stranded” with itineraries that have to be adjusted.
“If the codeshare with Airlink is discontinued, our clients will no longer benefit from any discount on the domestic Air Madagascar flights,” said Rita.
Allan Eccles, owner Falcon Africa, says the cancellation of the Thursday flight and the announcement of the end of the codeshare deal will affect the operator “terribly”.
“The main problem with Madagascar is that flights need to connect smoothly to Sainte Marie or Nosy Be without customers having to stay over. We have been receiving several cancellations as a result of the current political situation and now the situation with the flights.” n
staff rePorter
COMAIR appears to have bucked the global airline performance trend, announcing this week that it had achieved a 27% increase in earnings for the financial year ending June 2009 (R79m).
This while Iata this week predicted global airline losses for 2009 may increase to US$11bn (R81bn), impacting the industry far greater than the impact of 9/11.
Despite what it calls “extreme volatility” around costs and softer demand due to the recession, Comair saw it sales grow by 13% to R3bn, at a time when the overall market declined 10%, “driven mainly by higher ticket prices in the first half because of the high oil price at the time”.
Comair has achieved an overall on-time performance of 82%, with BA Comair achieving an ‘overall satisfaction’ score of 81%
and kulula scoring 89% on ‘smiling with overall experience’. The airline also says its new online travel businesses have achieved “excellent results”.
Looking ahead, Comair says the volatile fuel price, “anti-competitive behaviour” from state-funded airlines and recessionary environment will impact its earnings.
The airline will also continue with the next phase of its fleet upgrade programme. n
Mad at Air Madagascar?
Profit for Comair despite downturn
Nigerian embassy thwarts urgent visasFrom page 1The Pretoria-based office, she says, also still accepted payment of the visa fee in cash, whereas Johannesburg requires applicants to pay online using a credit card. “Most clients do not feel comfortable inserting credit card details on a website. And the payment online is often delayed and can take anything from one to 14 days to reflect on Google Checkout before clients can apply for the visa.”
Says Dale: “Unfortunately the new changes at the Pretoria-based embassy are going to impact hugely on our
turnaround times and we will not be able to guarantee that any of our passengers will be able to meet their proposed travel date due to visa issues.
“The new procedures do not mean we cannot apply for a visa to Nigeria. Rather, it means applicants will have to apply at least two weeks before travel and no urgent visas will be issued.”
Clients or agents can apply online through the Johannesburg-based Consulate General, but visas take between three to five days to be issued. See Travelinfo’s visa section for full details.
Visa application changes (Pretoria-based embassy only)● Submission of visa
application will only be once in two weeks on Mondays only.
● Processing of visas takes two weeks (14 days).
● Visa fee is non refundable.● First-time visitors
to Nigeria will pay a repatriation fee of R6 000 (refundable).
● No exceptions will be made.
● No urgent visas will be issued. n
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NEWS
4 n Wednesday September 23 2009 QUICK READ FOR DECISION-MAKERS
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THE Holiday Inn Rosebank, located 100m from the Rosebank
Gautrain station, will open in May 2010.
The hotel will feature 158 rooms, comprising 81 queen, 60 twin, ten executive suites,
one penthouse and six wheelchair accessible rooms. Facilities in the room include satellite TV, air-conditioning and high-speed Wi-Fi Internet access. The hotel will also feature a business centre with work stations, including
computers, printer, telephone and Internet access and five meeting rooms able to seat up to 70 delegates; a restaurant and bar, a gym and fitness centre; a swimming pool; and secure parking. n
AirHeadsHoliday Inn Rosebank to open in 2010
Ethiopian Airlines launches Conakry and MonroviaEthiopian Airlines is introducing a service to Conakry (Guinea) and Monrovia (Liberia) from October 25. The service operates three times a week with a B757. The routing is Addis Ababa - Accra - Monrovia - Conakry. Other changes to the West African routing is a once weekly Addis Ababa - Lome - Accra service (Lome reduces from four to three weekly). The overall service to Accra will increase from four to six weekly (three weekly to Abidjan and three weekly to Monrovia/Conakry).Ethiopian Airlines is adding a fifth weekly flight to Stockholm, starting October 25.
Turkish Airlines launches IZM-ATH serviceTurkish Airlines has launched a direct service from Izmir to Athens on September 21. Flights will operate four times a week on Mondays, Thursdays, Fridays and Sundays. Flights depart Athens at 10h30, arriving in Izmir at 11h30. From Izmir, flights depart for Athens at 12h30, arriving at 13h30.
CO to join Star Alliance in OctoberContinental Airlines has announced that it plans to join Star Alliance on October 27 and will end its participation in SkyTeam after its last scheduled flight on October 24. With the transition on October 27, OnePass members will begin earning base miles and Elite Qualification Miles/Points and will be able to redeem miles on Star Alliance airlines. The airline’s frequent flyer members do not need to make any changes to their OnePass accounts and will continue to use their mileage as normal. Mileage balance will not be affected by the transition. Up until October 24, OnePass members can earn and redeem miles and make reward reservations on SkyTeam partners.
Singapore Airlines expands partnership with Air IndiaSingapore Airlines and Air India have gone into a new bilateral frequent flyer programme agreement, which enables frequent flyer programme members of both airlines to earn and redeem miles on flights operated by either carrier. This means members of Singapore Airlines’ KrisFlyer programme can now earn KrisFlyer miles when they fly with Air India, or choose to redeem their miles for flights with the Indian carrier. Likewise, members of Air India’s Flying Returns programme will enjoy greater choice by having the option of using their miles on Singapore Airlines flights or earning miles when they fly on Singapore Airlines.
1st P
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FNEWS
QUICK READ FOR bUSIESt pEOplE Wednesday September 23 2009 n 5
DO we know where all the hidden expenses are in our travel agencies?
Take for instance the Travel Agent Service Fee (TASF). This is a function that Iata introduced to enable us to collect mark ups or service fees when the client is paying with his credit card.
Now the first misperception is that when we use it, the client does not see how much we have marked his ticket up by, and that he will only see one swipe.
This is not the case. The client has always been able to see two swipes on his or
her card. Let’s use the example of
an SAA ticket for R5 000 (including taxes). If our mark up is R500, the full value the client knows he or she will be paying is R5 500. And this will appear on the client’s credit card statement as:● SAA: R5 000● TASF: R500
The second misperception is that the R500 was collected for us at no charge. Again, this is not the case. We have been charged anything between 2.5% and 5% depending on the card used; Amex and Diners being the
most expensive. You need to ask yourself
why, if you already have a swipe (speed point) machine in your agency, you do not swipe the R500 yourself instead. You will have that amount in your bank account the same day and not have to wait until BSP day 30 days later to be credited with that money.
This way, the client will still see two swipes on his card:● SAA: R5 000● Mary’s Travel: R500
It makes more sense, doesn’t it?
PillowTalkA brief look at this week's hotel newsProtea Hotel OR Tambo to open in NovemberProtea Hotels has announced the opening of the Protea Hotel OR Tambo in Kempton Park, within the Comair office park, a 10-minute drive from the airport terminal buildings. The new four-star, 213-room property will feature two multi-use conferencing rooms, accommodating up to 120 people and a selection of executive boardrooms and small meeting rooms catering for 12 to 20 delegates. The hotel has its own restaurant, a swimming pool, bar lounge, informal deli and fitness centre.
Queensgate to launch conferencing hotel Queensgate Hotels and Leisure is launching a four star conferencing hotel, Upper East Side, which will be situated at the base of Table Mountain, in Woodstock, Cape Town. The Queensgate site is being transformed into a 176-room hotel, complete with eight conferencing rooms. It will also feature 15 club suites with separate concierge services, a ladies-only floor designed by women for women, an interactive food quarter, retail facilities, and a brand new spa called Q-Spa, among other facilities.
Lehele Lodge opens in Gondwana Game Reserve Gondwana Game Reserve in the Garden Route, Western Cape, opened Lehele Lodge on August 15. The lounge and dining area at the 15-suite lodge is currently being used by overnight guests until the completion of Royal Kraal Lodge. Once Royal Kraal opens, Lehele Lodge will be used as a reception and check-in area. Ultimately Lehele will be used for high-end conferences, functions and product launches. Lehele also features an interconnected lounge, bar, library and dining area and large outdoor areas with an infinity pool, boma deck area and outdoor seating for meals and sundowners. Royal Kraal Lodge will offer private rangers and game drives.
‘Swipe’ away those hidden costsLinda Dempster gives TNW readers her tips on how to spot your hidden expenses…
Linda’s Tip: Using your swipe machine for your mark ups will help improve your cash flow. n
Southern Sun Hyde Park, a new four-star hotel, will open at the end of October. Adjoining the Hyde Park Shopping Centre, the hotel will feature 132 rooms with private bathrooms, air-conditioning, satellite TV channels, DVD players and high-speed wireless Internet access. Each room will also encompass the first ever media-hub to be installed in a South African hotel. When connected via VGA cable, the television automatically detects a laptop. The hotel will also feature the à la carte Bice Ristorante and Daruma Sushi and Tempura Bar, a swimming pool and a fully-equipped fitness centre.
to the point ☞
NEWS
6 n Wednesday September 23 2009 QUICK READ FOR DECISION-MAKERS
www.airbotswana.co.bw
Fly Air Botswana today and experience a world of endless opportunities in any of our destinations.
TOURISM Ireland has acknowledged it needs to do more to boost the poor
awareness of Ireland in SA.This was the message from
Jim Paul, Tourism Ireland’s London-based director of new and developing markets, who, along with other Irish delegates, hosted workshops for travel agents in Stellenbosch recently.
He said only about 30 000 South Africans visit Ireland annually, but they do stay eight to nine days - which is longer than most other tourists - and travel extensively around the country. Some 80% of South Africans include Ireland in a visit to Great Britain.
Tourism Ireland this year conducted extensive research in South Africa to establish, among other things, what South Africans look for in a holiday; the level of local awareness of Ireland; Ireland’s image in South Africa; and the target market for Ireland.
Jim said the study found that when choosing a holiday destination, South Africans looked for safety and security, relaxation and national sights. Northern Ireland still had an erroneous legacy perception of being an unsafe destination.
He said Ireland’s image in South Africa was not as pronounced as that of Britain or the USA. Meanwhile, its biggest selling point was that it was widely acknowledged to be friendlier than other European countries. “It’s the kind of place that gets under your skin,” he said.
Jim added, like most of Europe, Ireland was going through hard economic times and the exchange rate was making the UK a difficult sell.
According to Ireland’s Central Statistics Office, visits to Ireland dropped by 12% in the second quarter of 2009 to 1.9m compared with 2.1m in the same period of 2008. Trips by holidaymakers to Ireland decreased by 20% during the same period. n
Ireland needs to boost its image in SA
See Take 5 with Jim on
eTNW
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QUICK READ FOR bUSIESt pEOplE Wednesday September 23 2009 n 7
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Hilka Birns
A see-through cantilevered pool hanging over the edge of a rooftop
terrace is just one of the traffic-stopping features of the R340m new five-star Hotel Missoni Cape Town due to open after the World Cup in 2010.
The luxury lifestyle and designer hotel will bring the iconic Italian fashion brand, Missoni, to South Africa. It will form part of the Rezidor Hotel Group’s new lifestyle hotel concept aimed at attracting new revenue from
target markets such as the film, fashion and related industries, well-heeled FITs, “Black Diamonds” and the young and brand conscious.
The 157-bedroom Hotel Missoni Cape Town will be located on the corners of Castle and Burg Streets in the Cape Town CBD, about 50m from Greenmarket Square. Facilities will include a small wellness spa, an Italian restaurant, a bar and small meeting and conference facilities.
The first Hotel Missoni was launched on June 1 this year in Edinburgh and is trading
well after just three months, says Andrew McLachlan, Rezidor’s vice president for business development in Africa and the Indian Ocean Islands.
He says future destinations for Hotel Missoni include Kuwait City, Kuwait; Jebel Sifah, Oman; Ilha de Cajaiba, Brazil; with 10 more sites under consideration worldwide.
“In Africa, we are looking at the Seychelles, Mauritius and possibly Sandton. Another logical place to take the brand is the luxury safari lodge segment.”
Q: What makes the brand different to other five-star hotels?
A: It’s an entry-level five-star hotel and not a true deluxe brand, but rather a lifestyle and fashion brand. While the design of Hotel Missoni Cape Town will have strong and bold signature Missoni aspects, local elements will be incorporated as well.
Q: Why Cape Town, where the five-star hotel market is already highly competitive?
A: Cape Town is one of four cities in Africa that can absorb a Hotel Missoni, because it has become part of the international Jet Set circuit. The city may be reaching a threshold for five-star
hotels, but this development is part of a 20-year business plan and the brand has the marketing backbone of Rezidor. We will not take business away from other five-star establishments, but rather hope to grow the market.
The hotel will open in Spring 2010, after the Fifa World Cup but before the high season to get into the programmes of international tour operators. We’re banking on the fact that South Africa will host a very successful World Cup and that the country will benefit immediately afterwards from the exposure and publicity received. Hopefully, the world will also be in a better place economically and begin to come out of the recession by then. n
● Qatar Airways is offering special fares ex- Johannesburg or Cape Town to Goa, India from R3 500. Minimum stay is three days and maximum stay is two months. Valid for sales until September 30 and for travel from October 25 to November 30. Excludes taxes.● Sights of Nature – Namibia fly-drive special from R7 568 per person sharing. The rate includes return flights ex-Johannesburg, seven days car hire, two nights accommodation in Windhoek, Swakopmund and Sossusvlei as well as daily breakfast. Valid until November 30. Excludes taxes.
● Sure Tours is offering a South America cruise special from R4 035 per person sharing. The rate includes six nights onboard Splendor of the Seas with meals and entertainment. Cruise departs São Paulo on January 3 and visits Buzios, Ilha Grande and Ilhabela. Excludes flights.● Glenburn Lodge - Muldersdrift is offering a Heritage Weekend special of R520 per person sharing per night.
The rate includes accommodation in a two-or three-bedroom chalet with dinner and breakfast. Valid from September 23 to 27.
Travelinfo ,s Michele Reynolds selects the top specials from Travelinfo
Specials Spot
Missoni brings design flair to Cape Town
Rosita Missoni (middle), founder of the same-named international fashion empire, visited Cape Town last week to work with an SA design team on the fashion hotel due to open in Spring 2010. Joining the photo shoot were hotel owner Paschal Phelan of Phelan Holdings property developers (left) and Andrew McLachlan ( right), Rezidor’s vp for Business Development in Africa and the Indian Ocean Islands
Hilka Birns speaks to Andrew McLachlan to find out more…
8 n Wednesday September 23 2009 QUICK READ FOR DECISION-MAKERS
TNW5018
Be astonished...The only daily non-stop flights to Cairo with easy connection to many Middle Eastern and European cities.For more information visit: www.egyptair.comor contact our Johannesburg Office on (011) 327-0258/9 or our Cape Town Office (021) 421-7503/13
Airline alliancesAirlines to see the benefit of joining an alliance, but do passengers reap as much of a reward? Max Marx asks the experts…
SEAMLESS travel with the ability to book an international itinerary
through a single network is a big plus, particularly for business travellers as they seek to get the best deals in the downturn, and it is seamless travel that an alliance can deliver if it is productively run.
Ben Langner, md of Carlson Wagonlit, says on multi-sector journeys, alliances allow airlines to coordinate schedules and fares. “This is more convenient and cost-effective than if there were no such cooperation among alliance partners.”
According to Jim Weighell (pictured here), Sure Travel’s corporate manager, alliances benefit customers once true network and process seamlessness has been achieved.
But we’re not quite there yet, says Jim. “If government legislation around the world was not so restrictive, we would see merged entities with reduced infrastructural costs for airlines that could eventually translate into fare
reductions for customers.”Route or regional
dominance, reduction of price options and carrier choice, says Jim, is the negative side of alliances. The drawback to alliances, adds Sure Travel Studio owner Laurie Wilkinson, is that they induce customers to travel on alliance member airlines or face higher-priced airfares. Alliances, says Laurie, have also segmented interlining (a single ticket used by multiple carriers) into alliance camps. “Travel agents hardly sell interline tickets
anymore. “In the old days we used
to have a five-stop ticket to Europe. As an Iata fare it was interlineable on a variety of airlines. It has now become incredibly expensive to buy a five-stopper around Europe with airlines from different alliances and is exponentially cheaper to stay within one alliance.”
The lack of interlinability between airlines of different alliances means travel agents now need to structure fares in a way that customers are offered reasonable fares. “We do so by buying multiple fares; for example, a ticket on SAA to London and then another ticket to take the client into Europe.” But buying separate tickets rather than a through fare can create more hassle for consumers. If one segment is delayed, airlines do not accommodate passengers on later flights as they would with through fares.
Because they’re on separate tickets, passengers cannot check their baggage through to Johannesburg on a Madrid- Johannesburg routing, for example.
“We need strong alliances competing
against one another for this to be beneficial to
the end user.”
Alliances – the good and the bad…DURING difficult financial times, individual airlines look at ways to build their revenues and reduce their costs far more aggressively, and airline alliances are a wonderful way of achieving this, says Michael Blunt, vice president of oneworld corporate affairs.
“Alliances enable airlines to generate far more revenues than they could individually and provide the potential to reduce costs, making them more important to airlines during difficult times.”
Markus Ruediger, director of Star Alliance Services’ media relations, says the global economic crisis is affecting all Star Alliance member carriers. “While we’re seeing airlines cutting capacity, and in some cases destinations, they are relying on each other to be in a position to offer a vast network by code sharing.”
Markus says airlines are also looking more into joint sourcing and purchasing activities to make better use of economies of scale.
Airlines turn to alliances in downturn
Creating airport hubsA MAJOR trend among alliances is the creation of alliance hubs within key airports around the world. Major alliance hubs have been created at London Heathrow, Paris Charles de Gaulle, Barcelona’s El Prat airport, Cairo Airport, and Amsterdam Schipol Airport.● By October 29, oneworld will have brought all its operations into just two London Heathrow terminals – T3 and T5.● Five-star Star Alliance members recently moved from T2 to the refurbished T1 at London Heathrow where they joined seven other Star Alliance members. EgyptAir, Scandinavian Airlines, and Singapore Airlines will remain in T3 until 2013.
● SkyTeam opened the first level of its first-ever co-branded alliance lounge in T4 on June 4, 2009. ● The new Terminal 3 at Cairo Airport is now fully operational and is used solely by EgyptAir and other Star Alliance members.● oneworld carriers serving Barcelona's El Prat airport moved to the new Terminal 1 on September 9. ● All 14 Star Alliance member carriers serving Barcelona have moved to the new Terminal 1 at El Prat Airport. Future member airlines Aegean Airlines and Brussels Airlines are also operating from Terminal 1 and Continental Airlines will also operate from here going forward.
Air France’s Flying Blue loyalty programme is offering paid entry by credit card or miles for lounge access at Paris-Charles de Gaulle
and Amsterdam Airport Schiphol. An Elite Plus privilege that was previously reserved for platinum
and gold members has now been extended to all silver members for an introductory fee of €35 (R380) per member per visit.
Didyouknow?
FOLLOWING the recent introduction of its booking engine, Star Alliance has redesigned its website from an informal site into a distribution channel.
A more ‘personalised’ touch in the interactive area is one of the main additions to the site. The link to the individual Star Alliance member carrier has also been modified. Instead of being displayed statically, the member airline logos are now found in a rolling display on the right-hand side of the
screen. By clicking on the logos more information about that member carrier will become visible. The overall navigation has been clearly defined and is split into several categories – About, Benefits, Fares, Booking, Services, Business Solutions and Press.
The introduction of the ‘Book and Fly’ functionality called for a redesign of its online presence. Customers can actually book and purchase tickets, rather than just obtain information.
Star Alliance launches new website
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AVIAREPS • Visuel Network • 206 x 300 mm Tel • Remise le 26/08/09
WITH A GLOBAL NETWORK ACROSS 6 CONTINENTS,
TRAVELLING HAS NEVER BEEN SO SEAMLESS.
With 9 SkyTeam members and a large number of partners to connect you to the world,
travelling is seamless. More than 800 destinations across 6 continents make it easy to
US regulators are expected to decide by the end of October whether oneworld carriers flying across the Atlantic will be granted anti-trust immunity.
Michael Blunt, vice president of oneworld corporate affairs, says: “oneworld carriers are not asking for anything more than has already been granted to SkyTeam and Star Alliance
carriers. “There is recognition that
consumers will benefit from having three alliances able to compete on equal terms, so we’re hopeful,” says Michael.
“We think alliances provide consumers with far better service and great potential to get more attractive fares, and they increase competition, which is good for the consumer.”
Anti-trust immunity for oneworld?
STAR Alliance has launched a global product for the meetings market: Meetings Plus. Meetings Plus can be used for most meetings of 50 people or more, with attendees originating in at least three different countries. Interested meeting organisers should send an online request for proposal (RFP) via www.staralliance.com/meetingsplus.
The Star Alliance member carriers are offering fare discounts ranging between 10% and 20% off the published fare in either business or economy class.
Who’s joining WhoStar Alliance oneworld SkyTeam
Continental joins on October 27, 2009 Mexicana joins October 2009 Vietnam Airlines joins in 2010
Brussels Airlines joins in December, 2009 Russia’s S7 Airlines joins in 2010
Aegean Airlines joins in 2010
Air India joins in 2010
TAM joins in 2010
Airline alliance benefits and news
Star Alliance launches global meetings product ● oneworld’s new tool,
the Travel Product Selection Tool on oneworld.com, helps customers choose the most suitable alliance fare by listing which of the alliance’s fares would be appropriate for the journey the passenger wants to take.● oneworld’s flagship alliance fare, oneworld Explorer, is the only RTW fare that’s price is based on the number of continents visited rather than distances flown. It’s available for sale online.● oneworld’s timetable – featuring schedules of member airlines – can be accessed via Blackberry and other smart phones at http://m.timetable.oneworld.com.
● SkyTeam recently announced significant milestones in the creation of a new centralised organisation for the alliance since naming a managing director in April 2009, ● SkyTeam’s new T4 lounge at London Heathrow offers space for 300 passengers and boasts a wellness centre and full-body massage chairs. Work on the second level will be completed in November and will include two VIP rooms and children’s area.● SkyTeam debuted its new alliance livery in April. All SkyTeam member airlines have committed to paint at least one aircraft with the new livery by the end of 2009.
● Turkish Airlines (TK) customers have benefited from joining Star Alliance, says Ihsan Gani Erbas, director of Turkish Airlines: South Africa. Ihsan adds that SAA Voyager members can get Star Alliance membership benefits, such as business lounge usage for gold members, and they can use award tickets from Voyager on the TK network. ● EgyptAir joined the Star Alliance in October 2008 and passengers now have access to Star Alliance airlines worldwide and joint RTW fares. Voyager members can collect miles on EgyptAir.● The newly launched Star Alliance Middle East Airpass covers 28 destinations in 13 countries.
SkyTeamDestinations: 905 Countries: 169 Daily departures: 16 787 Annual passengers: 462m Frequent flyer Members: 152m Number of lounges: 447
Star AllianceTotal of 21 member airlinesAnnual passengers: 506,6mDaily departures: 17 000Countries served: 160Airports served: 916
oneworldServes almost 750 airports in nearly 150 countries, with some 8 500 daily departures Annual passengers: 330mNumber of lounges: 550
fast facts
Daily flights from Johannesburg to Paris,
the capital of fashion, romance and glamour
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Contact: 082 234 5747 www.afkl.biz/za
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10 n Wednesday September 23 2009 QUICK READ FOR DECISION-MAKERS
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QUICK READ FOR bUSIESt pEOplE Wednesday September 23 2009 n 11
our website is updated daily!visit www.specialized.co.za
General Management Opportunity - GautengTake full responsibility for admin, financial, marketing, PR and other important functions for reputable association, based in the Midrand area. Varied responsibilities! Salary highly neg. Kati
Financial Assistant - SandtonR14000/R17000. Play a supportive role to the FM of large, highly regarded travel company. Responsibilities include: VAT calculations; working from income statement to general ledger; updating of asset register; conducting file audits; preparing budgets; cost analysis and comparisons; reconciliations; cash flow reports; compiling monthly management accounts; reports and ad hoc projects. An in-depth knowledge of Pastel is required together with advanced Excel including graphs. Kati
Call on Travel Agents - GautengA travel related company requires a Sales Executive to call on travel agencies promoting a specific product. Candidates must have worked within the travel industry for a minimum of 3 years and have sales ability. Our client would consider candidates who would like either a full or half day position. Highly reputable company! R7000 plus commission. Tracey
Hotel Deputy GM – SandtonJoin 3 Star hotel based in beautiful garden setting taking on the role of Deputy GM. R20000/R22000. Tracey
Executive Housekeeper – SandtonBased in a prime location in Sandton. Join 3 star hotel belonging to highly regarded hotel group. R13000. Tracey
Financial Controller – HotelR20000/R22000. Take on the responsibilities of Financial Controller for well known hotel close to the Parktown area. Your expertise will be appreciated! Tracey
Front Office ManagerBased close to the Parktown area. Join well known 3 star hotel in a guest relations/front office manager role. R14000/R15000. Tracey
Duty Manager F&B – DurbanJoin highly regarded hotel with over 400 rooms based in Durban. Take on the responsibilities of Duty Manager F&B and make a vital contribution to their success! R15000/R16000. Tracey
Sales Executive – GautengR12000/R15000 plus commission and allowances. Call on corporate companies representing international Foreign Exchange company. Emphasis is on obtaining new business. A ‘hunter’ is required who will source leads, call on companies and get sales. Kati
Sales Executive – Top HotelYour previous experience calling on PCOs is required by this top hotel, a hotel that you can represent with pride and confidence! Excellent opportunity! Kati
Sales Manager – AirlineManage a small team of Sales Executives in Gauteng for well known international carrier. Will plan, implement and direct the sales strategy with the objective of achieving revenue targets. Build customer relations with key travel agents and analyze market intelligence. Will interact with the marketing team. Will also co-ordinate the Cape Town and Durban sales staff. Must have excellent knowledge of the travel industry as well as a history of managing a sales team. R20000/R28000. Tracey
Cargo Sales Executive – ORTIAPromote the cargo division of international carrier. Sell the cargo capacity, maximize revenue, meet targets and ensure customer satisfaction, loyalty and retention through providing high standards of customer service. Candidates must have an airfreight or airline background. Sales experience is essential. R10000/R12000 plus allowances. Kati
Inbound Incentives Cons – N/SuburbsJoin top international operator handling inbound incentives to South and Southern Africa. Job description will include escorting the groups and inspection trips. Candidates must have dealt specifically with incentive travel for a minimum of 2 years. Foreign languages will be an added advantage. Be part of a highly professional operation. R15000/R19000. Kati
Spanish Inbound Cons – N/SuburbsName your salary!! Your expertise is sought after! Deal with the Spanish market handling inbound incentive tours. Top international operator requires previous inbound incentives experience and the ability to travel with the groups and do site inspections. An excellent opportunity, working within superb infrastructure. Kati
Specialist Consultant - SandtonStrong knowledge of Southern Africa and Africa, plus a wholesale and retail travel background would be ideal. Work for top operator in a specialist role. Tracey
Help Desk Consultant – N/SuburbsTake inbound calls and emails requesting assistance with online bookings and ticketing. Will also assist with training. Must have technology savvy and be proficient on Galileo. Work shifts between 07h00 to 18h00. R6000. Tracey
Junior Consultant – E/RandAmadeus is essential. Join small agency offering lots of scope to develop further. Tracey
Junior Travel Consultant - SandtonSmall established agency affiliated to a large travel group requires a junior with minimum 1 years experience. Drivers license and own car essential. Tracey
See our website for a further selection of exciting vacancies! www.leebotti.co.za
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FIGURES FUNdI – ROSEbANKDo you love number crunching and are computer
literate on Pastel? Then we have the ideal position for you! Growing inbound operator requires your
general debtors, creditors and invoicing experience to compliment their fabulous team! R10 000 negotiable.
EXECUTIVE MANAGER – CbdChief tribesman to lead 6 direct managers in vision of
scoring that 2010 goal! La-doo-ma! Reporting into CEO your strategic project management experience, coupled
with fiscal might will hit the 3 year target plan! High profile role, world class service structure. R600 000 ctc
bIG bANG – CbdProudly product driven? Leap from Developer to Manager at amazing inbound operator with WOW factor! Solid Southern
& East African first hand exposure is key. Manage 1 staff member, guide, mentor and train! R17 000
INbOUNd FUNdI – NORTHGreat opportunity to flaunt your Southern Africa
experience! Close, personalised team will welcome your previous inbound experience and creative flair designing
FIT tours. Galileo experience essential! To R10 000.
NUMbER CRUNCHIE – dEEP SOUTHRiveting opportunity awaits! Bookkeeper to join hip happening inbound operator with stunning set up.
Previous experience with forex plus bookkeeping to trial balance essential. Option to work half day is available!!
Enjoy the good life. Salary negotiable
CREdITORS CLERK - NORTHOpportunity to join one-stop travel & events management company based in Durban North. Strong experience in dealing with large volume creditors accounts, preferably
within a travel agency environment. Knowledge of Quicktrav system a distinct advantage! Initial 3-month
UPPER INTERMEDIATE/SENIOR Enjoy great mix of corporate and wholesale travel bookings. Must have good knowledge of International destinations.OPERATIONS SUPERVISOR Combine Tour Operating skills with sound Retail know-how and take charge of busy office with fun team.IN-BOUND MANAGER Strong Groups & Incentives background, highly effective management style and experience plus desire to enhance your career could land you this outstanding opportunity.IN-BOUND CONSULTANT Deal with International agents and book divine lodges within Africa. Minimum five years experience needed.TOP SENIOR GROUPS & INCENTIVES CONSULTANT Join great team of professionals and impress with creative flair and in-depth understanding of all aspects of in-bound Groups & Incentives.
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Travelinfo is South Africa’s premier business-to-business online travel information channel. This sales executive would be selling subscriptions for Travelinfo Plus (incorporating City Alerts), an essential business tool, to travel agencies.
If you have at least 3 years sales experience in the travel industry, we have the job for you. Own car essential.
Only successful candidates will be contacted.TNW5028
■ Customer Services OfficerResponsibilities● Reporting to the Airport Manager● To perform the daily functions to ensure that overall
operations run smoothly and efficiently and conform with safety and security requirements
● Interact with customers, Cathay Pacific team members and handling agents to ensure that both internal and external customers are provided with the consistent CX service style of “Service straight from the Heart”
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Cathay Pacific Airways in Johannesburg is inviting applications from customer focused and determined individuals for the following position, based at our O.R. Tambo International airport office.
Requirements● Excellent communication and interpersonal skills● Good planning and organizing skills● A team player● ‘Customer focused’ and ‘customer minded’● A basic understanding of cost control● Able to work under pressure and work independently● Prefer airline operational skills and knowledge● Prefer Chinese language skills
(Mandarin or Cantonese)● Able to work weekends and public holidays
Interested parties should submit their CV by e-mail to Charlene Moses at [email protected] no later than 30 September 2009. Only successful applicants will be contacted.
Federal Air are pleased to announce the launch of a Charter and Scheduled business in Zimbabwe. Based at Harare International Airport, Domestic Terminal, Charter Operations and a Scheduled route from Harare to Kariba will commence from 1 October 2009.
Federal Air now in Zimbabwe
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Natalia thomsoN
NEXT stop for Arik Air is New York, says Suraj Sundaram, gm sales
and marketing, speaking to South African agents and TNW hosted on a recent educational to Lagos, Nigeria.
With an additional 18 aircraft on order and a fleet with an average age of two years, Arik now plans to expand to Paris Charles de Gaulle, Houston and São Paulo, while regionally the focus will be on Cameroon, Equatorial Guinea and Angola. “We want to connect oil-to-oil markets like Port Harcourt and Luanda,” says Suraj.
Arik already enjoys an “extensive” domestic network with 26 destinations, including eight flights a day between Lagos and Abuja. “We are flying to every serviceable airport in Nigeria except for three airports.”
Access to domestic and regional flights, he adds, are only online. “South African agents will have to book these flights online as the airline is not part of BSP central Africa yet.”
This unfortunately means there are generally no through-fares available, except for Johannesburg to Abuja and Johannesburg to Port Harcourt, which can be booked through the local Arik Air reservations office without additional ticketing fees.
Agents are also advised that due to the construction of a new domestic terminal and traffic from the international to domestic terminal in Lagos, a minimum four-hour connecting time is required for transfers. “Airside transfers will only be possible once the Iosa audit is complete,” advises Suraj.
Regionally, the airline has launched routes including
Accra, Cotonou, Freetown, Banjul and Dakar.
The airline, which is the first to bring new aircraft to Nigeria for 22 years, operates two A340-500 aircraft, one of which is used on the Johannesburg-Lagos route, as well as brand new CRJ900s, B737-300s, B737-700s and one B737-800, among others.
“We have to buck the perception that the aircraft are old and even have our own on-site Lufthansa maintenance crew to service our aircraft,” said Suraj, explaining how
aircraft inherited from Nigeria Airways were completely scrapped.
Suraj confirms the airline is working to create hubs in both Lagos and Abuja. “We want to mirror the Lagos hub in Abuja so instead of having passengers travelling from for example Kaduna through to Lagos to get to Abuja, we would have passengers travelling directly between Abuja and Kaduna.”
Arik will also be undergoing its Iosa audit by November 2009, after which it hopes to obtain Iata membership and will then look at interline agreements with other carriers. “We hope that once all this is finalised we could codeshare with an airline like SAA so it can make use of Arik’s widespread domestic network.” The airline will also be launching a loyalty programme by March 2010. n
JeaNette PhilliPs
1TIME has opened sales for its flights from Johannesburg to Livingstone due to start on November 26.
The flights will initially operate four times a week on Mondays, Thursdays, Fridays and Sundays. In February
2010, 1time will add a fifth-weekly flight, expected to operate on Saturdays.
Flights will depart Johannesburg at 10h10, arriving in Livingstone at 11h55. The return service will depart Livingstone at 12h50, arriving in Johannesburg at 14h35.
1time will launch with airfares starting from R897 one-way, all inclusive of taxes. In addition to the airline promoting the destination, 1time Holidays will also be promoting packages to this destination. These packages should be live in the next couple of weeks. n
● Thai Airways to resume SA service?● 1time’s Livingstone tickets open for sale● Tourvest to handle American Express franchise rights● VS to introduce new baggage policy – it is as easy as 123● Agents take note: what would you most like to know?● SAA ceo…who will it be?● Monday smile: If Operating Systems ran Airlines● CX – possible flight disruptions● Skip UK visa costs with Trafalgar, Contiki and Insight Vacations● Airline passengers can keep their shoes on in Canada
Stop cutting baggage limits!How do you feel about airlines cutting baggage limits?
n It’s about time 13%n I am not happy about it 64%n I feel indifferent 23%
In a bid to cut costs, airlines are cutting back on their baggage limits. The latest being Virgin Atlantic with its new 123 baggage concept. According to the poll, most agents do not support the move. However, in a similar poll ran in 2007 the majority of respondents felt that airlines should adopt stricter baggage policies, especially in terms of the size of carry-on luggage.
Arik Air – certainly no fly by night
Arik Air country manager Rodger Whittle with Sun International Dreams’ Lucia Tarasconi enjoying a drink at the business class bar onboard Photo: Natalia Thomson
Book LVI with 1time
“We have to buck the perception that the
aircraft are old and even have our own on-site
Lufthansa maintenance crew to service our aircraft.”
