DTTAG set to reach agreement with European airlines

Members of the Dubai Travel & Tour Agents Group (DTTAG) are in negotiations with several European airlines to discuss how both parties can benefit from the current zero commission environment, ATN can exclusively reveal.

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By  Gemma Hornett Published  June 2, 2006

DTTAG manager Labib Jaroudi and one of DTTAG’s key members, Sam Poddar, manager of Deira-based travel agency, Mohebi Aviation, told ATN that on May 14, the group met with the carriers that axed agency commission at the beginning of this year, in a bid to “discuss the best way forward”. “We are confident of reaching a solution that will benefit the travel agent, the airlines and the customer, but we have put a gag on everyone speaking to the press at the moment until we have had our next meeting on May 30,” explained Poddar. Jaroudi added that ATN would be notified of an outcome as soon as a collective decision had been made. On January 1 this year, several European airlines including British Airways, Air France and KLM cut commission to UAE-based agents to zero and encouraged them to introduce a service fee structure to counteract margin erosion. Many agents have embraced the service charge concept although customer reaction to fee implementation has been mixed.

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