Airline Product Distribution and the Regulatory Framework Y.Z. Wang ICAO
Tourism and Aviation Int. Pax Carried Int. Tourist Arrivals
Tourism and Aviation Int. Tourist Receipts Int. Pax Revenues
Travel Agent Product Distribution CRS
CRS + Internet CRS Independent CRS Airline-owned Changing Structure
Changing Structures Mega CRS Sabre Galileo Amadeus Worldspan More Players CRS/GDS Airlines Third Parties
Travel Agent Internet Direct Sales CRS
Role of Governments Why Regulate? • Ensure accessibility • Ensure transparency • Ensure non-discrimination • Protect consumers
Role of ICAO • Policy guidance at global level • Harmonization of diverse regulation • National Regulation: US, Canada, Australia ... • Regional Code: EU, ECAC, ACAC ...
ICAO CRS Code • Scope of application • Obligations of: • States • CRS Vendors • Air Carriers • Subscribers
ICAO CRS Code • Safeguards for developing countries • Consistent with GATS
Issues Regulation Desirable? Feasible? • Computer reservation systems • Individual airline reservation systems and Web sites x • Jointly-operated airline Web sites ? • Third-party Web sites • Traditional ? • Innovative (eg auction) ? ?
Issues (Accessibility) Developing Countries Payment Hard/local currency Participation
ICAO Code WTO-GATS AT Annex Tourism Annex Issues ?
Summary • Rapidly changing scene • Regulatory framework exists • Need to address challenges and issues