Skift Take
Turkish Airlines is ruffling feathers as it pushes for direct bookings starting in October. American Airlines failed an attempt for a similar strategy this year, which surely will inform the execution for Turkish.
Turkish Airlines fares will no longer be available through Sabre starting on September 1, which means travel agencies will need to look elsewhere to book flights.
Sabre’s primary business is its global distribution system (GDS), an intermediary between airlines and travel agencies. Travel sellers plug into the Sabre tech platform to access wholesale airfares to purchase on behalf of clients.
Each of the companies blames the other for not coming to an agreement.
“Despite Sabre’s intense efforts, we have not been able to reach mutually beneficial and commercially reasonable terms, and Turkish Airlines has decided to discontinue distributing its content through Sabre,” Sabre said in a statement.
Turkish Airlines did not respond to Skift for a request for comment. But the airline wrote in an email to travel advisors: “Despite the positive and constructive approach Turkish Airlines has shown in continuing its participation in Sabre under similar conditions as with our other GDS partners, this effort has not been reciprocated by Sabre.”
Amadeus, a Sabre competitor, confirmed that its own negotiations with Turkish Airlines are ongoing.
The Move Toward Direct Bookings
This development comes as Turkish Airlines prepares to launch a platform called TKConnect, which travel agents can use to book flights directly with the airline rather than going through an intermediary. The airline says that TKConnect will have special promotional prices, better capabilities for ancillary services, and a more modern look that incorporates visuals.
The TKConnect landing page says bookings through TKConnect will be exempt from the distribution cost charge — a fee that the airline plans to impose for sales through intermediaries like Sabre and Amadeus.
The systems that Amadeus and Sabre provide have been the backbone of airfare bookings for decades, but the industry is exploring other options. For airlines, they’re often looking to circumvent the growing fees that come with working through an intermediary.
The industry is also moving toward a more modern airfare shopping experience, which is what TKConnect aims to provide. Amadeus, Sabre, and Travelport have been pushing their own versions of this tech.
American Airlines had been transitioning to a similar strategy focused on direct bookings and modern retail until it backtracked for what the CEO said was poor execution.
Sabre’s statement to Skift continued: “The alternative of developing a direct connection to an airline has generally proven to be expensive and inefficient for agencies and airlines.”
Sabre also stated that it is open to continuing negotiations. “We value our relationship with Turkish Airlines and hope to reach an agreement with them in the future that meets the needs of all parties – Turkish Airlines, travel agencies, the travelers they both serve, and Sabre.”
