UATP Offers Airlines Significant Savings; Critical to Future Airfare Sales
05 April 2005 - 3:01PM
PR Newswire (US)
UATP Offers Airlines Significant Savings; Critical to Future
Airfare Sales WASHINGTON, April 5 /PRNewswire/ -- New forms for
payment, including UATP (Universal Air Travel Plan) offered to
customers online or through sales centers can lead to "incremental
increases in business" according to both a white paper analysis by
Edgar Dunn and Company (EDC), and research released by other
leading forms of alterative payments. (Logo:
http://www.newscom.com/cgi-bin/prnh/20040318/UATPLOGO ) This topic
is the subject of a panel session on Alternate Forms of Payment at
the UATP-Airline Business magazine: Airline Distribution 2005
Conference 19-21 April in Bangkok. The author of the payment study,
Pascal Burg, director, EDC, San Francisco, California said his
analysis indicates that airlines could lower their credit card
costs by 20 percent if they followed a two-fold strategy of
reducing credit card costs and enhancing revenue with products such
as the UATP corporate travel account or alternative forms of
payment such as: PayPal, Bill Me Later and ElectricCheck. Payment
experts also predict that: "three years from now, payment costs are
going to as aggressively managed as the GDS costs are now. You will
see an increase in alternative forms of payment." Burg noted that
airlines could achieve a savings equal to USD 12.50 per ticket if
they: optimized their payment mix in favor of lower cost forms of
payments; streamlined and automated payment related business
processes; negotiated lower merchant discount rates with
traditional credit cards; launched co-brand card programs; and
became a primary or part issuer of a form of payment such as UATP
or gift cards. Continental Airlines and America West are cited as
two of the early adopters of this payment strategy, which when
combined with a targeted marketing program can influence customers
and increase sales. About UATP UATP accounts are accepted as a form
of payment for corporate business travel by more than 200 airlines
worldwide. UATP accounts are issued by theses airlines: Aer Lingus,
Air New Zealand, Alitalia, American Airlines (NYSE:AMR), Austrian
Airlines, Continental Airlines (NYSE:CAL), Delta Air Lines
(NYSE:DAL), Japan Airlines (Nasdaq OTC: JALSY), Qantas Airways,
Ltd., Scandinavian Airlines System, United Airlines (OTC:UALAQ)
(BULLETIN BOARD: UALAQ) , US Airways (OTC:UAIRQ.OB) (BULLETIN
BOARD: UAIRQ.OB) , and VARIG Brazilian Airlines. AirPlus
International issues the UATP-based Company Account for: British
Airways (NYSE:BAB), Lufthansa German Airlines, Northwest Airlines
(NASDAQ:NWAC), Continental Airlines (NYSE:CAL) CONTACT: Wendy L.
Ward of the Universal Air Travel Plan, +1-202-626-4077
http://www.newscom.com/cgi-bin/prnh/20040318/UATPLOGO
http://photoarchive.ap.org/ DATASOURCE: Universal Air Travel Plan
CONTACT: Wendy L. Ward of the Universal Air Travel Plan,
+1-202-626-4077 Web site: http://www.uatp.com/
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