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Distribution is Inspiration © 20112 Amadeus IT Group SA Dan Greaves Strategy Airline Distribution APG WORLD CONNECT 2012 / MONACO

WorldConnect 2012 Day 1 Session 1 - Amadeus Dan Greaves

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Distribution is Inspiration

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Dan GreavesStrategy Airline Distribution

APG WORLD CONNECT 2012 / MONACO

1. Why were past predictions on full service airline direct sales moving to 80% of total sales so wrong?

of TMCs prefer GDS

to make

96% 63%

of premium bookings

made in GDS /

of International bookings

made in GDS

54%

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to make bookings

made in GDS / TA

made in GDS

People like to compare

Cost is comparable

Direct $164

Indirect $221

2. Will airline direct sales reach 60% of revenue by 2016?

5449 48

3737 36 37

OTA

General search

Provider website

63

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> > Days before departure > >57 Days72 Days95 Days

Choosing destination

Choosing travel components

Booking travel components

3. How Amadeus sees airline distribution evolving

� Shopping / inspiration

� Low conversion ratios

� Very, very complex search

� Caching is paramount

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Focus Today

> > Days before departure > >57 Days72 Days95 Days

Choosing destination

Choosing travel components

Booking travel components

FocusTomorrow

4. How Amadeus is positioning ourselves to address this evolution

Products

Shopping trx per booking OTA vs airline.com

6170

83+24%

110

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Extreme Search

TravelSeeker

Pricingfeeds

Affinityshopping

47

61

28 30 32 30 33

2010200920082007 2011

+5%

OTA Airline.com

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