Consolidator Fares – How do they work in online enviornment

Consolidator fares are basicly large bulk volume fare purchased directly from airlines. They are seeing new light of day with comming in of Internet. As now the fares can be constructed from consolidator’s database and checked for availability on airline systems via GDS or airlines websites directly. Companies like run search on travel wholesellers database to find the cheapest fare and help users get real cheaps deals with price guarantee.

In India the concept of consolidator fares is still not familiar with most of the travel agents hence any company willing to enter this segment will be required to educate the market first. In indian market we are yet to see travel portals going low to attract more customers on listed internet fares of airlines. Though would not blame travel portal for this due to lack of air suppliers/airlines on domestic front.  India has around 200 aircrafts in total playing on domestic routes. Whereas singapore airlines got 400 alone. Their is a huge gap which need to be covered and industry has to mature further. But growth strategies for all these travel portals lie with airline strategies and willingness to go to second tier cities.


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February 2007
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