GLOBAL NEWS interface interface for Amadeus users in the Indian subcontinent Breaking the boundaries of travel inspiration 1 interface Contents Issue 3, September 2013 INDUSTRY SPEAK 5 • Impact of Rupee fall on tourism: mixed reactions, no easy answers • What the press has to say 11 EVENTS • IATA/AASL & Amadeus Cricket Fiesta’s fi rst edition successful • Amadeus India sponsors cricket tournament in Chennai • Events held in Mumbai and Delhi to celebrate Airline Day • 1ACO Connect: Shaping the future of travel together • Amadeus ACO India awarded for Biggest Market Share Indian Aviation: Spreading its wings • The Power of Giving back: How community involvement can boost your bottom line 21 PRODUCT+ • Courting success for the future: Bird Academy • Exclusive screening of long awaited movie ‘Jobs’ • Amadeus e-print goes Economical • Amadeus & Marriott Hotel Excellence workshop • Revolutionizing Corporate Travel with BirdRes SBT • Bird Group participates at the 3rd HAI Hoteliers’ e-Conclave • The quick way to reach, connect and support the travelers with just One click • ‘Sadda India’ to celebrate 67 years of Independence • Amadeus e-Support: Towards maximum • Bollywood Stars at iSkate user satisfaction • Travel Agencies in Saudi Arabia provided Training & handholding support • Amadeus Skilling System with added benefi ts 2 GLOBAL NEWS interface 27 PROVIDERS • Malaysia Airlines enjoys Amadeus Direct Access on PNR view • AVIA Traffic Company enjoys Amadeus Access Sell • JSC Airline TAIMYR enjoys Amadeus Access Sell • Amadeus & STIC Travel Group Joint Promotion • Amadeus and Air India Joint Promotion in India Market • Amadeus and Malaysia Airlines Joint Promotion in Nepal and Bangladesh Market GLOBAL NEWS 31 • Travel industry stands at a ‘big data crossroads’: Global study by Amadeus • Amadeus and SAS sign landmark partnership on revenue management • Amadeus increases online advertising space with acquisition of Travel Audience Published by: Marketing & Corporate Communications Marketing & Corporate Communications Graphics & Design: Sibendra Kumar Sahoo E-9, Connaught House, Connaught Place For Private Circulation only New Delhi - 110 001 3 interface Tidings from Managing Director’s desk Potential of the growing Indian Market India is a huge country, a land of great diversity. The recognize that technology is a critical element when it potential is enormous. The market already has approximately comes to strengthening travel infrastructure and creating 150 million travelers passing through its airports, and more seamless operations with international airlines. if Indians begin to move with the same frequency as But recently, the steep decline in the value of rupee Americans, then the years ahead could see the market boom has substantially impacted the aviation sector, derailing its beyond the two billion mark. This will not happen quickly growth. Since nearly 70% of airlines’ expenses are dollar and is dependent on an expected increase in per capita GDP. denominated, the free fall in the value of rupee is affecting As a growing Asian economy, India is amongst the both domestic and international airfares. The dollar fastest growing and currently the 9th largest aviation denominated expenses includes fuel, leases, maintenance, market handling 121 million domestic and 41 million expat pilot salaries and others. That will lead to lower international passengers. Today, more than 85 international demand for travel. The Indian rupee hit a record low and airlines operate to India and 5 Indian carriers connect over posted its biggest percentage fall in 18 years. 40 countries. The studies suggest that by the year 2020, The rupee depreciation has its positive side too, as India is likely to become the 3rd largest aviation market henceforth India will become a much cheaper destination handling 336 million domestic and 85 million international for tourists originating from US and Europe. So there is still passengers with projected investment to the tune of US$ an air of positivity in the travel industry. We at Amadeus 120 billion. The international passenger traffic in and out will have to constantly work to offer innovative solutions of India in 2013 was 43 million — an increase of 5.5% over to our partners to help them maximize their revenue the previous year. opportunities. We also anticipate strong growth as we The prospects and possibilities of growth of Indian except the travel industry in India to continue its robust aviation markets are huge. The gap between potential growth. This shows huge potential for tourism to India and and current air travel penetration shows that India is we should work hard to ensure our partners have the latest presently at 0.04 air trips per capita per annum which is tools available to meet the growing demand. far behind developed countries like US and Australia (more I also take this opportunity to express my heartfelt than 2 air trips per capita per annum), China and Brazil gratitude and sincere thanks for your continuous support (0.3 air trips per capita per annum). The Low ratio of per throughout our business journey. capita air trips in India suggests a huge potential for the I assure you that Amadeus India will continue to be the air traffic growth considering a relatively higher trajectory best place to work, will offer you the best of the services of economic growth in the country coupled with necessary and will be a loyal associate to our channel partners in Government support. the years to come. Also changes in FDI policy have thrust Indian aviation A very warm and happy Diwali Wishes to you and to from a regional sector to a global one. AirAsia partnered your family in advance. with Tata Group to set up AirAsia India in a 15 million Happy reading! dollar deal. Many other airlines are exploring partnerships in India too – Eithad has collaborated with Jet Airways, and Tiger Airways is also looking for the right partner in India to take its operations to the market. While some of these deals have not yet been inked, the strong interest has provided a much-needed confidence boost for the Indian Ankur Bhatia aviation sector as a whole. Hopefully the industry will also Managing Director Amadeus Indian subcontinent 4 GLOBAL NEWS interface Industry Speak Aviation news Impact of Rupee fall on tourism: mixed reactions, no easy answers What the press has to say 5 interface INDUSTRY SPEAK Impact of Rupee fall on tourism: mixed reactions, no easy answers - Anil Mathur further. India has been traditionally Turbulence and excitement in the considered an expensive destination travel and tourism industry is nothing among Asian competitors and it has new; infact, it may not be wrong to now gained ground. The weakening say that it thrives and survives on it. of the rupee has made India a more The latest issue that has shaken attractive destination’, says Sharma, the industry is the steep fall in the reflecting the view of the industry. value of the rupee, which has led to Last year inbound travel grew by making the dollar very costly. five percent and this year ‘I expect a It may not be the brief of the better trend and we are witnessing travel and tourism industry to go higher bookings between November into the causes and reasons for this and March as compared to last almost sudden fall in the rupee, but it year.’ He predicts that this trend will certainly calls for steps by the industry continue into 2014 and beyond. to meet the challenge. On outbound, Sharma concedes The situation by no means is simple that holidays abroad have become a with an easy solution. Infact, it is one lot difficult for average middle class of those situations where there may traveler, but adds that ‘I suspect in a be some gainers and some losers, while the high end will be soon the depending on what segment of the new normal’. In the last two months industry one is involved in. But here outbound traffic has decreased a again straight answers will elude us, bit, with people opting for shorter at least for some time, till we grasp duration trips to nearer destinations. the situation and have an innovative He expects the corporate and inventive plan to deal with it. travel to bounce back. While it is easy, and truly so, to On the domestic front, Sharma say that inbound travel to India will says that India and Indians are become cheaper and more affordable becoming a very enticing option as as a result of the rupee fall, this will the evolved domestic traveler has be no means automatic or simple, as many innovative product options. In factors like higher domestic travel cost 2012, domestic travel grew by 19.87 and fares may disturb the apple cart, per cent compared to 15.6 per cent as it were, and the perceived gains of in 2011, notes the keen observer and more arrivals and earnings may well player of the industry. His suggestion turn out to be only on paper or a vision to hotels is to come up with attractive hard to realize. packages, which will take care of the Industry leaders make interesting small oversupply of the hotel industry. Economy does and valid points, making out the case Sharma is optimistic of tourism not lie in sparing that India is now a more attractive doing well soon and to contribute to the “ destination, and even the domestic fiscal and social needs of the country. money, but in tourism may gain, as people opt to Ajay Bakaya, Executive Director, stay away from foreign trips, and look Sarovar Hotels and Resorts, says that spending it wisely. at destinations within the country. ‘falling rupee should have a positive Arjun Sharma, Managing Director, effect on hotel sales but will have a - Thomas Huxley Le Passage to India, a major player negative effect on the rising costs.’ in the industry, points out that the He expects the inbound to do ‘depreciating rupee will now stretch better than last year but is quick to ” 6 GLOBAL NEWS INDUSTRY SPEAK interface add that the rise may not be dramatic India.