Karl Muller, Director, Canada for airline GSA AirlinePros, says that every now and then he is “ambushed by some comments or questions that are quite abstract regarding what a GSA is.” In this edition of Friday 5 Muller gives us the ‘GSA 101’, and talks about what’s coming up for AirlinePros this year, next year and beyond.
1. AirlinePros is a GSA for a wide assortment of airlines, from far-flung corners of the world. What airlines do you represent in the North American market?
“At this current moment, AirlinePros Canada represents and manages 12 foreign airlines, each with specific travel market niches and distinct revenue source profiles. The airlines we oversee here are: Aerolineas Argentinas, Air Astana (Kazakhstan), Air Namibia, AtlasGlobal (Turkey’s fastest growing regional carrier), Azul – Brazil, Cayman Airways, Flybe – UK, LAO, MIAT of Mongolia, Precision Airways of Tanzania, TAAG Angola & XL Airways of France.
“We also are the Canadian reps for Hotels.com’s B2B development/support for travel agent accounts. Our U.S. office cares for +50 foreign carriers.
“Our portfolio will grow soon with the addition of some exciting new international airlines we will introduce to the Canadian travel industry. Stay tuned!”
2. Even travel agents who have been in the industry for a long time may not be fully aware of what an airline GSA does. Can you give us an ‘Airline GSA 101’?
“I’m glad you asked. I’ll describe this as it relates to our sphere of activity.
“Anytime a foreign airline wants to start developing revenue/sales from a specific country or market, but don’t want to open their own office or hire ‘organic’ staff, they usually will appoint an official representative or GSA to commercially develop the market on their behalf.
“An airline GSA is comprised of staff that have deep travel industry/airline management and marketing experience, in addition to knowing the travel market-trends and how to help agencies with their airline booking needs or problems.
“AirlinePros is a top-notch airline management and distribution organization that will and can do the following for airlines that contract our services, which not all GSAs have structural capability for:
- Market the airline to the travel trade (advertising and awareness activities)
- Guide and assist the airline with their Canada BSP-IATA registry and formalization
- Managing airline BSP formalities and ADM/ACM reconciliations.
- Guide and assist the airline with activation of credit card services and GDS formalities in Canada
- Regulatory formalities that may encompass items such as the filing of fares and airfare analysis
- Develop and conduct interline accord discussion with partner airlines on behalf of our represented carrier.
- Represent the airline before embassies/consulates/chambers of commerce and tourism boards
- Develop a solid business plan for the airline indicating market potential, risks and opportunities
- Plan and execute sales visits to travel organizations, such as tour operators, retail chains, OTAs, TMCs and others. No real B2C activities or ticketing are within our focus.
- Provide agency tech/troubleshooting and BSP support if serious problems arise.
“AirlinePros can do much more than the specialized actions listed above and has helped many agencies operationally and commercially out of uncomfortable circumstances.”
3. AirlinePros has its global headquarters in New York City, with several regional offices across North America including one in Toronto, where you’re based. Can Canadian travel agents get in touch with the Toronto office and if so, what sort of services can the office provide for Canadian agents?
“Our Canadian staff (YUL/YVR/YYZ-based) is multilingual and ready to provide practical assistance wherever possible.
“Our main email for queries is: info@airlinepros.ca. We also have a webpage: airlinepros.com/canada/. As for myself, I’m at Kmuller@airlinepros.com.
“We can provide, as the official airline representatives, special commission agreements, net fares, group support and related commercial guidance relating to most of the carriers we have oversight for.
“In 2016 we commercially prepared and structured two important airlines we represented at that time for their new operations to Canada: TunisAir on the YUL-TUN route, and Xiamen Airlines on the YVR-XMN route.”
4. What are some common misconceptions about airline GSAs and what they do?
“Essentially a GSA is the main contact reference/point of consultation and ‘face’ of the airline represented in the marketplace. A GSA is the airline it represents, for all intents and purposes.
“Every now and then I am ‘ambushed’ by some comments or questions that are quite abstract regarding what a GSA is (as I frantically suppress the appearance of colourful metaphors that race through the back of my mind):
“A GSA is not a consolidator. AirlinePros does not commercially issue tickets to sell to agents.
“A GSA is not an obscure middleman dealing in airline tickets.
“I recall advising one large tour operator that had issued dozens of tickets on one of our represented airlines that they could claim commission – which they were not aware of and was well into the thousands of dollars.
“An important consolidator required a better selling conditions for their sub-agent base, so we had net fares loaded into their PCCs, and revenue development just soared from that point onwards.
“We have helped agencies with tech problems involving airfares and PNRs that involve our carriers.
“All of this comprises serious airline channel work by the GSA. Some airline staff here in Canada from other carriers have expressed amazement at the type and quality of tasks we carry out.
“Example: For one Latin American carrier that was struggling with sales in Canada in 2015 and 2016, within 90 days of AirlinePros assuming that representation, we increased their monthly revenue by 80% each month. A success story that is repeated with the other airlines we also manage here.
5. What’s on the horizon for AirlinePros through the rest of 2017 and into 2018?
“A few things, that’s for sure – and it all encompasses growth and extra airline support to agencies:
“We expect to be present at select travel events (B2B) marketing our carriers.
“AirlinePros will be introducing some new and exciting foreign airlines to our portfolio, and working with the airlines we represent to develop enhanced commercial policies. Also: enhanced agency support channel via our North America agency support section, located in NYC.
“The ‘goodies’ will keep on coming. We want our travel industry partners to be successful.
“My take-away point: the next time a travel manager/consultant or agency owner receives a call or email from your GSA, I encourage these to take the time to give attention just as seriously as they would if the manager or sales rep from their favourite carrier was reaching out to them. It may make the difference between extra revenue or losing out on unique commercial opportunities. Don’t lose out on that! Now, are my five minutes up yet?!”