British Airways Introduces Zero-Commission Policy

Author: 
Saleh Fareed, Arab News
Publication Date: 
Thu, 2007-11-01 03:00

JEDDAH, 1 November 2007 — British Airways’ landmark decision to reduce travel agents commission from five percent to zero across the Kingdom of Saudi Arabia comes into full effect today.

Having championed a zero commission policy in most Middle East markets, the UK carrier — which this year marks its 75th anniversary of Middle East services — is introducing the global selling concept which has been warmly received by the vast majority of Saudi Arabia’s travel agent community.

“We have already conducted one-to-one sessions with over 80 individual agents in Saudi Arabia to explain the implications of our decision,” said Paul Starrs, British Airways’ commercial manager, Middle East & Pakistan. “Many of the agents think zero commission is a brilliant idea because it will allow their customers to recognize the value-added services they offer.”

Certain quarters within the Kingdom’s travel agent network have been vocal in their support of the policy, with Kanoo Travel speaking out in favor of the airline’s decision to cut commission.

“We are quite happy about it because the remuneration is really between the travel company and the customer,” said Abdullah M. Abo Khamseen, executive general manager, Kanoo Travel.

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