Qantas will be updating its international commission structure for international flights.
The changes will be effective from 1 July 2022 to give the industry time to adapt and will see commission paid to travel agents for all Qantas international fares ticketed in Australia (excluding trans-Tasman) move from 5 per cent to 1 per cent.
This will be the first time Qantas has adjusted commission on international fares in more than 15 years and was flagged as part of the airline’s three-year COVID recovery plan. The changes form part of the work underway right across the Qantas Group to reduce costs by $1 billion each year.
Qantas will work with the agency community to develop ways to evolve their business models and grow again. This will also include collaborating with the Government and industry as travel bubbles emerge and working on digital health passes, all of which will benefit the industry in accelerating sales when international travel resumes.
It is expected this change will likely accelerate the growing industry trend towards a “fee for service” model that has already taken place in many markets overseas and among several agency chains in Australia. This compensates travel agents for the added value and bespoke service they provide customers beyond the logistics of booking, particularly for managing complex itineraries.
Qantas will work with its agency partners over the next twelve months ahead of the change as they adapt their own business models and support their recovery.
For more information view International Commission Structure FAQ's.
Ongoing commitment to the Qantas Distribution Platform
Our travel agents partners have a key role to play in supporting our mutual customers.
Qantas remains committed to ongoing investment in the Qantas Distribution Platform (QDP) to make it easier for the industry to service customers and provide new selling (and revenue) opportunities not currently available through traditional travel agent booking systems.
This QDP is designed to help the trade access a wider range of fares and customer offers that have traditionally only been available on qantas.com, including special offers for Frequent Flyers as well as new ancillary products and dynamic commission opportunities.
- Last year, Qantas extended its carbon offset program to the indirect channel, enabling Travel Agents to purchase carbon offsets for customers for the first time via the Qantas Distribution Platform.
- The Qantas Distribution Platform also now has the capability to distribute special price offers for Qantas Frequent Flyers and discounts on seat selection for multiple passengers, delivering greater reward and recognition for customers when they book in the indirect channel.
More features will be introduced in coming months, offering customers a more personalised service when they book through a travel agent. To find out when the capability to access these offers will be available for your Agency, contact your Approved Technology Partner.