The Impact of Airline Policies on Tour Operators

The recent changes in the policies of major airlines, particularly those in the Oneworld alliance, have had a significant impact on tour operators such as Tauck. These changes have made it increasingly difficult for tour and cruise companies to provide the same level of service, flexibility, and value to their customers.

Tour operator Tauck recently announced that its air desk has ceased booking flights with American Airlines and other Oneworld alliance carriers. This decision was made in response to new policies implemented by these airlines, which Tauck claims have made it nearly impossible for them to offer refundable airfares. The memo sent to travel advisors on May 16 highlighted the challenges faced by Tauck due to the policy changes within Oneworld airlines.

American Airlines, a major player in the Oneworld alliance, introduced stricter restrictions on cancellations and rebookings by tour operators and cruise lines on May 13. These changes include a $50 fee for cancellations made beyond the 24-hour booking window and limitations on churning, the practice of canceling and rebooking the same itinerary to avoid ticketing time limits. While one free churn is allowed per passenger name record (PNR), subsequent churns incur a $50 fee, up to a maximum of four charged churns per PNR ($200 maximum).

It is important to note that Tauck guests who had already booked flights with American or other Oneworld airlines before the policy changes on May 13 are not affected by Tauck’s decision to stop booking with these carriers. However, moving forward, Tauck will need to explore alternative airline options to ensure that they can continue to provide their customers with the level of service they expect.

The changing landscape of airline policies, as evidenced by the recent actions taken by American Airlines and other Oneworld alliance carriers, has had ripple effects on tour operators like Tauck. These policy changes have forced companies to reassess their partnerships and seek new solutions to meet the needs of their clientele. As the travel industry continues to evolve, adaptation and flexibility will be key for tour operators and airlines alike to navigate the challenges that lie ahead.

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