’s growing pains show change in online travel retail’s growing pains show change in online travel retail

Moving from a flight-centric business model to that of a diversified online travel seller is proving to be a tough transition for Group.

For the problem is that agency fees for selling flights just aren’t at the same level they were at before. To make up there’s a need to add on ancillary products to improve margins.

“It’s true that bookings are becoming more commoditized and prices more uniform for stand-alone products. What matters is to differentiate and provide a balanced combination of bundled products, services and content,” said Chief Executive Fabio Cannavale. has realized that dynamic packages – where customers combine flights, and hotels together – is a much better bet.

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