CU-BSC.TTM-SEM-IV-Automation in aviation and tourism Sector-Second Draft

routes: Delhi-Frankfurt-Los Angeles, Delhi-Amritsar-Birmingham-Toronto, and Delhi- Dhaka-Kolkata-London. 8.2.1 Air India Services Air India operates the following services (at January 2005): Domestic scheduled destinations: Ahmedabad, Amritsar, Bangalore, Chennai, New Delhi, Goa, Hyderabad, Kochi, Kolkata, Kozhikode, Lucknow, Mumbai and Thiruvananthapuram. International scheduled destinations: Abu Dhabi, Al Ain, Bahrain, Bangkok, Birmingham, England, Chicago, Dammam, Dar es Salaam, Doha, Dubai, Frankfurt, Hong Kong, Jakarta, Jeddah, Kuala Lumpur, Kuwait, London, Los Angeles, Muscat, Nairobi, New York, Osaka, Paris, Riyadh, Salalah, Shanghai, Seoul, Singapore, Tokyo and Toronto. 8.2.2 Air India Passenger Operations Air India currently caters approximately 44 destinations throughout the world. It also has code-sharing agreements with many international airlines to expand coverage. The airline ferried 3.39 million passengers during the financial year ending March 2003 and achieved a load factor of 71.6 per cent, substantially higher than the 66 per cent load factor recorded in the preceding year. The airline strives to achieve the best in-flight standards and receives a 4- star rating for cabin safety procedures from skytrax airline quality review. Three classes of seats are offered - First class, Executive class and Economy class. For first-class passengers, flat-bed seats are available. The airline also has a frequent flyer programme, which it offers both on its own and in partnership with many of its alliance partners. In select Indian destinations, the airline also provides luxurious lounges in its ground terminals for First and Executive class passengers. Since June 1, 2003, Air-India has had a duty-free sale called ‘sky bazaar' on board its flights. 8.2.3 Air India Cargo Operations With a Douglas DC-3 Dakota aircraft, Air-India began cargo operations in 1954, making it the first Asian airline to do so. Currently, the airline offers regular Cargo flights to a variety of international locations. On select destinations, the airline also has ground truck transportation arrangements. An active member of IATA, Air-India carries all types of cargo including dangerous goods (hazardous materials) and live animals, provided such shipments are tendered according to IATA Dangerous Goods Regulations and IATA Live Animals Regulations, respectively. Air India has created an indigenous inventory management system for cargo handling and import/export services at its Mumbai warehouse. This takes care of all cargo management, supports Electronic Data Interface (EDI) messages with Indian Customs, and replaces existing paper correspondence between Customs, Airlines, and custodians to a large extent. 8.2.4 Air India Awards and Recognition 151 CU IDOL SELF LEARNING MATERIAL (SLM)

The Airline entered the Guinness Book of World Records - The largest evacuation by a civil airliner, involving evacuation of over 111,000 people from Amman to Mumbai - a distance of 4,117 km, by operating 488 flights in association with Indian Airlines, during August 13 - October 11, 1990, lasting a total of 59 days. The operation was carried out during Persian Gulf War in 1990 to evacuate Indian expatriates from the region. The airline received The Mercury Award for the years 1994 and 2003, from the International Flight Catering Association, for finest in-flight catering services. Air India's security department became the first aviation security organisation in the world to acquire ISO 9002-1994 certification(January 31, 2001). The Department of Engineering, Air India, has obtained the ISO 9002 for its Engineering facilities for meeting international standards. Trivia The Indian Prime Minister's flight operated by Air India is called AI 001. 8.3 HISTORY OF AIR TICKETING \"This is the future of the industry.\" That's what Lufthansa chairman and CEO Carsten Spohr said during the Global Business Travel Association's European conference in Frankfurt in 2015. That year, Lufthansa Group imposed a surcharge on tickets purchased through global distribution systems, breaking from full content participation in the GDS distribution model and motivating travellers and agents to book direct on Lufthansa Group websites. There were few carveouts on that surcharge and plenty of consternation that Lufthansa had not fully accommodated corporate travel interests before forcing the move. As with many dynamics in managed travel, there's a significant backstory. 1960s: Creating a Computer Reservation System IBM created SAGE, a data processing system for the US air defence system, in the mid- 1950s. According to legend, an accidental meeting between an IBM salesperson and then- American Airlines CEO C.R. Smith on an American Airlines flight culminated in a pitch for IBM to construct an airline reservations system based on SAGE technology. Smith understood the opportunity and partnered with IBM to introduce Sabre in 1960. By 1964, Sabre could process 7,500 reservations per hour on two IBM mainframes connected to 1,500 terminals across the United States and Canada. An American Airlines ticketing agent at each terminal could browse the airline's flight inventory, make reservations, and receive confirmations in seconds. The error rate was nearly zero. They also could access a passenger's name, itinerary and contact information—the origin of today's passenger name record, or PNR. Sabre instantly became a competitive advantage for American. Other carriers realized they'd better follow players like United and Trans World Airlines worked with partners on customized systems with ambitious features like the ability to access 3,000 terminals and 152 CU IDOL SELF LEARNING MATERIAL (SLM)

incorporating management information, flight planning and market research, but neither carrier realized its vision. IBM introduced a solution for midsize carriers in 1964, with a standardized airline computer reservation system called PARS. Initial customers included Delta, Continental, Braniff, Northeast and Western. Eastern Air Lines used PARS as too but collaborated with IBM on the adaptations. In 1965, Eastern launched System One. TWA and United received the memo, shelved their initiatives, bought Eastern's software, and hired IBM to deploy it. In 1971, United improved System One to develop Apollo. The following year, American implemented a version of Sabre underpinned by Eastern's System One. By the end of 1972, nine out of the 10 biggest U.S. carriers had a CRS based on PARS. 1970s: Travel Agency Contracts & Airline Deregulation All of the main carriers were experimenting with bringing the CRS to travel agencies by the early 1970s. Travel agents examined their books manually for flight schedules and cost information at the time, then called airline ticket agents to inquire about seat availability and reservations. Airlines, platform providers and the American Society of Travel Agents put forth a major effort to create a unified CRS dubbed the Joint Industry Computerized Reservation System, but it fractured as the group established commercial terms for participating airlines. United, the largest airline and thus the carrier that would have shouldered the most financial burden under the JICRS, announced in 1976 its intent to sell agency access to its own CRS. American adopted similar plans and installed its first terminals in 130 travel agency offices the same year. TWA and Eastern jumped in the mix soon after. Commercial terminology and CRS providers A CRS supplier would offer the agency with hardware, installation, software, and training as part of an exclusive, long-term contract. They paid a usage-based monthly subscription fee. The agency had to create more bookings on the system to reduce the monthly charge. Travel agencies, however, wanted access to broad airline content, not just one airline. CRS providers saw the opportunity to open their content platforms to other carriers. For noncompeting airlines, CRSs established co-host agreements, which allowed the co-host airline to pay the CRS for favourable placement in content displays. Along with biasing fees, the CRSs also charged co-hosts a booking fee for each reservation made on the system. CRSs did not offer co-host agreements for competing airlines. Rather, they charged competitors higher booking fees, without advantages. Airline deregulation. The landscape in which CRS providers operated changed dramatically in 1978 when the U.S. government lifted restrictions on fares, route coverage and market entry. Airlines could fly wherever they wanted and charge whatever they wanted for flights, and airfares and schedules could fluctuate monthly, weekly or even daily. Passengers now demanded seats at the best prices. Travel agents needed real-time access to airfares and flight 153 CU IDOL SELF LEARNING MATERIAL (SLM)

schedules to keep up with consumer requests. Airlines began transferring the majority of their ticket distribution from city ticket offices to travel companies in order to save money. A CRS became necessary for a travel agency to conduct business, generating a profitable market for Sabre, Apollo, and other CRS providers. 1980s: CRSs Regulated The significant capital required to build and maintain a CRS combined with lengthy, exclusive travel agency contracts resulted in an air distribution market dominated by five CRS providers; United and American jointly controlled nearly three-quarters of total agency revenue, according to the widely cited Department of Justice's 1985 Report to Congress on the Airline Computer Reservation System Industry. Travel agents sold 60 percent of all airline tickets in 1983, and 90 percent of those sales were done using a CRS. As the importance of CRSs in distribution grew, CRS owners took advantage of their position, taking advantage of agents' proclivity to book trips on the airline that provided the CRS. CRSs have been accused by competitors of using various measures to maintain their edge. They claimed CRSs boosted their own flights on agent terminal displays, delayed content loading times for competing airlines and delayed schedule updates for competing airlines to make the content from those airlines seem less reliable. Competitor airlines also called foul on the higher booking fees they paid. Travel agencies claimed that exclusivity clauses in their CRS contracts bound them to a single system for an inordinate amount of time. They mentioned excessively punitive penalties for using alternative CRSs, conditions requiring high system usage, and agency commissions related to bookings on the contracted CRS as examples. They also expressed dissatisfaction with the time and effort required to book a flight with a non-CRS owner. The Civil Aeronautics Board, which regulated the airline industry at the time, investigated and in 1984 issued rules to regulate CRS providers’ relationships with airlines and with travel agencies. The rules banned display bias, functionality bias and discriminatory booking fees. CRS providers could no longer tie travel agent commissions to use of their system. Agency contract terms could not exceed five years and minimum-use requirements could not preclude agencies from subscribing to other CRSs. The rules were ineffectual in practise. Nearly a dozen airlines sued American and United in November 1984, alleging antitrust violations. CRSs were scrutinised by a Congressional subcommittee, the General Accounting Office, the Department of Transportation, and the courts throughout the rest of the decade, with the majority of them finding undue market power concentration. In spite of the controversy, over 95 percent of travel agents subscribed to a CRS in 1989, and 75 percent of airline tickets were booked through a travel agency, according to the DOJ. 1990s: Global Distribution Systems Emerge & the Internet Changes Everything 154 CU IDOL SELF LEARNING MATERIAL (SLM)

In 1992, the DOT addressed gaps in the Civil Aeronautics Board's 1984 rules. The DOT compelled CRS providers to share service enhancements to their systems with other airlines that were participating in the CRS. It also compelled the airlines that ran CRSs to participate in competing CRSs, as well. CRS providers' contracts with travel agencies had to permit agencies to purchase their own equipment and use any given terminal to access more than one system. The DOT banned minimum-use clauses and required CRS providers to offer agencies three-year contract terms. Five years later, the DOT amended the rules again to prohibit CRS providers from including \"parity\" clauses in their airline contracts. These clauses required airlines to give whatever inventory they shared with one CRS provider to others, as well. At the same time, airlines were divesting their ownership in CRSs. Sabre launched an IPO in 1996 and became fully independent of American Airlines in 2000. Galileo, which had merged with Apollo, went public in 1997. Amadeus, which had absorbed System One, went public in 1999. CRSs gained more influence as independent and increasingly global entities. Major airline mergers, acquisitions and bankruptcies formed mega carriers that expanded into global markets. With routes covering the world, CRSs transformed into today's global distribution systems: Amadeus, Galileo, Sabre and Worldspan. Corporate travel agencies that specialized in complex and often international business travel itineraries depended heavily on GDSs to serve their clients. The internet. The internet was forming as a backdrop to this transformation. GDSs gave travel companies access to the internet as well as the tools they needed to create and maintain their own websites. Consumers were also addressed directly by GDSs through new online travel agencies: Sabre launched Travelocity in 1996, and Worldspan supplied content for Microsoft's Expedia beginning the same year. 2000s: Alternative Channels, GDS Deregulation & New Business Terms GDSs weren't the only ones finding new opportunities via the web. Online commerce gave airlines an avenue to bypass GDS booking fees and to pursue customers directly rather than through agencies. Carriers developed websites and gave consumers access to schedules and discounted web fares. They also invested in search engines like Orbitz and Hotwire. Fare Logix, G2 Switch Works, ITA Software, and Travel fusion were among the third-party technology developers who supplied travel agencies and carriers direct connect technologies that routed content directly from airlines to the agencies. GDS new entrants, or GNEs, were the name given to these businesses. GDS market share fell significantly for the first time in this internet-powered environment, but GDSs diversified their products and services. They began supplying IT tools to airlines, as well as tech infrastructure and content to OTAs. Critical to their growing concentration of 155 CU IDOL SELF LEARNING MATERIAL (SLM)

corporate travel clients, GDSs also invested more heavily in corporate online booking tools. Sabre acquired Get There in 2000, and it launched corporate OTA Travelocity for Business in 2003 as an online competitor to its corporate travel agency clients. Amadeus acquired e- Travel in 2001, gaining a corporate online booking tool; it now plans to sunset in favour of a newer tool, Cytric. Given the growing competition and the fact that airlines were divesting their ownership in CRSs, the DOT eliminated some of its CRS regulations and let the rest expire. Contracts with GDS suppliers for access to travel inventory were still in place, but the dynamics had shifted. GDS providers began giving signing bonuses and incentive payments to agencies based on the amount of volume they could push via the GDS channel. On the airline front, content parity—yes, the contract provision that was outlawed in 1997—became the norm in exchange to reduced booking fee between GDSs and large, legacy carriers. The perception of outsize booking fees remained a frustration for carriers, on the grounds that the hefty charges subsidize GDS incentives to travel agencies and don't provide enough distribution value. Strategy pivots from the likes of low-cost carrier JetBlue contradicted that claim. The former GDS opponent re-joined Sabre, Galileo and Worldspan in 2006 and in 2007 strongly underscored the value of the GDS channel for its access to high-yield business travellers, for benefits of scale and for better interlining with codeshare partners. These benefits, along with reliable and efficient technology connections in a complex world, continue to be the GDS value proposition. 2010s: Direct Connects & Lufthansa's Break By the late 2000s, however, a new issue had grabbed the spotlight: the lack of options provided by GDSs for airlines to merchandize to customers and differentiate their products. After 9/11, many airlines dropped their meal services, and in 2005, Delta began selling snack packs and meals in economy class. Then came checked bag fees; ultra-low-cost carriers had introduced them early in the millennium, but American Airlines picked them up in 2008, introducing the first charges for the first checked bag, and other legacy carriers quickly followed. In 2010, American experimented with a fee for passengers reserving the first few rows of economy class. The carrier dubbed them Express Seats and bundled them with priority boarding. Delta followed with new fare families in 2012, including stripped-down Basic Economy fares in certain markets to compete with LCCs. Revenue from ancillary fees skyrocketed. According to Idea Works, which measures ancillary sales annually, ancillary airline fees reached $2.29 billion globally in 2006. By 2008, it had grown to $10.25 billion, with only a small portion of that going through the GDS. According to the organisation, ancillary airline revenue was $82.2 billion globally in 2017. The ability to grow that revenue and target the right customers with rebundled offers has become a constant drumbeat behind airline strategy. GDSs have made strides in 156 CU IDOL SELF LEARNING MATERIAL (SLM)

accommodating merchandizing efforts, but the persistence of legacy technology and green screen interfaces and the lack of rich visual content and options to recombine ticket attributes has challenged the channel and the agents who access it. Airline websites, on the other hand, have transformed the consumer shopping and booking experience. Some carriers have turned to GNEs as a viable way to bypass the GDS and incorporate richer, more flexible content with systems based on extensive markup language, or XML. The industry has recently coalesced around XML technology standards of the International Airline Transportation Association's New Distribution Capability, but GDS providers offered considerable opposition to those who sought other pipes for transmitting content between airlines and travel programs. American attempted to bring direct connect technology developed by Farelogix to Expedia and Orbitz in 2011, the latter of which was partially owned by Travelport. Orbitz refused the connection, and American pulled its content off the OTA, which at the time included corporate travel agency Orbitz for Business. Expedia also removed American's content, and Sabre biased the displays of American content on agency screens. American, Sabre and Travelport settled privately in court. Four years later, Lufthansa Group abandoned GDS content parity agreements in favour of a direct distribution plan that included a 16-euro booking fee on GDS tickets. Despite the uproar, the airline continues to pursue this strategy and has established agency websites to assist corporate business. Major corporate clients Siemens and Volkswagen adopted the direct connect in 2016. Lufthansa has said it intends to offer \"tailor-made\" products to corporate clients that adopt such connections. Will the GDSs survive? To answer that, look behind the curtain at Lufthansa Group's technology partner. There you'll find Amadeus IT Group, the IT solutions sibling of the Amadeus GDS. 8.4 FLIGHT BOOKING PROCESS When a person plans a flight, it takes less than 15 minutes from the time they begin filling out the search form to the time their ticket arrives in their inbox. To issue a ticket and ensure that the correct person boards the plane, the airline must go through a series of actions and systems. The flight booking process is described in this article, along with the main processes that support it. How does flight distribution work? Let’s start at the very beginning. And in this case, it’s the way airlines distribute their tickets. There are four main types of players in this process:  airline  inventory distribution companies (GDSs, ATPCO, OAG, Innovata)  inventory retailers (airline’s website, OTA, metasearch engines, traditional agencies) 157 CU IDOL SELF LEARNING MATERIAL (SLM)

 airport Today, when a traveller or a travel agent books a flight, they have a choice: Use either an indirect or direct booking channel. The first one includes OTAs, like Expedia or Priceline, GDS, if an agent books for the traveller, or metasearch engines, like Kayak or Skyscanner. The second option is a direct booking from an airline website. The choice of booking channel – indirect or direct – determines the slight difference in the process. 1. Flight search Indirect channel: OTA, GDS, metasearch engine. A user looks for the right flight via a flight booking engine on a third-party website or via a GDS terminal. As the flight is chosen, a third-party sends the request to the GDS, which accesses the airline’s CRS. Direct channel: Airline eCommerce website. If a traveller books directly from the provider, the process skips the whole GDS part and goes straight to the CRS. 2. Reservation management CRS’ basic functions are inventory and reservation management, passenger name record (PNR) generation, payment gateway integration, customer information management, booking and cancellation management, refund management, and email notification. While booking a flight, a customer can select a seat right away, but as a rule, airlines charge an additional price for this. Otherwise, the seat can be selected during online check-in or be randomly assigned. After a user pays for the ticket, the system generates a passenger name record (PNR). What is PNR (Passenger Name Record)? 158 CU IDOL SELF LEARNING MATERIAL (SLM)

Passenger name record (PNR) is a personal code that contains a traveller’s information and itinerary. Depending on the booking source, it’s created either by an airline’s CRS or a GDS. The PNR is generated based on a passenger’s personal information, contact details, ticket number, and itinerary. An airline uses a PNR to easily track the passenger’s record and exchange information between different airlines. We will discuss its use a little bit later. Ancillary booking Ancillary revenue reached $65 billion worldwide in 2018, remaining a major source of airline revenue, especially for low-cost carriers. Additional service booking and distribution are handled via Merchandising Systems that we mentioned earlier. 3. Choosing additional services Ancillary services include an ability to reserve a particular seat, additional baggage, extra legroom, or in-flight meals. When a traveller adds ancillary services during the booking, a Merchandising System generates special service request number (SSR). It’s a message to the supplier with a request for any ancillary service that’s usually included in the ticket. Merchandising Systems are in charge of dynamic pricing and discount offers in addition to marketing additional services. Some systems also offer services like updating the ticket's date and name. Amadeus' Global Merchandising System is an example of such a system. It can retrieve and amend a passenger's PNR for a cost. 4. Using loyalty programs Airline merchandising systems are frequently in charge of loyalty programme operations as well. A traveller who is a member of a frequent-flyer or airline loyalty programme can utilise the miles or points earned on each flight to purchase additional services from the airline. These points can be redeemed for discounts or privileges, like as a business class upgrade. Depending on the airline, customers can either log in via their accounts while purchasing tickets directly from an airline website or get a loyalty program participant’s number to use for booking from a third-party. Also, these systems keep a particular number of places for frequent flyers reserved in CRS. Fares and payment To receive a ticket with a PNR (sometimes called a booking confirmation number), a traveller must pay the fare. A fare is the amount of money a person must pay for the seat, taxes, and third-party service fee if any. The fare can also include a charge for ancillary services. The allocation of fees between airlines, GDSs, OTAs, and customers works the following way: Airlines pay GDSs for distribution GDSs then pay OTAs to close the sale Travel agents booking from the GDS terminal pay a fee for using its service 159 CU IDOL SELF LEARNING MATERIAL (SLM)

Customers booking via an OTA sometimes pay a service fee If it’s direct booking, a customer pays the airline’s payment gateway directly and as soon as the payment is processed, a CRS is notified and generates a booking confirmation number. If the booking is made via OTA or metasearch website, they use their own payment gateway. 5. Payment processing A payment gateway is a third-party service that not only processes all financial operations between customer and merchant, it also ensures data safety. The main operations of a payment gateway are authorization (checking that a user has enough money to pay), capture (sending the funds to the merchant’s account), sale (regular payment for purchases), a refund (money return), and void (a refund for not-captured funds). The benefit of this service is that a consumer can book and pay in one location, but a significant downside is that all cancellation and refund processes are handled by the OTA rather than the CRS. Another drawback for travellers is that when they book through OTAs, they must pay an extra cost. As soon as the payment was processed by the payment gateway, the airline’s CRS can generate a booking confirmation number and issue an electronic version of a ticket. Let’s take a look at this process. Ticketing The flight ticket is an agreement between a traveller and a carrier. It makes ticketing a key part of this process. Obviously, there’s no chance to get on a flight if there’s something wrong with a ticket, like an incorrect name entered. 6. Personal name record (PNR) generation Ticketing is a different concept from booking. Ticketing means that the seat is paid for, it won’t be taken, and it belongs to a particular person. A passenger name record (PNR) ensures this. It's a six-digit code on an e-ticket that allows airlines to confirm the reservation. An interline booking occurs when a journey comprises of multiple flights with different airlines. Airlines develop an interline commercial agreement for code sharing flights in such instances. In accordance with this arrangement, many airlines issue a single ticket with a single PNR, which is issued by a third party. 7. Super PNR generation Sometimes an airline issues a single PNR for a segmented flight known as a super PNR. In this case, the system generates several PNRs that are included in one. Each number in this code represents details of the seat: class, ancillaries included, etc. After the ticketing, the traveller receives a booking confirmation from the OTA or airline with their name, schedule, airport IATA codes, and the price of a ticket, as well as an e-ticket with a PNR reference from an airline. At the next stage, a traveller would need an e-ticket. Airline booking process steps 160 CU IDOL SELF LEARNING MATERIAL (SLM)

With some basics covered, let’s closely look at what happens between the moment of reservation via a travel platform and baggage reclaim at the destination airport. The whole process of this traveller/airline interaction can be divided into several major steps:  flight search,  flight booking,  ancillary booking,  using frequent flyer miles and points,  payment processing,  ticketing,  check-in and boarding, and  baggage handling and reclaim Flight search Today, a traveller can find a flight directly on an airline website or via indirect channels — OTAs, like Make My Trip, Ease My Trip, Yatra, or IRCTC Tourism or metasearch engines like Ixigo or Skyscanner. Depending on the type of retailer, the search process will slightly differ in terms of technologies and results. Via airline website. The website sends a search request directly to the airline’s CRS and then displays the list of available flights to the user, skipping the whole GDS part. Yet, more often than not travellers want to compare fares from different carriers or need to book a complex itinerary operated by more than one airline. Obviously, they will opt for third-party platforms that aggregate offers relevant to a passenger’s query from multiple sources. Via OTAs. Online travel agencies get flight information from  GDSs,  air consolidators, which negotiate with carriers for bulk or net fares and then resell them to travel distributors, andpartner airlines.  Via metasearch engines. Metasearch engines sift through deals across multiple OTAs, full-service carriers, and low-cost carriers (LCCs) which typically don’t distribute their inventory via GDSs. As a result, the visitors will get the widest possible range of flights available in the market.  On the dark side, a classical metasearch engine comes without booking functionality. Instead, it redirects travellers to a partner platform to make the next logical step. Flight booking 161 CU IDOL SELF LEARNING MATERIAL (SLM)

While OTAs and metasearch engines are the preferred option at the search stage, the majority of travellers go to airline websites when it comes to booking. There are two main reasons for this. First, when purchasing seats directly from the airline, it will be simpler, even from the technical perspective, to make changes to the reservation or cancel the flight. Second, travellers get access to a broader selection of ancillaries than OTAs typically provide. No matter the source of booking, the airline CRS has to check if the flight product in question is still available for reservation. Then, it replies to the travel retailer with the status code HK (“holding confirmed”.) The alternative answer is UN, meaning that the carrier is unable to satisfy the request. Another task of the CRS at this step is to create a PNR. In the course of booking, a retailer — be it an OTA or airline website — collects personal data such as a passenger name and contacts and redirects it to the CRS. Once all mandatory details are gathered, the system generates a PNR number that works as an electronic address of the file in the database. Ancillary booking Ancillary revenue remains a major source of airline revenue, especially for low-cost carriers the list of additional services includes seat selection, excess baggage, extra legroom, or in-flight meals. A traveller typically chooses ancillaries within the course of flight reservation. However, if purchasing the journey directly from the airline, extras can be added later. Passengers may access their bookings via the carrier’s website and make changes to them, using the PNR number. In any scenario, the information on wanted ancillaries gets to the CRS in the form of special service request (SSR) codes, introduced by IATA. Each code contains four characters and is associated with a particular extra. Some examples of SSRs are:  EXST — for extra seat,  KSML — for kosher meal,  LSML — for low-salt meal, and  PETC — for animals in the cabin Using frequent flyer miles and points Members of a frequent-flyer or airline loyalty program can use earned miles or points accumulated from previous flights for purchasing extra services from airlines. These points can be exchanged for discounts or benefits, like upgrading to business class. To earn customer loyalty, CRSs reserve a particular number of places for frequent flyers. 162 CU IDOL SELF LEARNING MATERIAL (SLM)

Passengers can either log in via their accounts while purchasing tickets from an airline website or get a loyalty program participant’s number to book from a third-party. Payment processing Intention to fly must be eventually backed by money. In other words, passengers have to pay the fare for use of a seat plus taxes and the cost of ancillaries (if any.) The financial operations between passengers and low-cost carriers can be performed via payment gateways — third-party services that not only process transactions but also ensure data safety. Yet, if full-service carriers, GDSs, and OTAs are involved, things become far more complicated. In this case, money must flow through IATA’s payment processing mechanism called the Billing and Settlement Plan (BSP) or its US analogue, Airline Reporting Corporation (ARC.) Ticketing Ticketing and booking are two separate processes. Booking just holds the seat on the plane. Ticketing means that the seat is paid for and the passenger has the right to take it during the flight.There is a certain time lag between these steps, even if a traveller pays for the trip immediately, as most OTAs and LCCs require. It usually takes up to three working days to verify payment details and finalize money transmission. To issue an e-ticket — or individual electronic receipts linked to the PNR — the company must be certified by the above-mentioned BSP and ARC. Not all air travel retailers can afford this. Instead, they ticket flights via accredited partners — like big OTAs, air consolidators, or host travel agencies. And what if a trip consists of several flights operated by different airlines? For such cases, carriers strike a special commercial agreement called interlining and issue a single ticket covering all segments of the itinerary. Also, the Super PNR is created to link pieces of the journey in one record. Check-in and boarding Here we deal with the airline’s DCS or the departure control system. This module of the PSS is connected to the CRS and airport devices like self-check-in kiosks, airport agents’ software, baggage drop, and even immigration control. The DCS processes all check-in and boarding-related procedures, which starts with ticket validation. Also, this system is responsible for entering customs and border security reservation, as well as aircraft weight optimization and cargo handling. During check-in, a traveller must provide their PNR and name so that the system can match it with ones stored in the CRS and assign a seat. This procedure slightly differs online and offline. Online check-in. online check-in usually becomes available 48 hours before the flight, but it depends upon the airline. A traveller enters details from an e-ticket at an airline website or an 163 CU IDOL SELF LEARNING MATERIAL (SLM)

app and gets access to an aircraft seat map to choose a particular seat. If a user doesn’t select it, the system randomly assigns a free one and issues an electronic boarding pass. The same principle works for check-in kiosks. Airport check-in. In this scenario, a person brings an e-ticket to the airport agent at the check-in counter, so that they can enter the details and reserve a seat on a seat map. After the check-in, the departure control system generates a boarding pass that finally entitles passengers to get on a plane. It can be printed off or just downloaded to the mobile phone. The document contains a QR code that works as a unique link to the traveller’s flight information. As the passenger proceeds to the airplane, a QR code is scanned and PNR status changes from “checked-in” to “boarded” and, finally, to “flown.” Baggage handling and reclaim A plane has landed at the destination point, and it seems like this is the end of a journey – unless a passenger’s baggage is lost. To avoid this, the airline’s DCS generates and prints out bag tags with ten-digit numeric codes, also represented as a barcode. The airport’s baggage handling system scans these barcodes to sort and track the baggage. At the same time, the codes appear in IATA’s baggage tracking system called WorldTracer. Any passenger can check the status of their traveling property by entering their last name and the ten-digit code assigned to the bags. Since there are no ticket agents anymore and you don’t need to call them to reserve a paper ticket, today’s flight booking pipeline is considered to be simpler than before. But still, a single booking requires a number of different operations, all bound to one another. Most of these processes remain overcomplicated by numerous connections to different services, systems, and distribution channels. As innovations are adopted by both airports and airlines quite slowly, there still are GDSs and multiple airline flight booking APIs to ensure seat, ancillary, and fare distribution. Today's flight booking process is believed to be simpler than before because there are no ticket agents, and you don't need to call them to reserve a paper ticket. Even so, a single booking necessitates a number of distinct activities, all of which are interconnected. Because of the multiple links to various services, systems, and distribution channels, the majority of these operations remain overly difficult. As innovations are adopted by both airports and airlines quite slowly, there still are GDSs and multiple airline flight booking APIs to ensure seat, ancillary, and fare distribution. 8.5 SUMMARY  Air India traces its roots back to October 15, 1932, when its founder, J. R. D. Tata flew a single engine De Havilland Puss Moth registered VT-ADN carrying air mail 164 CU IDOL SELF LEARNING MATERIAL (SLM)

(postal mail of Imperial Airways) from Karachi's Drigh Road Aerodrome to Bombay's Juhu Airstrip via Ahmedabad.  Sabre ran on two IBM mainframes connected to 1,500 terminals across the U.S. and Canada and by 1964 could process 7,500 reservations per hour.  By the early 1970s, all the major carriers experimented with bringing the CRS to travel agencies. At the time, travel agents manually checked their books for flight schedules and fare information, then called airline ticket agents to inquire about seat availability and reservations.  In 1983, 60 percent of all airline ticket sales were made by travel agencies and 90 percent of those sales were made using a CRS  In 1992, the DOT addressed gaps in the Civil Aeronautics Board's 1984 rules. The DOT compelled CRS providers to share service enhancements to their systems with other airlines that were participating in the CRS  By the late 2000s, however, a new issue had grabbed the spotlight: the lack of options provided by GDSs for airlines to merchandize to customers and differentiate their products.  When a person books a flight, less than 15 minutes pass between their starting to fill in the search form and a ticket appearing in their mailbox. From the airline side, it involves many events and systems to issue a ticket and make sure that the right person will board the plane.  The flight ticket is an agreement between a traveller and a carrier. It makes ticketing a key part of this process.  Sometimes an airline issues a single PNR for a segmented flight known as a super PNR. In this case, the system generates several PNRs that are included in one.  Since there are no ticket agents anymore and you don’t need to call them to reserve a paper ticket, today’s flight booking pipeline is considered to be simpler than before  As innovations are adopted by both airports and airlines quite slowly, there still are GDSs and multiple airline flight booking APIs to ensure seat, ancillary, and fare distribution. 8.6 KEY WORDS  Tourism Activities related to persons travelling to and staying in places outside their usual environment for not more than one consecutive year for leisure, business and other purposes. 165 CU IDOL SELF LEARNING MATERIAL (SLM)

 Passenger name record (PNR) is a personal code that contains a traveller’s information and itinerary. Depending on the booking source, it’s created either by an airline’s CRS or a GDS. The PNR is generated based on a passenger’s personal information, contact details, ticket number, and itinerary  Air Cargo They are the goods transported by aircraft. It may contain anything ranging from mails to freight. There are different types of transportation such as passenger, cargo and combi  An Online Reservation System is software you can use for managing reservations for your service. Be it a pool, fitness centre, gym, yoga studio, or a parks & recreation centre an Online Reservation System allows all kinds of service businesses to accept bookings and appointments online and manage their phone and in-person bookings with ease.  Deregulation is the reduction or elimination of government power in a particular industry, usually enacted to create more competition within the industry.  Ancillary Booking In the airline industry, ancillary revenue is generated by a large number of activities that include „a la carte” services, frequent flying miles to airline partners, commission from booking hotels, activities and services that increase the yield revenue for airline further than the simple transportation of the passenger from one point to another (the simple acquisition of the ticket), providing sufficient options for passengers and increasing profitability for airlines.  A loyalty program is a marketing strategy designed to encourage customers to continue to shop at or use the services of a business associated with the program. Today, such programs cover most types of commerce, each having varying features and rewards schemes, including in banking, entertainment, hospitality, retailing and travel 8.7 LEARNING ACTIVITY 1. Make a drama/ Play on how tickets are booked during the past 4 decades with emphasis on aviation industry ___________________________________________________________________________ ___________________________________________________________________________ 2. Discuss the pros and cons of booking a flight ticket at Travel agent and personally in a Travel website 166 CU IDOL SELF LEARNING MATERIAL (SLM)

___________________________________________________________________________ ___________________________________________________________________________ 3. Check rate comparison websites of flight tickets and how well do they work in future days ___________________________________________________________________________ ___________________________________________________________________________ 4. Prepare a report on Ancillary Booking charges that can be booked in an airport ___________________________________________________________________________ ___________________________________________________________________________ 5. Debate on Flight Distribution System in the contemporary times ___________________________________________________________________________ ___________________________________________________________________________ 8.8 UNIT END QUESTIONS A.Descriptive Questions Short Questions 1. What is Ancillary Booking in Aviation? 2. Write about Payment Processing in Airline Ticket Booking? 3. How to create Computer Reservation System? 4. Explain how internet has changed the face of Ticket Booking? 5. What are alternate channels and GDS regulation in Aviation? Long Questions 1. Write about Air India Passenger Operations and Cargo Operations? 2. Describe the history of Ticketing Process in 1960s and 1970s 3. Explain about how tickets are booked in Airlines in 1980s and 1990s 4. How Global Distribution System and Internet has played a major role in booking of Airline Tickets in the last 20 years? 5. Describe the Flight Booking Process with the help of a diagram? 6. Explain the History of Ticketing Process over the years with the introduction of Computerised Reservation System? 7. Write about Travel agency contract and Airline Regulation? 167 CU IDOL SELF LEARNING MATERIAL (SLM)

8. Briefly describe the regulation of CRS in 1980s? 9. How did the Emergence of Global Distribution System has impacted Airline Booking? 10. Describe how availability of Internet to common people has changed their Airline Ticket Booking habits? B.Multiple Choice Questions 1. What is the name of Air India’s frequent flyer program called? a. Garuda Miles b. BIG c. Flying Returns d. Spice Club 2. The code for Air India Cargo is a. 091 b. 097 c. 092 d. 098 3. Air Sahara was merged into which of the following Airlines? a. Air India b. Jet Airways c. Kingfisher Airlines d. Spice Jet 4. Why do Indian Low-Cost Carriers do not use Global Distribution System in ticket booking? a. GDS exempted low-cost carriers to work with them 168 CU IDOL SELF LEARNING MATERIAL (SLM)

b. To save cost by avoiding booking fee c. They need to meet certain criteria d. Government had put them on hold 5. Government of India has approved privatisation of Air India in which year a. 2017 b. 2018 c. 2019 d. 2020 Answers 1-c, 2-d, 3-b, 4-b, 5-a 8.9 REFERENCES Reference Books • https://marketing.expertjournals.com/23446773-507/ • https://thisismyindia.com/air-line/airindia.html • http://www.cyraxx.de/stuff/zenon/Auto_Ticketing_Manual.pdf • https://www.academia.edu/31139046/Amadeus_Basic_Reservation_and_Ticketing_M anual Websites • https://moneywise.com/life/travel/airline-prices-fell-50-and-nobody-noticed • https://www.businesstravelnews.com/Research/Distribution/A-Brief-History-of-Air- Travel-Distribution • https://www.altexsoft.com/blog/engineering/flight-booking-process-structure-steps- and-key-systems/ 169 CU IDOL SELF LEARNING MATERIAL (SLM)

UNIT 9TYPES OF TICKET 170 STRUCTURE 9.0 Learning Objectives 9.1 Introduction 9.1.1 Issue of Air Ticket 9.1.2 Manual form of Ticket 9.2 Classification of Air Ticket 9.2.1 Types of Class and Ticket in Airlines 9.3 Open Airline Tickets 9.4 Off Premise Transitional Automated Ticket 9.5 e-ticket vs i-ticket 9.5.1 E-Tickets in Airline Industry 9.5.2 E-Ticket Limitations 9.5.3 IATA mandated transition 9.6 Voids, Exchanges and Refunds 9.7 Summary 9.8 Key Words 9.9 Learning Activity 9.10 Unit End Questions 9.11 References 9.0 LEARNING OBJECTIVES After studying this unit, students will be able to  Describe about different types of Tickets  Evaluate about Paper Ticket and e-ticket  Explain details of Automated Ticket CU IDOL SELF LEARNING MATERIAL (SLM)

 Describe different Concepts in Airline Tickets 9.1 INTRODUCTION 9.1.1 Issue of Air Ticket Three types of sheets for ticket are widely used in the world: an automatically copied ticket, an automatic coupon ticket with a boarding pass, manual form. The rules of IATA (International Air Transport Association) require that the ticket issued by a single agent should be understandable by any other agent, wherever in the world he is. Therefore, each ticket contains detailed information about all the details of the flight, route, fare and restrictions imposed by this fare for transportation. The most widely used form with four flight coupons. If the route has fewer flights, the word \"VOID\" is printed on the \"extra\" coupons on the line \"Itinerary\" (not valid for transportation), and the agent \"pulls\" the coupon out. The remaining (typically white) coupon is a passenger copy that is left for you to fill out for the report, but only after you have used the ticket completely (the ticket without the passenger coupon is not valid). The Internet has helped transform the travel industry. It helps educate the consumer by providing vast amounts of information about destinations and different travel options. Both consumers and travel professionals have benefited from the Internet, which makes the possibility of travel to exotic places more imaginable. It has helped consumers see in full colour and, in some cases, real time, where they would like to visit. The Internet gives travellers the ability to do comparative shopping for attractive deals or packages. It also has helped many travel agencies, hotels, resorts and other travel-related suppliers flourish by bringing in business through Web sites. The leisure travel industry has changed from being an option of the upper class to one open to all segments of society - in fact, travel has become an everyday part of life whether for a meeting across the country or a last-minute trip to a nearby city. Over time it has become price driven. Many people today base a large part of their travel buying decisions on cost and convenience of travel. People are booking closer in to their travel dates. With a history spanning more than 100 years and being India’s oldest Airlines, Air India is the where the Indian Aviation industry started long back in 1911. With a service spanning the world and Indian domestic destinations, Air India is the national carrier of India and a source of national pride. J.R.D Tata, the visionary and pioneer of Indian aviation, founded Air India with a single-engine Puss Moth trip from Karachi to Mumbai. Air India has gone a long way since then, both in terms of fleet size and passengers carried, and is noted for its dependability, cost-effectiveness, and value for money. 9.1.2Manual Form of Ticket 171 CU IDOL SELF LEARNING MATERIAL (SLM)

Today an internet booking engine (IBE) is an application which helps the travel and tourism industry support reservation through the Internet. IBE providers keep adding new features to internet booking engines such as Multiple Search Options so that a customer can book the flight in a manner that suits his/her requirements. If a customer is \"time-sensitive\" or wants to stick to a specified travel timetable, the IBE offers ticket fares that prioritise the trip calendar. Because many passengers are concerned about ticket prices, an airline's IBE displays a comparison of low- and high-ticket costs, as well as the services provided in each. A user may be able to view a seat map and make a reservation for a specific seat. The selection of a front row, aisle seat, or window seat is possible. This feature, which is known as Web Check- in, allows a passenger to check-in online and print their own boarding pass. 9.2 CLASSIFICATION OF AIR TICKET Airline Ticket: “An airline ticket is a document, issued by an airline or a travel agency, to confirm that an individual has purchased a seat on a flight on an aircraft. This document is then used to obtain a boarding pass, at the airport. Then with the boarding pass and the attached ticket, the passenger is allowed to board the aircraft. There are two sorts of airline tickets - the older style with coupons now referred to as a paper ticket, and the now more common electronic ticket usually referred to as an e-ticket”. Purchasing airline tickets has been greatly simplified by the widespread use of online reservation services. Travellers can compare prices and routes on various airlines using online booking sites and make reservations with just a few mouse clicks. The most important skills that you will need are a small dose of Internet savvy and the organizational awareness to plan ahead for the best fares. Airfares are lower than ever these days, but you still have to be savvy to get the best deal. In addition to the basics there are six secrets to winning the increasingly opaque airfare game. 1. Search at the Right Time 2. Check a Broad Range of dates 3. Use Aggregator Sites 4. Book Award Tickets Early—and On-Line 5. Book through an Airline’s Web Site 6. Don’t pay too much for change fees IATA announced that as of June 1, 2008, IATA-member airlines will no longer issue any paper tickets. A ticket is generally only good on the airline for which it was purchased. However, an airline can endorse the ticket, so that it may be accepted by other airlines, sometimes on standby basis or with a confirmed seat. The ticket is usually for a certain flight. An open ticket, which enables travel on any flight between the places stated on the ticket, is also available. This is more expensive than purchasing a single flight ticket. There are some 172 CU IDOL SELF LEARNING MATERIAL (SLM)

tickets that are refundable. Lower-cost tickets, on the other hand, are frequently non- refundable and may come with a variety of additional restrictions. An airline ticket is an essential part of travel, and it has become a common everyday document to travellers. There are many types of airline tickets. The consumer can usually choose between economy and first class, and this affects the comfort of the seat and other amenities. Tickets can be bought to travel to a single place with no means to return, or they can be bought as a round-trip package. When flying with children, they may have the option of riding on the lap of a parent or sitting in a seat, both of which may necessitate various types of tickets. 9.2.1 Types of Class and Ticket in Airlines The cost of a flight varies from time to time these days, depending on economic conditions. All kinds of airlines start offering fantastic offers, making it possible for travellers to cling to the cheapest flying cost. Low-cost airfare attracts individuals of all classes and backgrounds, and it has drastically transformed the way they travel from one destination to another. Economy class (Economy seatingis crampedand less expensive.) Tickets are normally the cheapest and most uncomfortable seating option available on a commercial aircraft. Some low-cost airlines do not have a business or first-class seating option, and thus economy class is the only class available. Economy seating is often uncomfortable for people with long legs or an above-average sized body. Some such people find their knees jammed into the seat in front of them or have difficulty sitting in the chair. First-class (First class seats are comfortable and spacious.) On a commercial aircraft, airline tickets provide access to the most comfortable and roomy seats. Aside from the seat itself, first-class passengers have access to other amenities that are not available to travellers with lower ticket prices. For example, the seats could be spaced further apart so that every first-class person has more space around them than lower-class passengers. If meals are served, they are often of a higher quality in first class and accompanied by an alcoholic beverage for adults. At times, special clubs in airports are available to first-class passengers, and the in-flight entertainment is of higher quality. This type of ticket allows the purchaser to sit in business class. It is a ticket that provides travellers with a more comfortable travelling experience than coach/economy. For example, one of the benefits of business class is increased leg room. However, it does not have the features or luxuries that are available to travellers carrying first class tickets. First class tickets are a form of one-way or round-trip tickets that allow travellers to travel in first class. Because first class travellers have access to spacious seating, quality food, drink and other in-flight amenities, these tickets are often the most expensive type of ticket available. First class ticket holders also have access to the airport lounge while waiting for their flight and a variety of entertainment options on-board. 173 CU IDOL SELF LEARNING MATERIAL (SLM)

Child tickets Child tickets are sometimes not necessary if the child is very young, usually around two years of age or less. In this case, the child can sit on his or her guardian’s lap, or the guardian can purchase a seat for the child if he or she does not want to hold the child during the entire flight. Some situations may require a child to have a ticket, however, such as international flights or cases where the child is older. In these cases, the guardian must purchase another seat, though it is usually offered at a discounted price. Round-trip ticket Round-trip tickets let a person fly to his or her destination and then flyback at a later date. It is a complete round trip back to where he or she started. Often, it is less expensive to purchase round-trip airline tickets rather than two one-way tickets to the same place One-way airline tickets One-way airline tickets allow a person to fly to one destination with no ticket back, unlike round-trip tickets. Once the person reaches his or her destination, he or she must purchase another ticket to fly back or find another way. At first glance, one-way tickets are typically cheaper than round-trip tickets, but only because it is one flight instead of two. Refundable ticket Refundable tickets are a ticket type that is eligible for a refund. Travellers that request a refund are not charged a fee or penalty. Refundable, where there is a possibility of getting a full refund of the fare (minus some minimum deductions / charges) in the case of modification or cancellation and non-refundable tickets, where the airline does not give passengers any refund in the case of changes made to the booking. Non-Refundable tickets This sort of ticket is frequently purchased at a reduced price and is not refundable. Travelers who are unable to travel on the given day or dates may request that their ticket be transferred to another date. The rules for changing travel dates with non-refundable tickets differ by carrier, and there may be a re-issuing cost or penalty. Coach Ticket Coach tickets are a type of ticket in which fliers travel in coach or economy class. This is the most basic means of travel, and it is also the least expensive. Holders of coach tickets are often given limited snacks and drink and other comfort features such as leg room are limited 9.3 OPEN AIRLINE TICKET An ‘open’ ticket is a ticket which allows one to travel on any flight between the destinations listed on the ticket with no guarantee of being able to travel. The cost of the open ticket is greater than a ticket for a specific flight. 174 CU IDOL SELF LEARNING MATERIAL (SLM)

All tickets contain most of the details of the following information 1. Issued by this margin contains the name of an airline which ticket you buy. 2. Tour Code is the notation for group and confidential tariffs (more often it is specified in the upper part of the ticket). 3. Origin/Destination is a three-letter notation of the point of origin and the destination point through the whole route. 4. In the Airline Data margin you can see an alphanumeric number of reservations (PNR CODE). 5. Issued in Exchange For. If the ticket is issued in exchange for another one then the number of primary tickets is put down in this margin. 6. Conjunction Tickets. If the route of the ticket contains more flights than the number of flight coupons in the form, the ticket is provided on numerous papers, with the number of conjunction tickets recorded in column 6 of each one. These many forms are regarded as one and the same ticket, and even if you have completed the entire flight on one of them, do not discard it until the end of the journey. 7. Date and Place of Issue contains a unique stamp of agency with agency’s name, its address, unique office number, alphanumerical reference of the agent who issued the ticket, date of issue. This information you can see in middle lined margin. 8. Only the Latin version of the passenger's name is mentioned. The surname is followed by the first letter of the name or the entire name and sex (MR – mister, MRS/MSS – miss or misses). This margin allows for no more than three mistakes without phonation distortion, according to international standards (is pointed out either in the head or middle part of the ticket). 9. In the from/to margin you can see all the origin and destination points. If there are several airports in the city then a three-letter code of the airport follows the name. 10. Carrier. Here you can find a two-letter code of the carrier airlines. The codes are standardized by the International Association of Carriers and can be either quite evident: LH – Lufthansa, AF — Air France, ВА — British Airways 11. Flight margin contains the number of flights. 12. Class. It’s important not to mix it up with the class of passengers’ location. The first class is usually marked with letter F or J, business class – by letter C, other letters signify an economy class. 13. Date – date of departure. 14. Time – time of departure (always local). 175 CU IDOL SELF LEARNING MATERIAL (SLM)

15. Status of reservation/STATUS usually looks like OK/HK – reservation confirmed/HL – waiting list/for free seats (inquiry of place on registration). In a ticket for infants (under 2 years old) flying without separate seat status NS is pointed out. 16. Fare Basis contains an alphanumeric marking of the fare according to this coupon. 17. Not Valid Before / Not Valid After contains the date before which and after which accordingly you may not fly under this air ticket (if the rules of the fare allow the changing of dates). 18. The norm of free of charge luggage/ALLOW shows either weight in kilogramsor the number of seats. It can be seen in the lower part of the ticket. 19. Fare – airlines’ fare for the transportation. 20. Equiv. Fare PD – the equivalent of the fare in the currency of the issuing point (if the currency of the point of issuing differs from the currency of departure point).The conversion rate should be specified in margin 1 or 23. 21. Tax is a two-letter notation and the amount of airport taxes in the currency of the issue point. 23. Fare Calculation contains a detailed calculation of the ticket’s cost. 24. Form of Payment. The most widespread are CASH, INVOICE or INV, CC (credit card). In India, Airline Tickets are quite easy to search and book, since the country has a vast network of different airports and many airline operators across the region. In fact, booking airline tickets has become so simple that practically every internet user now uses online ticketing companies to do so. In India, there are numerous airlines, just a few of which provide cheap air tickets on their own websites, and more than 12 Indian travel sites that compare the cheapest ticket availability among all flight ticket suppliers, including foreign airlines. There are different types of ticket formats that are standardized in accordance to the International Air Ticket Association (IARA) format. There are three major types of ticket formats. Air ticket is an essential part of air travel, yet it has become a common everyday document to the travellers. It is broadly classified as: (a) Off-Premise Transitional Automated Ticket (OPTAT) (b) Automated Ticket / Boarding Pass (ATB) (c) Electronic Ticket (E-Ticket / ET) 176 CU IDOL SELF LEARNING MATERIAL (SLM)

Figure 9.1Print out of online booked ticket from Clear trip Figure 9.2 Showing Boarding Pass of Air India Passenger ticket and baggage check are the official contract between the passenger and the airline carriers. Passengers without tickets cannot be taken on the flight; in addition, for each passenger a ticket must be issued. The \"Terms and Conditions of an Agreement,\" as well as other information, are printed on the white pages of the ticket cover. The International Air Ticket Association (IARA) format is used to standardise a variety of ticket formats. There are three main sorts of ticket formats available for purchase. 177 CU IDOL SELF LEARNING MATERIAL (SLM)

9.4 OFF-PREMISE TRANSITIONAL AUTOMATED TICKET (OPTAT) 1. Paper Ticket: OPTAT is an Off-Premise Transitional Automated ticket sold mostly through International Air Transport Association (IATA)-licensed Travel Agencies. It is a standard universal travel document that is issued by airlines to passengers. The ticket is in a format of four flight-coupons. Against the other invalid section segment in the coupon, the valid segment of the travel is highlighted by a brighter colour. The eligible flight coupon segment will be taken at check-in in accordance with the journey's routing. The ticket also includes light coupons, a passenger receipt coupon, and a cover, all of which are attached with notices and other related information. 2. Automated Ticket / Boarding Pass (ATB): Automated Ticket Boarding Pass orATB is an airline ticket stock with a series of cards that print the control, flight, seat assignment and passenger data. It consists of valid flight coupons per sector and the passenger receipt. ATB2 is an ATB with a magnetic stripe. The principal carrier issues an ATB. An ATB has two portions, the flight coupon (left side) and the passenger coupon (left side), which can be used as boarding pass, both separated by a perforation. The passenger receipt shows the complete itinerary and various ticketing data on the coupon and can be retained by passengers. 3. Electronic Ticket (E-Ticket / ET): An E-ticket is a paperless ticket. All the ticketing data is stored electronically. Upon check-in at the airport, the traveller will have to provide a valid picture ID and then they will be issued a boarding pass for that part of their trip. In principle an e-ticket is the same as an Off-Premise Transitional Automated Ticket (OPTAT) or Automated Ticket / Boarding Pass (ATB). The Electronic Ticket (e-ticket / ET) format is a paperless ticket. Another difference is that upon check-in the flight coupon is provided electronically. E-ticket has many advantages compared to the other types of ticket formats and will gradually replace the two other formats in the future. To issue e-tickets, airlines must have a database that is integrated with an airline’s passenger service system. That is then connected to all other partners -- airlines, airports, ground transportation and travel agencies, for instance -- to share real time information. To book themselves on a flight, travellers can visit any number of Web-based ticketing sites. Once there, they can view the options available and use a credit or debit card to pay for their ticket. After placing the order, the electronic record of the ticket goes into the airline’s database, where it holds the passenger’s spot. The electronic ticket is particularly convenient since it confirms the purchase of a ticket without the need of any printed document. The airline with which one travel, stores all the details of the ticket in its central system of reservations. This means that no need to show a printed ticket in order to get on the plane and no worry about forgetting or losing the ticket. Having an electronic ticket, allows to go directly to the check-in counter holding with passport or identity card and a copy of the e- mail booking confirmation 178 CU IDOL SELF LEARNING MATERIAL (SLM)

9.5 E-TICKET VS I-TICKET When ordering tickets online in India, you can opt between getting an E-Ticket or an I-Ticket. Although the end result is still the same, there are major differences between the two that can sway the decision from one to the other. The main difference between an E-Ticket and an I- Ticket is how you get the ticket. With an E-Ticket, you receive an electronic form that you print and carry with you while with an I-Ticket, the actual ticket is produced and then sent to you via a courier. The most direct consequence for this is the difference between the booking date and actual travel date. With an I-Ticket, you need to book at least two days before the actual date of travel to give time for the tickets to be mailed to you. You should also make sure that the address is easy to find and that there is someone there to receive the ticket. Since you just print the E-Ticket, there is no associated delays. You can even book on the day of travel and just bring the printout with you. However, you must present the identity papers you provided when ordering the E-Ticket to ensure that the person bringing it is the same person who booked it. This is used to make sure you're who you say you are. You do not need to produce identity papers if you have an I- Ticket because the tickets will suffice. You also need to consider that an I-Ticket is more expensive due to the cost of delivering the ticket to your location. The only additional cost of an E-Ticket is the cost of printing it which so small to be considered significant. In general, given the same destinations, an E-Ticket would usually cost less than an I-Ticket. Finally, you must consider the possibility of having to cancel the ticket due to unforeseen circumstances. Cancelling an E-Ticket is simple and takes effect immediately. This is not the case with an I-Ticket, especially if the tickets have already been sent. The process is more difficult and time consuming, not to mention that you will receive a smaller refund. 9.5.1 E-tickets in Airline Industry E-tickets in the airline industry were devised in about 1994 and have now largely replaced the older multi-layered paper ticketing systems. Since 1 June 2008, it has been mandatory for IATA members to use e-ticketing. Where paper tickets are still available, some airlines charge a fee for issuing paper tickets. When a reservation is confirmed, the airline enters the information into its computer reservation system. A copy of an e-ticket itinerary receipt with the record locator or reservation number and the e-ticket number can be printed out or given to customers. An e- ticket itinerary receipt can be printed in numerous copies. Besides providing itinerary details, an e-ticket itinerary receipt also contains: 179 CU IDOL SELF LEARNING MATERIAL (SLM)

An official ticket number (including the airline's 3-digit ticketing code, a 4-digit form number, a 6-digit serial number, and sometimes a check digit) Carriage terms and conditions (or at least a reference to them) Fare and tax details, including fare calculation details and some additional data such as tour codes. The exact cost might not be stated, but a \"fare basis\" code will always identify the fare used. A short summary of fare restrictions, usually specifying only whether change or refund are permitted but not the penalties to which they are subject Form of payment Issuing office Baggage allowance Checking in with an e-ticket Passengers with e-tickets are required to check-in at the airport for a flight in the usual manner, except that they may be required to present an e-ticket itinerary receipt or personal identification, such as a passport, or credit card. They can also use the Record locator, often called booking reference, a code of six letters and digits. Producing a print-out of an e-ticket itinerary receipt may be required to enter the terminal of some airports or to satisfy immigration regulations in some countries. The introduction of e-tickets has allowed for various enhancements to checking-in processes.  Self-service and remote check-in  online/telephone/self-service kiosk check-in (if the airline makes this option available)early check-in  printing boarding passes at airport kiosks and at locations other than an airport  delivery of boarding pass bar-codes via SMS or email to a mobile device Several websites assist people holding e-tickets to check in online in advance of the twenty- four-hour airline restriction. These websites save a passenger's flight information, which is then passed to the airline when online check-in becomes available, and the boarding pass is emailed back to the consumer. If a customer receives his boarding card remotely and is not checking bags, he can skip traditional counter check-in with this e-ticket technology. Components of an electronic ticket PNR Quota Transaction ID 180 CU IDOL SELF LEARNING MATERIAL (SLM)

Date and Time of Booking Seating Class Flight Number and Airlines From and To Cities Date of Journey Scheduled Departure and Arrival Timings Number of Adults and/or Children who booked the ticket Passenger Details like Name, Age, Gender Fare Details like Ticket Amount, Convenience Fee, Insurance etc... Customer Care Details like mail, Phone Number in case of any issues 9.5.2 E-ticket limitations The ticketing systems of most airlines are only able to produce e-tickets for itineraries of no more than 16 segments, including surface segments. This is the same limit that applied to paper tickets. Another critical limitation is that at the time e-tickets were initially designed, most airlines still practiced product bundling. By the time the industry began 100% e-ticket implementation, more and more airlines began to unbundle previously included services (like checked baggage) and add them back in as optional fees (ancillary revenue). However, the e- ticket standard did not anticipate and did not include a standardized mechanism for such optional fees. For such information, IATA later created the Electronic Miscellaneous Document (EMD) standard. Instead of having to surprise passengers with costs at check-in, airlines might regularly expose and record such levies at the time of booking through travel reservation systems. 9.5.3 IATA mandated transition As part of the IATA Simplifying the Business initiative, the association instituted a program to switch the industry to 100% electronic ticketing. The program concluded on June 1, 2008, with the association saying that the resulting industry savings were approximately US$3 billion. The IATA Board of Governors set a deadline of the end of 2007 for airlines to convert to 100 percent electronic ticketing for tickets handled through the IATA billing and settlement plan; the deadline was extended to May 31, 2008, in June 2007. As of June 1, 2008 paper tickets can no longer be issued on neutral stock by agencies reporting to their local BSP. Agents reporting to the ARC using company-provided stock or 181 CU IDOL SELF LEARNING MATERIAL (SLM)

issuing tickets on behalf of an airline (GSAs and ticketing offices) are not subject to that restriction. 9.6 VOIDS, EXCHANGES, AND REFUNDS When an itinerary either needs to be changed or cancelled, the original airline ticket will not be usable. If changes are made to the itinerary, another ticket has to be issued for the new itinerary, so the original ticket will be exchanged for this new one. If an itinerary need to be cancelled, but the passenger will not be rebooking, then the ticket either needs to be refunded, voided, or held by the passenger for a future exchange. In this section, we’ll discuss each of these terms and when they are used. 1. Voids: A void is a cancelled ticket where the charge to the customer’s credit cardis removed & is never even seen by the customer. It’s as if the charge never went through. A void can only be done within the voiding period. 2. Voiding Period: Within the United States, the current voiding period is the next business day. Unless each agency verifies their voiding period, they will be charged by the airline for the full value of the initial ticket. If the voiding period is the following business day and a ticket was issued on Sunday, it must be cancelled by EOD 18:30 on Monday. A ticket cannot be cancelled after it has been issued. 3. Exchanges: An exchange is a new ticket obtained in exchange for the value of an old ticket (or any other responsible ARC / BSP document). The travel agent will need to figure out what fare(s) were used on the original ticket and then look at the fare rules to see what flights, airlines, routings, and other options are available for the new ticket. The new (exchange) ticket will have a different ticket number and will hold all the restrictions of the new fare. 4. Refunds: A refund is the process of returning money to the passenger for unused portions of a ticket. If a ticket has a refundable fare, the part(s) of the ticket that was not used and has been cancelled, will be refunded to the customer. A full refund means the customer cancelled all parts (flights) of a ticket and will receive all of their money back, whereas a partial refund means the customer used a portion of the ticket (some of the flights) but cancelled the remaining portion and will receive only the value of the cancelled/unused portion. Conclusion Although, in the last decade, the procedure of reserving an airline ticket has become much simpler. There are a number of things to be aware of, including the difference between an e- ticket and an i-ticket, round-trip tickets, and voids, exchanges, and refunds. Knowing these things allows us to save money and make the most of our pre-purchased tickets. 182 CU IDOL SELF LEARNING MATERIAL (SLM)

When it comes to airline fare types, the method airlines use to maximize revenue is to two- fold: Airlines want to maximize passenger yield (average price someone pays to fly one mile). They want to maximize occupancy rates (fill as many seats as possible on the plane.) These are the two driving factors behind different airline fare types: 1. Maximize Passenger Yield: Most consumers that purchase a television expect to pay approximately the same as the next person. But it's a little different in the ticketing industry. A business traveller who is stuck to a strict schedule, for example, is likely willing to pay a much higher fare than a leisure traveller with flexible travel parameters. Airlines recognize that each passenger has a price threshold for purchasing an airline ticket—the maximum price a passenger is willing to pay for a seat. It’s the airlines’ job to figure out what that price threshold is, and to offer a price as close to that threshold, but without going over. 2. Maximize Occupancy Rates: The inventory of airlines has a tight expiration date. Any unfilled seats are revenue lost once the expiration date is reached (the plane departs). Airlines are highly incentivized to fill those seats and will utilise historical data to determine how many reduced tickets they need to sell ahead of time while still having extra seats available for last-minute business travellers. Of course, this isn’t a perfect science and airlines will often adjust their pricing up to 4 times a day in order to respond to the current conditions. They also tend to rely on both traditional and online travel agencies to sell excess inventory. 9.7 SUMMARY  An airline ticket is a document, issued by an airline or a travel agency, to confirm that an individual has purchased a seat on a flight on an aircraft. This document is then used to obtain a boarding pass, at the airport  An airline ticket is an essential part of travel and it has become a common everyday document to travellers. There are many types of airline tickets. The consumer can usually choose between economy and first class, and this affects the comfort of the seat and other amenities.  An ‘open’ ticket is a ticket which allows one to travel on any flight between the destinations listed on the ticket with no guarantee of being able to travel. The cost of the open ticket is greater than a ticket for a specific flight. 183 CU IDOL SELF LEARNING MATERIAL (SLM)

 An E-ticket is a paperless ticket. All the ticketing data is stored electronically. Upon check-in at the airport, the traveller will have to provide a valid picture ID and then they will be issued a boarding pass for that part of their trip  E-tickets in the airline industry were devised in about 1994 and have now largely replaced the older multi-layered paper ticketing systems.  Passengers with e-tickets are required to check-in at the airport for a flight in the usual manner, except that they may be required to present an e-ticket itinerary receipt or personal identification, such as a passport, or credit card.  Automated Ticket Boarding Pass orATB is an airline ticket stock with a series of cards that print the control, flight, seat assignment and passenger data  If the route includes more flights than the number of flight coupons in the form, then such a ticket is called as conjunction ticket.  A void is a cancelled ticket where the charge to the customer’s credit card is removed & is never even seen by the customer  An exchange is a new ticket that is purchased against the value of an old ticket (or any other ARC / BSP document that is accountable). The travel agent will have to determine the fare(s) used on the original ticket and look at the fare rules to determine what flights, airlines; routings, etc. can be used for the new ticket  A refund is the process of returning money to the passenger for unused portions of a ticket 9.8 KEY WORDS  Travellers: Travellers are at the centre of the model where all tourism activities are focused. Radiating from the centre are three large bands containing several interdependent groups of tourism participants and organizations.  Tourism Promoters: Tourism promoters are in the first layer, in close contact with the travellers. Organizations in this layer include tourism boards, direct marketing companies, meeting planners, travel agents and tour operators.  Tourism Service Suppliers: Tourism service suppliers, such as airline companies, bus operators, railway corporations, cruise ship operators, hotels and car rental companies, etc. usually provide services to travellers independently  Round Trip: Travel from A to B then back from B to A using the same fare basis code. Travel from a point and return thereto which involves only one crossing of the Atlantic Ocean and only one crossing of the Pacific Ocean. 184 CU IDOL SELF LEARNING MATERIAL (SLM)

 Routing: The routing rule lists the allowed connecting cities for travel from A to B for a particular fare. Sometimes this rule indicates that travel must be nonstop.  Segment: A segment refers to a single flight with the same flight number. For example, if you travel from A to B, change planes at B, and then travel from B to C, you will have flown two segments.  Stopover: A stopover is loosely defined as a connection time exceeding 4 hours on a domestic itinerary or 24 hours on an international itinerary.  Void Ticket: A void is a cancelled ticket where the charge to the customer’s credit cardis removed & is never even seen by the customer.  Refunds: A refund is the process of returning money to the passenger for unused portions of a ticket. 9.9 LEARNING ACTIVITY 1. Discuss about the types of Air Ticket that can be booked by a student with concession with your nearest Travel Agent? ___________________________________________________________________________ __________________________________________________________________________ 2. Evaluate in what cases Refundable and Non- Refundable tickets can be booked by common citizens? ___________________________________________________________________________ __________________________________________________________________________ 3. Explain the types of tickets in Airlines to your elders and the advantages they gain by booking them? ___________________________________________________________________________ ___________________________________________________________________________ 4. Try to travel in an airline with an open ticket list for what type of people these tickets can be availed? ___________________________________________________________________________ ___________________________________________________________________________ 5. Collect various types of tickets and observe change in value and availability over the years? ___________________________________________________________________________ ___________________________________________________________________________ 185 CU IDOL SELF LEARNING MATERIAL (SLM)

9.10 UNIT END QUESTIONS A.Descriptive Questions Short Questions 1. What are Refundable and Non-refundable tickets? 2. Differentiate Economy Class and First Class? 3. Explain Open Airline ticket? 4. What are Voids and Voiding Period in Airlines? 5. Who are beneficiaries of i-ticket? Long Questions 1. Define an Air Ticket and state the types of Air Tickets? 2. What is the Classification of Air Ticket based on class and ticket and explain them? 3. Explain Off Premise Transitional Automated Ticket? 4. List out the components present in an airline ticket? 5. Differentiate between e-ticket and i-ticket? 6. Define e-ticket in Airlines industry and what are its limitations? 7. Explain the components present on an e-ticket? 8. Explain the history of Air Tickets over the years? B.Multiple Choice Questions 1. If you have to book a cheapest ticket, which of the following should you book a. Business Class b. Economy Class c. First Class d. Business First Class 2. The key document that makes the passenger legally board the mode of transportation in an airport is called as a. Visa b. Boarding Pass 186 CU IDOL SELF LEARNING MATERIAL (SLM)

c. Air Ticket d. Passport 3. What does Exchange in an Airline Ticketing mean a. Another date b. Another destination c. Air Ticket d. Passport 4. What is the type of ticket where the passenger leaves from one city to another but returns to a different place is called as? a. Destination Open Jaw b. Child Ticket c. Double Open Jaw d. Origin Open jaw 5. The type of ticket where the passenger travels from one city to another but returns to origin city from a different place is called as a. Destination Open Jaw b. Child Ticket c. Double Open Jaw d. Origin Open jaw Answers 1-b,2-b,3-c,4-d,5-a 9.11 REFERENCES Reference Books 187 CU IDOL SELF LEARNING MATERIAL (SLM)

 https://www.civilaviation.gov.in/sites/default/files/MoCA_Order_No_02_2020_dated _classification_and_fare_bands.pdf  http://www.amadeus.com/ir/documents/aco/ir/en/Cancel%20Refund%20and%20Void %20Exchange.pdf Websites  https://www.tripsavvy.com/types-of-airfares-54454  https://www.airfarewatchdog.com/blog/44251402/the-4-different-types-of-economy- airfare-defined/  https://www.infobloom.com/what-is-an-airline-e-ticket.htm  https://viewfromthewing.com/airlines-are-breaking-the-law-by-refusing-refunds-for- cancelled-flights/  https://airflyby.com/non-refundable-tickets/ 188 CU IDOL SELF LEARNING MATERIAL (SLM)

UNIT 10SPECIAL FARES AND DISCOUNTS STRUCTURE 10.0 Learning Objectives 10.1 Types of flight in Air Tourism 10.2Types of Tickets issued in Air Travel 10.2.1 Air Fare based on type of class 10.2.2 Main types of published Air Fares 10.3 Higher Intermediate Points 10.4 Mileage Surcharge 10.5 Bereavement Fares 10.6 Unpublished flight deals 10.7 Opaque Air Fares 10.8 Fare Classes 10.9 Summary 10.10 Key Words 10.11 Learning Activity 10.12 Unit End Questions 10.13 References 10.0 LEARNING OBJECTIVES After studying this unit, students will be able to  Explain about special fares, present in Airline Tickets  Describe Air fares based on type of class  Explain the concept of Higher Intermediate points 10.1 TYPES OF FLIGHTS IN AIR TOURISM There are letters allocated to different fares when booking a ticket, regardless of whether it is a published or unpublished fare. These letters denote the service class, not just economy or business, but also the sort of fare purchased. 189 CU IDOL SELF LEARNING MATERIAL (SLM)

1. Scheduled flights: It refers to those flights operated regularly according to a published timetables and fares. Irrespective to the number of passengers to be carried on anyone flight, they serve on a routine basis. 2. Non-scheduled flights also known as charter flights do not operate on any set schedule or have predetermined fare structure charter flights could go anywhere and at any time when scheduled service do not covered, and very often they supplement the service on regular routes during peak seasons 10.2 AIR FARE There are numerous sorts of airline tickets available. The consumer usually has the option of choosing between economy and first class, which has an impact on seat comfort and other facilities. Tickets can be bought to travel to a single place with no means to return, or they can be bought as a round-trip package. When children are flying, they sometimes have the option to sit on the lap of a guardian or sit in a seat, both of which can require different types of tickets. Economy class tickets are normally the cheapest and most uncomfortable seating option available on a commercial aircraft. Some low-cost airlines do not have a business or first- class seating option, and thus economy class is the only class available. Economy seating is often uncomfortable for people with long legs or an above-average sized body. Some such people find their knees jammed into the seat in front of them or have difficulty sitting in the chair. The majority of airline tickets are for one-way or round-trip travel. Fares can be published, unpublished, or negotiated (for example, corporations or government agencies/organizations may have negotiated cheaper fares with airlines). Consolidated fares are unpublished fares that are offered by consolidators or bucket shops. How Are air Fares Determined?  Add-ons  Class  Marketing Decisions  Maximum Permitted (MPM)  Mileage  Profit Motives etc  Route Assignment  Stopovers 190 CU IDOL SELF LEARNING MATERIAL (SLM)

 The Actual Cost of Service Types of ticket issued in air travel 1. First Class Ticket: First class ticket is form tickets that allow travel in first class. First class travellers have access to spacious seating, quality food, drink and other in-flight amenities, these tickets are often the most expensive type of ticket available. First class ticket holders also have access to the airport lounge while waiting for their flight and a variety of entertainment options on-board. 2. Business Class Ticket: The owner of this ticket will be seated in business class. It's a ticket that gives passengers a more comfortable travel experience than coach or economy. Increased leg room, for example, is one of the advantages of business class. It does not, however, have the facilities or comforts that passenger with first-class tickets enjoy. 3. Coach Ticket: Coach Tickets are a type of ticket in which fliers travel in coach or economy class. This is the most basic means of travel, and it is also the least expensive. Holders of coach tickets are often given limited snacks and drink and other comfort features such as leg room are limited. 4. Non-refundable tickets: This sort of ticket is frequently purchased at a reduced price and is not refundable. Travelers who are unable to travel on the given day or dates may request that their ticket be transferred to another date. The rules for transferring travel dates with non- refundable tickets differ by carrier, and there may be a re-issuing cost or penalty. 5. Refundable ticket: Refundable tickets are a ticket type that is eligible for a refund.Travelers that requests a refund are not charged a fee or penalty. 6. Domestic Sector Tickets: The number of domestic airline reservations has risen dramatically in recent years. People began to travel by air for domestic travel because most airlines provide affordable costs for domestic flights. Domestic flight booking is now lot easier than it was in the past, thanks to the internet and online domestic airline booking services. Passengers have the facility to compare domestic airfares and they can make the most affordable domestic flight booking. 7. International Sector Tickets: International air travel is playing a significant role in the growth of Indian aviation sector. Boosted by dramatic economic growth and income level of Indian passenger, the demand for international air travel in India has risen considerably in the past few years. 8. Refund of Tickets: Refund shall be processed as per the mode of payment made. If the ticket has been paid for in cash, refund is by cheque; and if the ticket has been paid for by credit card, a credit slip shall be issued. Tickets issued outside the country will be refunded in the country where the ticket is purchased. The refund with regard to a ticket issued by a travel agent can only be done through that travel agent. 191 CU IDOL SELF LEARNING MATERIAL (SLM)

10.2.1 Airfare Based on Type’s Class Aircraft are split up into different cabin sections, with different prices charged for the product and service delivered. Imagine you were going to a music concert and there were different prices of tickets on offer. You may simply want the lowest option, or you may like to spend more for a better perspective. For air travel, the same idea applies. The passenger chooses their seat based on the amount of money they want to spend and the level of care they require. Each cabin segment has the following features:  The largest section of the aircraft on scheduled flights and normally the only service provided on charter flights.  Adjustable seats.  Complimentary meal service (depending on length of flight).  Complimentary drinks service (drinks are chargeable by many airlines) including charter.  Duty - free shopping on eligible routes (no duty free on flights within European Union anymore).  Inflight entertainment on long distance services. Airlines have 3 travel classes: Economy, Business and First class. Within each travel class there are different fare classes, indicated by letter codes and relating to ticket or reservation restrictions. Passengers within the same travel class receive the same quality of accommodation; however, the price or restrictions they face for that accommodation will vary depending on the fare class. Fare classes may also vary by how far ahead the ticket must be purchased, or how long the length of stay is. 10.2.2 Main types of published airfares 1. APEX fares are discounted international fares. Such fares usually require tickets to be purchased in advance (such as 7-, 14-, or 21-day minimum advance purchase),and will have other restrictions - non-refundable, change fees are just a few of the possible restrictions. 2. Discount Fares are fares that tend to have a smaller price tag and are offered fora limited time (seat sales would fall into this category). They usually have a longlist of restrictions such as specific travel dates, minimum and maximum stay (for example, a minimum Saturday night stay, a maximum 30 day stay), etc. Unlike most published fares, it is important to make sure that you are aware of the fare rules and restrictions on discount (seat sale) fares. Keep a copy of the rules because seat sale fares come and go quickly, and the rules and restrictions can be harder (sometimes impossible) to retrieve online. 192 CU IDOL SELF LEARNING MATERIAL (SLM)

3. Excursion fares are lower priced fares that involve restrictions like advance purchase, time of year, minimum/maximum stay, etc. Unrestricted, Flexible, or Full Fares are the titles given to the most expensive tickets. 4. Published fare: A fare that is available for purchase to anyone. 5. Unpublished fares: They may be seats that a consolidator purchased and can offer at highly discounted rates. The fare rules could literally contain anything from absolutely no changes allowed to free changes as long as availability exists. They may or may not allow for advance seat selection or the accumulation of frequent flyer miles. 6. Bereavement fares: A reduced fee for family members travelling due to an impending death or death in the family. Most airlines that provide bereavement fares will ask for details regarding the circumstances. Compassionate Fare is another name for it. When bereavement rates are offered for international travel, the value of the reduction may be given only upon return with a death certificate because information is not always readily available. 7. Joint fare: An agreement between certain airlines to charge specific fares when a passenger uses more than one airline. These fares are agreed on by the airlines involved and would be closer to the fares that could be charged if a passenger was only travelling on one airline to get to their destination. 8. Weekend fares are examples of tickets with minimum and/or maximum stays. A weekend fare will typically allow a passenger to begin travel on a Friday or Saturday and return Monday or Tuesday. In this example, the minimum stay would be Saturday night, with the maximum stay being the Monday or Tuesday. 9. Open ticket: A ticket with no date specified and the passenger books a flight when ready to travel. These are usually full fare tickets, as opposed to a discounted, restricted fare. 10. Unrestricted fare: A more expensive airfare that offers greater flexibility (allowing changes, refunds, etc. 10.3 HIGHER INTERMEDIATE POINTS Construct fares in linear/automated format for one way and returns that include one or more higher intermediate fares (HIFs) using HIF checks Add on fares: for one way and/or return normal fare itineraries where add-on fares have to be applied either at original or destination or both; apply rules and restrictions. Surface sectors (open jaw): within one way and/or return normal fares and/or within special fares as applicable; apply rules and restrictions. A place on an itinerary to which there is a higher fare than the destination or next fare break point. ➢ HIP check for normal and special fares. The higher intermediate point check applies to each fare component of all pricing units. (OW/RT/CT/RW/NOJ/OJ) as follows: from fare 193 CU IDOL SELF LEARNING MATERIAL (SLM)

component origin to each intermediate stopover point, from each intermediate stopover point to each subsequent intermediate stopover point (Note: This is for normal fares only and from each intermediate stopover point to the subsequent fare break point. ➢ HIP exceptions by countries: Africa for journeys wholly between Kilimanjaro and Nairobi, HIP check will be for all ticketed points. India: For traffic originating in India and destined to Canada/ USA, when stopovers are taken in Europe or UK, higher intermediate fares shall not be applicable from points in Europe/ UK to Canada/ USA. Israel: For travel originating in Israel, HIPs will be checked for all ticketed points from Israel. This does not apply to the HIP check from an intermediate point to another intermediate point or the fare construction point, or to fares with specified routings. Example Travel: Tel Aviv-Frankfurt-X/London-New York. The HIP check is TLV-FRA, TLV-LON and FRA-NYC. (LON-NYC is not checked.)Malawi For journeys originating in Malawi, the HIP check in each fare component shall be applied on all ticketed points in Malawi. Turkey For travel between the Middle East and Turkey involving more than one-pointin Turkey, any higher intermediate point in Turkey must be charged whether or not a stopover is taken. Western Africa For journeys originating in Western Africa, the HIP check in each fare component shall be applied on all ticketed points in Western Africa. HIP Check - Normal Fares If in any routing permitted at the direct route normal fare there is a higher direct route normal fare of the same class at an intermediate stopover point, the fare for the component must be raised to the level of such higher fare. When there is a fare construction surface sector, the HIP check applies to the point of such surface sector that is not the fare construction point. HIP Check - Special Fares Having established an applicable special fare for a pricing unit, such special fare may be applied subject to the following: 1. Price the fare as a normal fare. 194 CU IDOL SELF LEARNING MATERIAL (SLM)

2. Establish the lowest applicable level. 3. If there is no HIP between both fare construction points of the special fare and an intermediate ticketed (stopover) point, the special fare may be applied If there is aHIP between either fare construction point of the special fare and an intermediate ticketed (stopover) point, the special fare shall not be less than such higher fare, except; o if there is a special fare of the same type at the same level or a lower level on the sector for which the normal fare applies, the special fare for the component may be applied, or o if there is a special fare of the same type at a higher level on the sector for which the higher normal fare applies, the special fare for the component shall not be less than such higher special fare, or o if there is no special fare of the same type on the sector for which the normal fare applies, the fare shall not be less than the lowest of any higher type of special fare within the same column shown in paragraph 4 below o in defining a ’fare of the same type’, the comparison shall be limited to the class of service. If there is more than one special fare of the same type on the sector for which the higher normal fare applies, the fare with the conditions most similar to those of the special fare for the component shall be used in comparison. 10.4 MILEAGE SURCHARGE Where a fare has to have a mileage surcharge applied, it is applied to the HIP Fares are most often based on one-way or round-trip travel. Fares may be published, unpublished and/or negotiated fares (corporations, or government agencies/organizations may have fares negotiated with an airline at a lower rate). Unpublished fares are also known as consolidated fares. The following is a list of the main types of published airfares - and are based on round-trip or one-way travel: APEX fares are discounted international fares. Such fares usually require tickets to be purchased in advance (such as 7-, 14-, or 21-day minimum advance purchase), and will have other restrictions - non-refundable, change fees are just a few of the possible restrictions. Discount Fares are fares that tend to have a smaller price tag and are offered for a limited time (seat sales would fall into this category). They usually have a long list of restrictions such as specific travel dates, minimum and maximum stay (for example, a minimum Saturday night stay, a maximum 30 day stay), etc. Unlike most published fares, it is important to make sure that you are aware of the fare rules and restrictions on discount (seat sale) fares. Keep a copy of the rules because seat sale fares come and go quickly, and the rules and restrictions can be harder (sometimes impossible) to retrieve online. Excursion fares are lower priced fares that involve restrictions like advance purchase, time of year, minimum/maximum stay, etc. • Unrestricted, Flexible, or Full Fares are the titles given 195 CU IDOL SELF LEARNING MATERIAL (SLM)

to the most expensive tickets. You pay for a ticket that allows you to refund or change the ticket as necessary for fares that can be purchased at any time, even the same day of travel. On certain routes, airlines with some type of partner agreement offer joint fares. When you go by plane, they essentially give you a discount if you fly with more than one airline. Joint rates come with their own set of restrictions, similar to those that apply to excursion and discount fares. A through fare is a fare to a destination reached by traveling through a gateway city. It could be combined with any of the fare types listed above, and is used to obtain a lower price when you are not simply flying from point A to point B, but are rather connecting through other points to get to your destination. If you are traveling from Atlanta to Athens via Frankfurt, you may be offered a through fare, so that instead of paying for Atlanta to Frankfurt and Frankfurt to Athens, you pay one fare for Atlanta through to Athens. For the sake of profits, airlines will not offer every seat on an aircraft at the seat sale fares, or excursion fares. As flights fill, the least expensive fares disappear regardless of how far in advance it is. Unless you are on a full fare ticket you can be certain that there will be any number of restrictions involved with your airfare - minimum/maximum stay; time of day; weekday, weekend price differences; change fees; mileage (on through fares you may be restricted to a certain number of miles to get you to your destination), advance purchase; youth/child/senior rule differences; etc. So many fare types, even more fare rules. Considering that airline tickets are contracts between passengers and airlines it is important to know what you are looking for. A published fare is one that is available for purchase by anyone. You could call the airline, or check for prices online, and published fares will be immediately available for purchase the rules of such fares are readily available and if there is more than one airline offering the same fare you can count on the rules being virtually the same. A non-refundable fare requiring an advance purchase of 14 days and a minimum Saturday night stay would be just a few of the possible rules of a published fare. Seat sales launched by airlines are considered published fares as well since (subject to seat availability) such airfares are offered to the public. Unpublished fares are a different animal altogether. They could be seats that a consolidator has purchased and can resell at a significant price. The fare rules might include everything from no changes at all to unlimited changes as long as space is available. They may or may not allow for advanced seat selection or frequent flyer points accumulation. 10.5 BEREAVEMENT FARES If you have booked a discounted fare and are interested in the subclass you are holding, the letter immediately follows the flight number on your ticket and will fall under the heading of Booking Class or some similar, shortened version. 196 CU IDOL SELF LEARNING MATERIAL (SLM)

When you have an emergency and need to go for a family funeral or to see a terminally ill relative, shopping for airfares is typically the last thing on your mind. Many airlines offer a bereavement fare, sometimes known as a compassionate fare, to family members flying for a death in the family or an impending death. So, what should one know about bereavement fares? • They are not always the lowest fare, but are last minute fares that can be booked right up until departure time. • They are offered for family members traveling to a funeral. • They can also be offered for family members in the case of imminent death, where a family member is gravely ill. • Bereavement fares usually entail a discount off of a full fare (unrestricted fare), and are often more expensive than the cost you would pay for a seat sale ticket. • Bereavement fares tend to be very flexible, permitting free changes and stays of up to 30 days with no minimum stay requirements. • You can usually secure the discount prior to travel if you provide the required information. A few airlines will only refund the value of the discount after travel is completed. However, all airlines that offer bereavement fares will allow you to apply for a refund after travel is completed (usually you must apply for a refund within 90 days after completion of all flights, along with the required documentation). • Discounts range from 10 to 75 percent off of full fare prices. The discount most often offered is 50 percent off of full fare. • Discounts usually apply for one airline only. In effect, if you need more than one airline to get to where you need to go, you will need to buy separate tickets and ask about each airline's policy. • Bereavement fares may not be available to all destinations offered by an airline. There are less bereavement fares offered for traveling internationally. • Because information is more difficult to verify, where bereavement flights are offered for international travel, the value of the reduction may only be given upon return with a death certificate. Because it is more difficult for the airline to verify information in the case of international travel, bereavement fares for imminent death are less usual. • Bereavement fares are offered over the phone or in person at the airline's ticket counters. • Bereavement fares MUST be done via the Airline Directly and not via a GDS. • A bereavement flight is not necessarily the cheapest option; if you have any flexibility in terms of travel times and dates, see if a seat sale fare is available and relates to your itinerary. 197 CU IDOL SELF LEARNING MATERIAL (SLM)

In larger travel markets, having a travel agent who can call around and discover the best pricing and flight options might be beneficial. Youth/child/senior fares When you book your flights with a travel agent, there may be the option to get reduced rates for youth, child, or senior travelers. This depends on the airline and the airfare. However, these discounts may only apply to full-fare tickets, or only be 10%, so our discounted fares may already be the cheaper option. Infants are usually classified as up to 24 months old (2 years). Children are from 2-11 years old. 10.6 UNPUBLISHED FLIGHT DEALS So aside from published fares, we also have unpublished airfares. These airfares are not available online through flight booking websites and neither on the airline’s own website. You also cannot call the airline to book these flight deals. Travel agents find these airfares through a Global Distribution System (GDS). To get an unpublished airfare, you will need to contact a travel agent. There are varying discounts available on these fares, depending on your route, airline, dates, etc. Also, the fare rules for these airfares may vary wildly, including some of the restrictions mentioned previously. Unpublished airfares are also known as private airfares, wholesale airfares, consolidator airfares. Fare consolidators are also known as bucket shops in the UK. 10.7 OPAQUE AIRFARES Here is one type of airfare you probably haven’t heard of. Opaque airfare prices are shown without revealing the airline or the flight number (and in some cases the flight times). Airlines offer these opaque fares as a way to keep the prices private until after they are purchased. This is because airlines don’t want to sell all of the seats on an airplane at the lowest price. 198 CU IDOL SELF LEARNING MATERIAL (SLM)

10.8 FARE CLASSES You may find a letter code on your boarding pass or e-ticket which signifies what type of airfare you have. F&P These lucky letters usually represent First Class. J&C These ones are for Business Class. Y This is pretty much always used for full-fare economy tickets. B, H, L, M, etc. These represent other subclasses like restricted or discount fares. Each airline uses them in different ways with different meanings. X, U, R These letters are usually used by fare consolidators Fare class basics In the simplest definition, the various fare classes divide every seat on a plane into different categories, each with its own price and set of rules. Fare classes are identified by one-letter fare codes. Some fare classes and codes are standard across all airlines, while some are very different depending on the airline. Here are a few fare codes that are typically the same across all airlines:  Y: Full-fare economy-class ticket 199  J: Full-fare business-class ticket CU IDOL SELF LEARNING MATERIAL (SLM)

 F: Full-fare first-class ticket Note: These letters are also commonly used as abbreviations on message boards like FlyerTalk to refer to the “generic” class of service (e.g. “I’m flying in Y from NY to London and want to upgrade to J” means “I’m traveling in economy from NY to London and want to upgrade to business class”). However, this article is focusing on the actual published fare classes from airlines. Fare classes are used by airline reservation systems and travel agents to sell seats on a plane, keeping track of which fare classes are still available Here’s how these fare classes fall into the four classes of services offered on the Boeing 777- 300ER American is using on this route:  F and A: first class  J, R, D and I: business class  W and P: premium economy  Y, H, K, M, L, G, V, S, N, Q and O: economy  B: basic economy While these fare classes represent all the tickets you can buy directly with cold hard cash (i.e. revenue fares), you’ll see that Expert Flyer gives us a ton more information, including upgrade and award fare codes. For example, A (which is zeroed out on this flight) doubles as the fare code for discounted first class ticket and for upgrades from business to first class on a three-cabin aircraft. Meanwhile upgrades from economy to business fall under the C fare class, and Miles Aver award tickets (the cheapest price tier on AA’s award chart) use the T, U and Z fare codes respectively for economy, business and first. Low fare classes affect you Here’s an example of how these various fare classes come into play when you’re purchasing a ticket. Let’s say that you’re looking to book a flight from Chicago-O’Hare (ORD) to Los Angeles (LAX). Yesterday when you checked the price of a round-trip ticket, you found one for $305, but you needed to confirm dates with a family member before locking in your itinerary. Today when you go to book, the price has jumped to $375. The best explanation for the price increase is that the more discounted fare class you were looking at yesterday is now sold out. (Note that if you find yourself close to confirming your plans, remember that in most situations, you can pull the trigger on a flight and cancel within 24 hours and get a full refund. Check out this guide to airline hold and cancellation policies for more details.) This may also impact you when you go to take the flight, as your fare class will sometimes dictate the number of miles you earn on the flight, both from a redeemable and elite- qualifying standpoint. While American, Delta and United have all switched to a revenue- based model of awarding miles for flights on their own (respective) flights, traveling on most of their partner airlines will use a somewhat complicated formula that takes into account distance flown as well as fare class booked. 200 CU IDOL SELF LEARNING MATERIAL (SLM)