Arnaud Debuchy, Chairman and CEO of Amadeus France

Is it possible to trace the origins of ancillary costs?
If the origin is linked to the low-cost model, the first 'classic' airline to charge for this type of additional service must have been Air Canada, more than 3 years ago. The American majors followed suit in 2009, while the first experiments on this side of the Atlantic date back to last year (at Finnair, KLM, etc.). The offer should be structured by the end of 2011 in Europe, notably with Air France. But its commercial importance and impact on airline revenues will only be measured next year. The fact remains that the production and distribution of these services will require long-term work, with a number of processes to be developed by the airlines: for example, managing an inventory to charge for preferential seating, providing a voucher for access to a lounge, etc.

Most of our solutions will be available this year, but I would stress the complexity involved in ancillary costs. If these services are to be saleable and accepted by the market, they must remain compatible with the booking logic of business travel: staggered issue, numerous modifications or cancellations, etc. In other words, there are so many payment and invoicing flows to be automated between the parties. And we need to anticipate the added complexity in the medium term, if these fees are differentiated according to the loyalty programme, or when buyers obtain the right to negotiate them.