After Jet, Kingfisher to pay 3% commission to travel agents

Mumbai: Vijay Mallya-controlled Kingfisher Airlines today said that it would be paying a three per cent agency commission to travel agents on gross fare.
The commission would be effective from tomorrow, a Kingfisher Airlines spokesperson told PTI here tonight.
At the same time, it has withdrawn transaction fee on tickets, which was introduced following the abolition of 5 per cent commission to travel agents on October 31, the spokesperson said.
While he did not give any reason for the about-turn on the issue, it is understood that the airline took the decision under pressure.
While the present tight market conditions were not in favour of any extra spending, the boycott threat from the travel agents' lobby is believed to be the reason for the airline taking this decision.
Earlier, Jet Airways had announced it would be offering a 3 per cent commission to travel agents on gross fare. The decision came after travel agents boycotted sales of Jet Airways and its low-cost arm JetLite's tickets from December 4.
11/12/08 Press Trust of India

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Categories: Kingfisher Dec 2008