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VIRGIN ATLANTIC LISTENS TO THE TRADE AND KEEPS TRAVEL AGENT COMMISSION

Travel News Asia Date: 2 April 2001

Virgin Atlantic announced today that it is to keep travel agent commission. Commission rates will remain at 9% for the next three months and then move to 7% from 1 July.

The move, in the build up to the peak summer season, comes following extensive consultation with trade bodies. It reflects the importance Virgin places on working with agents to increase VAA market share and recognises the vital role of travel agents.

General Manager of Sales, Paul Wait said:

‘We’ve listened to the industry’s views and have found a way to work together with agents to get the best deal possible for everyone.

‘Given the current volatility in the marketplace with many in the industry moving towards sector payments, we are keeping to a realistic commission structure that will increase our market share and agents’ profitability, without adding to their workload.

‘This three-month bonus will allow agents to sell for the peak summer season at the higher rate.’

Wait also said that Virgin Atlantic would be monitoring the level of agent participation and listening to their feedback to help shape the airline’s future commission strategy:

‘The future depends on how receptive agents are to our commission structure – we need them to help us to maintain a more generous margin.’

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