Expedia Drops American Airlines

As one of the biggest travel companies in the world, consumers expect to be able to find American Airlines tickets on the popular fare comparison website Expedia. Unfortunately, Expedia has decided to cease doing business with American Airlines, effective immediately. When the airline company began to competitively market airline tickets rather than pay Expedia for booking airline tickets, the online travel portal struck back. Flight and ticket information can be found on every other major airline via Expedia, which may lead to trouble in the future.

Expedia has been trying to hang onto the number one spot, however, other online vacation portals are becoming more popular. Airlines such as American Airlines have complained about the virtual monopoly that Expedia had for years, but now the company is working with other airline booking companies. It is likely that American Airlines will be able to offer consumers better discounts when they book their flights directly through their websites. On the other hand, travelers are used to visiting price comparison companies in an effort to get the best prices on vacation packages. Unless American Airlines teams up with car rental companies and major hotel chains, there is a good chance that consumers will opt to go with another airline.

This is the second large price comparison company that has stopped working with American Airlines. Previously, Orbitz dropped American Airlines after the two companies had a dispute. Approximately 33% of US travelers use these services to buy airline tickets, look up schedules and compare fares.

January 2, 2011

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