Singapore Airlines to cut travel agent base commission to 1 per cent

Zurich, Switzerland - December 27, 2009: Airplane Boeing 777-300 of Singapore Airlines departing Zurich airport.

Singapore Airlines will reduce its base commission for travel agents later this year.

The airline advised its agency partners that BSP base commission offered on SIA’s international airfares ticketed in Australia will be amended to 1 per cent in October 2022

The reduction will apply to commissionable airfares ticketed in Australia on SIA’s 618 ticket stock.

According to Singapore Airlines’ general manager for national agency sales, Greg McJarrow, the decision to reduce BSP commission has not been taken lightly.

“It has been influenced by a number of factors, including the highly challenging operating environment, a need to better align to the local, regional and global market conditions, and SIA’s focus on adopting, and investing in new technologies,” McJarrow said.

“These technologies will provide new selling opportunities for our trade partners while delivering an improved experience for our mutual customers into the future.

“SIA recognises the impact this decision will have on our agency partners and is committed to ongoing engagement with key partners in the months ahead in preparation for the change.”

McJarrow said the travel agency community in Australia will continue to play an integral role in Singapore Airlines’ distribution strategy and it will continue to support its agency partners through the distribution of fares and products via traditional channels and new technologies, sales and frontline support, as well as through Agency Partner arrangements to recover and grow the market together.

Singapore Airlines joins Emirates and Qantas in what appears to be a downward trend in agent commissions for international flights.

The Australian Federation of Australia (AFTA) said it would make fighting “the apparent uniform decision by carriers to reduce commissions to agents” a top priority in 2022.

“We’re exploring avenues for action given the fact this approach ignores the important role of agents in lowering overheads and optimising the journey for the customer to the benefit of the airlines as well as the traveller,” AFTA CEO, Dean Long, said.

Image source: iStock/Jetlinerimages

Latest News

  • Cruise
  • Travel Weekly Features

PROFILE: Julie Rogers MBA, Director of Sales Asia Pacific of Ponant

With increasing interest from Australians in expedition cruises, Julie Rogers MBA, Director of Sales Asia Pacific of PONANT, shares with Travel Weekly the new experiences she is excited about in cruise. Is there any significant increase in Australians/New Zealander’s heading north to the Arctic instead of the Antarctic? We have seen a steady growth in […]

  • Products

Mandarin Oriental takes a dive into swimwear with $360 board shorts

If you were inspired by The Inspired Unemployed’s Liam Moore limited-edition pair of Budgy Smugglers but want a bit more coverage, then here’s your chance. The Orlebar Brown brand has introduced an original design of the Bulldog swim short for Mandarin Oriental hotels – yours for a snip at US$242.25 (AU$360). They have been “designed […]

  • Health & Wellness
  • Luxury

Trisara showcases sustainable dining via wellspring program

Phuket-based resort Trisara is transporting guests from resort to farm to table then back again courtesy of a new limited-time program, Wellspring. The package is a collaboration with Tri Vananda, a US$182 million (AU $270 million) wellness community in northern Phuket, conceived by Montara Hospitality Group, the owners of Trisara. In addition to entitling guests […]

  • Aviation

Emirates SkyCargo expands fleet with five Boeing 777 freighters

Emirates SkyCargo announced an investment of US$1 billion (AU$1.484b) to expand its fleet with an order of five new Boeing 777 freighters. The investment follows a strong performance in the first quarter of the 2024/25 financial year. Emirates SkyCargo expects the new freighters to increase its capacity by 30 per cent. The increase enables the […]

  • Events
  • Tour Operators

ITE HCMC 2024 focuses on sustainable tourism for creating a future

The 18th annual International Travel Expo Ho Chi Minh City (ITE HCMC) will take place from 5 to 7 September at the Saigon Exhibition and Convention Center. Under the theme “Responsible Travel, Creating Future”, the expo will highlight its dedication to promoting sustainable tourism practices and showcasing innovative tourism products and services to meet rigorous […]

  • Appointments

Seasoned pro Chris Waite goes out on his own in corporate affairs & communications

Seasoned tourism and hospitality industry corporate affairs and communications professional Chris Waite has unveiled his new consultancy. Drawing on his 25 years of experience across Australia, Europe, and Asia, Chris Waite Corporate Affairs & Communications is dedicated to helping businesses build and safeguard their most valuable asset: their reputation. Waite will focus on delivering results through […]

  • News

Travel becomes the leading retirement priority in latest Equip Super research

A staggering 71 per cent of Australians are prioritising spending their retirement savings on travel, according to a recent survey by leading superannuation fund, Equip Super. Health concerns were ranked as second as the most significant priority in retirement with 56 per cent and spending on hobbies and interests takes the third spot at 54 […]