Wednesday, December 4, 2024 – Today, Laura Chadwick, President and CEO of the Travel Technology Association, released the following statement following the Senate Homeland Security and Governmental Affairs Subcommittee on Permanent Investigations hearing titled, “The Sky’s the Limit—New Revelations About Airline Fees.”
“Travel Tech thanks the Senate Homeland Security and Governmental Affairs Permanent Subcommittee on Investigations for holding a hearing focused on ensuring transparency and fairness in airline fee ancillary fee practices. Transparent pricing is essential to empowering travelers with all the information they need to make informed choices.
“Travel Tech’s mission is to empower traveler choice by advocating for transparency and competition. These principles ensure that consumers benefit and travel service providers can thrive in a fair, open marketplace. We look forward to working with policymakers to address these important issues.”
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The Travel Technology Association (Travel Tech) empowers traveler choice by advocating for public policy that promotes marketplace transparency and competition. Travel Tech represents travel technology innovators ranging from dynamic startups, small, and midsize businesses to leading online travel agencies, metasearch engines, short-term rental platforms, global distribution systems, and travel management companies.
To schedule an interview with a Travel Tech spokesperson, contact media@traveltech.org.
Comments Emphasize Airline Responsibility and Consumer-Friendly Transparency in Family Seating Regulations
November 07, 2024 — The Travel Technology Association (Travel Tech) filed comments on the Department of Transportation’s (DOT) Family Seating Notice of Proposed Rulemaking (NPRM). Travel Tech expressed its support for the DOT’s commitment to ensuring families with young children can sit together on flights without incurring additional fees, while highlighting the need to focus regulatory responsibility on air carriers, which control seating policies.
In its comments, Travel Tech addressed the DOT’s proposed requirement for airlines to facilitate family seating and emphasized that ticket agents, including online travel agencies and other intermediaries, do not have control over seating assignments. Travel Tech underscored the importance of making certain the regulation clearly identifies air carriers as responsible for implementing family seating accommodations.
“Travel Tech supports the DOT’s efforts to improve families’ travel experience,” said Laura Chadwick, President & CEO of the Travel Technology Association. “Our priority is ensuring that the final rule prioritizes airlines’ role in seating assignment without burdening ticket agents. Clear, targeted regulations will prevent confusion and help families enjoy a more seamless travel experience.”
Travel Tech’s comments included a recommendation to refine the term “online platform” in the rule to specifically apply to air carriers’ own websites and apps. This adjustment would prevent any unintended impact on third-party booking platforms and other intermediaries. Additionally, Travel Tech urged the DOT to confirm that any required refunds for families unable to secure adjacent seating should be the exclusive responsibility of the air carrier, as ticket agents do not have the necessary control over seating arrangements to facilitate these refunds.
Travel Tech also noted the importance of ensuring ticket agents and intermediaries have access to complete, real-time seating information to provide consumers with the transparency they need to make informed decisions when booking travel.
The Travel Technology Association (Travel Tech) empowers traveler choice by advocating for public policy that promotes marketplace transparency and competition. Travel Tech represents the leading innovators in travel technology, including online travel agencies, metasearch engines, short-term rental platforms, global distribution systems, and travel management companies.
To schedule an interview with a Travel Tech spokesperson, contact media@traveltech.org.
On Wednesday, May 8th, Travel Tech hosted airline industry attorneys Jol A. Silversmith and Barbara Marrin of KMA Zuckert to outline the “Top 7 Takeaways on the New U.S. DOT Ancillary Fee and Refunds Rules.”
As discussed in the webinar, both rules have serious implications for both large and small travel technology businesses.
Did you miss the live webinar but still want to learn more about how these new rules will impact your business?
Fill out the form below to receive the link to the webinar and a PDF summary of the top seven takeaways:
Disclaimer: The Travel Technology Association is providing this webinar and the accompanying document as educational materials and not as legal advice. You must consult your own legal counsel for specific interpretation and applicability of these rules to you or your company.
Monday, April 29, 2024 — Last week, the U.S. Department of Transportation announced its final regulations on the transparency of airline ancillary service fees and refunds to customers for delayed and canceled flights.
What do the rules mean and how will they impact your business?
Join Travel Tech on Wednesday, May 8th, 2024, at 1:00 pm for a free webinar featuring airline industry attorneys Jol A. Silversmith and Barbara Marrin of KMA Zuckert.
Airline industry attorneys Jol A. Silversmith and Barbara Marrin will outline the top seven takeaways about these new regulations and answer your questions. Following the webinar, all registrants will receive a written memo about these seven takeaways.
April 24, 2024 — Today, the Department of Transportation issued two final rules impacting the travel tech industry: the transparency of airline ancillary service fees and refunds of airline tickets for delayed or canceled flights.
“Travel Tech has long supported the Department of Transportation’s goals to provide greater transparency to airline consumers on ancillary fees and clear guidelines on how and when refunds are made. Regrettably, today’s final rules fail to account for how these goals can technically be achieved, adding unnecessary costs and confusion for consumers,” said Laura Chadwick, President & CEO of the Travel Technology Association (Travel Tech).
In its ancillary fee comments, Travel Tech strongly advocated that airlines be required to provide critical ancillary fee information to all ticket agents and intermediaries, including GDSs, and not only to consumer-facing ticket agents as proposed by the Department of Transportation. Many ticket agents rely on GDSs to access airline schedules, fares, and availability information. Unfortunately, in the final ancillary fee rule, the Department declined to alter its proposal.
“Unfortunately, by not including GDSs, the very purpose of this rulemaking will be undermined, making it harder for ticket agents to inform consumers about the cost of ancillary services,” said Chadwick. “Had airlines been required to provide ancillary fee data to all ticket agents, transparency for consumers could have been achieved in months, not years. Consumer advocates cited this reason in their comments for supporting Travel Tech’s position.”
The Department’s final refund rule requires airlines and ticket agents (when acting as the merchant of record) to provide refunds to consumers within seven business days. While the rule requires airlines to notify ticket agents “without delay” when a consumer is eligible for a refund, it will still create situations in which ticket agents must provide refunds without first receiving the consumers’ funds back from the airlines.
“The final refund rule will render ticket agents as airlines’ de facto banks, forcing agents to float airlines’ refunds potentially indefinitely. Doing so unfairly places ticket agents in a precarious financial position that risks their ability to provide comparison shopping tools for consumers in the first place.”
The Travel Technology Association calls on Congress to pass its FAA reauthorization legislation. House and Senate versions of the bill include provisions supported by Travel Tech that provide sensible relief from some aspects of the Department’s final ancillary fee and refund rules.
The Travel Technology Association (Travel Tech) empowers traveler choice by advocating for public policy that promotes marketplace transparency and competition. Travel Tech represents travel technology innovators ranging from dynamic startups, small, and midsize businesses to leading online travel agencies, metasearch engines, short-term rental platforms, global distribution systems, and travel management companies.
To schedule an interview with a Travel Tech spokesperson, contact media@traveltech.org.
April 1, 2024 – Travel Tech, together with the American Society of Travel Advisors (ASTA) and the Travel Management Coalition, sent letters to the U.S. Senate Committee on Commerce, Science, and Transportation and the U.S. House Committee on Transportation & Infrastructure to highlight the provisions in the House and Senate FAA Reauthorization bills that apply to Travel Management Companies (TMCs) and request amendments and exemptions.
Services provided by contract to TMC customers include duty of care, management of complex itineraries involving larger groups of employees, and of course, changes, cancellations, and re-bookings. TMCs also manage travel for federal government agencies, including our nation’s military. TMC customers do not book or manage travel using online travel platforms available to the general public.
“Travel Tech thanks the leadership of the Senate and House committees for their work to advance the FAA Reauthorization,” said Travel Tech President & CEO Laura Chadwick. “We now ask that you recognize that Travel Management Companies, who do not book or manage travel using online platforms available to the general public, should be exempted from provisions intended for the general public.”
In the letter, the following requests were outlined:
With respect to ancillary fees, exempting from compliance any travel subject to a corporate or government contract.
Unless exempted, the proposed requirement would be problematic and unnecessary for corporate agencies, as the systems that TMCs and their business customers use for booking business travel differ from an airline website or online travel agency (OTA) site accessible to the general public.
Aligning the Senate and House bills with regard to Ticket Agent refund obligations to ensure Agents’ fiscal solvency.
Sec. 702 of the Senate bill directs the Secretary of Transportation to issue a final rule to apply refund requirements to Ticket Agents in the case of canceled or significantly delayed flights. However, Ticket Agents are not in a fiscal position to provide refunds without first receiving the passengers’ funds back from the airlines. The House bill clarifies this provision and should be fully adopted.
Clarify Ticket Agent responsibilities with regard to refund portal provision, and exempt Ticket Agents that provide services pursuant to a corporate or government contract.
Section 702 of S. 1939 requires Ticket Agents to prominently display on their websites a link that passengers eligible for a refund may use to make a request. This provision would require ticket agents, such as TMCs, who do not serve the general public but have a public website, to comply. However, Travel Management Companies already have specific refund obligations under their contracts. Accordingly, the refund portal provision should exempt ticket agents who provide travel services pursuant to corporate or government contracts.
The Travel Technology Association (Travel Tech) empowers traveler choice by advocating for public policy that promotes marketplace transparency and competition. Travel Tech represents travel technology innovators ranging from dynamic startups, small, and midsize businesses to leading online travel agencies, metasearch engines, short-term rental platforms, global distribution systems, and travel management companies.
To schedule an interview with a Travel Tech spokesperson, contact media@traveltech.org.
Final bill may be considered before the expiration of the FAA’s authorization extension on May 10th
March 27, 2024 – This week, Travel Tech sent letters to the U.S. Senate Committee on Commerce, Science, and Transportation and the U.S. House Committee on Transportation & Infrastructure as they work to align H.R. 3935, the Securing Growth and Robust Leadership in American Aviation Act of 2023 and S. 1939, the FAA Reauthorization Act of 2023 into one FAA reauthorization bill to be considered by both the House and Senate. Travel Tech’s letters highlighted its preferred changes to best support consumers as they purchase airline tickets.
“Travel Tech appreciates Congressional leaders for their hard work to get this critical legislation across the line,” said Travel Tech President & CEO, Laura Chadwick. “It is now critical that this bill is finalized in a way that gives travelers the transparency and choice they deserve.”
Travel Tech’s priorities for the final FAA Reauthorization bill include:
Adding Ticket Agents to the U.S. Department of Transportation’s Advisory Committee for Aviation Consumer Protection
Ticket Agents are the largest travel industry segment not represented on this key advisory committee. Allowing them to become members will provide valuable insights currently not reflected in the committee, helping the Department of Transportation meet its consumer protection mission.
Aligning the Senate and House bills with regard to Ticket Agent refund obligations to ensure Agents’ fiscal solvency
Sec. 702 of the Senate bill directs the Secretary of Transportation to issue a final rule to apply refund requirements to Ticket Agents in the case of canceled or significantly delayed flights. However, Ticket Agents are not in a fiscal position to provide refunds without first receiving the passengers’ funds back from the airlines. The House bill clarifies this provision and should be fully adopted.
Clarify Ticket Agent responsibilities with regard to refund portal provision, and exempt metasearch engines and other Ticket Agents that provide services pursuant to a corporate or government contract
Section 702 of S. 1939 requires Ticket Agents to prominently display on their websites a link that passengers eligible for a refund may use to make a request. However, because many Online Travel Agents offer services beyond airfare comparison shopping and booking on their sites, these links will likely cause confusion among consumers seeking refunds for hotels, car rentals, or other services. Furthermore, Travel Management Companies that do not sell to the public already have specific refund obligations under their contracts. Finally, metasearch engines that direct customers to other sites have no record of which flight a customer ultimately purchased and should be similarly exempt.
Allow flexibility for Ticket Agents and air carriers to design the appropriate display of ancillary fees for customers, and similarly distinguish between Agents that provide services under corporate or government contracts and those that engage with the public
Remove the inclusion of Section 701 in H.R. 3935 that repeals the DOT’s Full Fare Advertising Rule.
The Full Fare Advertising Rule requires that the entire price for airfare, including taxes and fees, be disclosed to consumers in the first instance following an itinerary search. Its repeal will undermine consumers’ ability to effectively comparison shop and choose the best travel option to meet their needs and budget.
The Travel Technology Association (Travel Tech) empowers traveler choice by advocating for public policy that promotes marketplace transparency and competition. Travel Tech represents travel technology innovators ranging from dynamic startups, small, and midsize businesses to leading online travel agencies, metasearch engines, short-term rental platforms, global distribution systems, and travel management companies.
To schedule an interview with a Travel Tech spokesperson, contact media@traveltech.org.
Comments Advocate for Intermediaries and Liability Protections When Travel Suppliers Fail to Provide Accurate Mandatory Fee Information
February 8, 2024 — The Travel Technology Association (Travel Tech) filed comments on the FTC’s Trade Regulation Rule on Unfair or Deceptive Fees NPRM. Travel Tech expressed support for the Commission’s continued efforts to enhance competition and pricing transparency for consumers but advocated that revisions be made about who should be held liable when inaccurate mandatory fee information is provided by travel service providers, including hotels.
Travel Tech provided detailed information in its comments about the indirect distribution channel, where millions of price points are transmitted from hotels and other travel service providers to Travel Tech member companies and other intermediaries. This complex process is critical to enabling the price and quality comparison tools consumers rely on.
“Travel Tech is committed to enhancing the consumer travel experience through transparency and competition,” said Laura Chadwick, President and CEO of Travel Tech. “However, the FTC’s proposed rule assumes that hotels will pass along its mandatory fee information – charges only they know and possess – but this is not always the case.”
Travel Tech strongly urged the Commission to revise its proposed rule to make clear that Intermediaries are not liable when Travel Service Providers fail to provide accurate, complete, and timely mandatory fee information as long as Intermediaries make reasonable efforts to receive such information.
Six years ago, Congress passed a law that held that intermediaries cannot be found liable when air carriers operating in the United States fail to provide information or data is required for intermediaries to comply with a rule about customer service information (FAA Reauthorization Act of 2018, Pub. L. No. 115-254 § 427, 132 Stat. 3340.). In addition, thirty-nine states have similar laws in place when sellers provide inaccurate sales tax information to marketplaces. In its comments, Travel Tech argued that the FTC should apply similar standards in its final rule.
The Travel Technology Association (Travel Tech) empowers traveler choice by advocating for public policy that promotes marketplace transparency and competition. Travel Tech represents the leading innovators in travel technology, including online travel agencies, metasearch engines, short-term rental platforms, global distribution systems, and travel management companies.
To schedule an interview with a Travel Tech spokesperson, contact media@traveltech.org.
Association Puts Forth Recommendations to the Senate That Reflect Ticket Agents’ Role in the Travel Marketplace
February 8, 2024 – The Travel Technology Association (Travel Tech) submitted a letter to the Senate Committee on Commerce, Science, & Transportation concerning S. 1939, the FAA Reauthorization Act of 2023. The letter provides recommendations for the committee to consider ahead of the bill’s markup, including:
Sec. 701: Advisory Committee for Aviation Consumer Protection. Travel Tech supports Senator Rosen’s amendment incorporated into the Manager’s Amendment that adds Ticket Agents to the U.S. Department of Transportation’s Advisory Committee for Aviation Consumer Protection. Currently, Ticket Agents are the largest travel industry segment not represented on this key advisory committee.
Sec. 703: Refunds. Ticket Agents should only be required to provide a refund when such ticket agent possesses, or have access to, the funds of a Passenger. Travel Tech asks that the Senate amend S.1939 by replacing the current language with the House-passed provision.
Refund portal. Many Ticket Agents offer services beyond airfare comparison shopping and booking on their sites. Requiring them to place a refund link exclusively for airline refunds at the top of their public internet website, as the legislation currently does, will likely cause confusion among consumers seeking refunds for hotel, car rental, or tour operators. The Committee should amend this provision to achieve its intended goals.
Disclosure of Ancillary Fees. Travel Tech strongly supports Sec. 705 as it provides Ticket Agents and air carriers flexibility in the design of appropriate displays of ancillary fees. Travel Tech also strongly supports that an additional provision should be added to Sec. 705 to continue to recognize the distinction between ticket agents that provide services pursuant to a corporate or government contract and other types of ticket agents.
“We urge the Committee to adopt our recommendations to support travelers and the Travel Tech member companies that serve them,” said Laura Chadwick, President and CEO of Travel Tech.
The Travel Technology Association (Travel Tech) empowers traveler choice by advocating for public policy that promotes marketplace transparency and competition. Travel Tech represents travel technology innovators ranging from dynamic startups, small, and midsize businesses to leading online travel agencies, metasearch engines, short-term rental platforms, global distribution systems, and travel management companies.
To schedule an interview with a Travel Tech spokesperson, contact media@traveltech.org.
Major Activity Anticipated by Congress, Regulatory Agencies, and State Legislatures in 2024
January 10, 2024 — With Members of Congress returning to Capitol Hill this week, Travel Tech released a briefing on the state of play for public policy impacting the travel industry. As interest in travel continues to rebound with consumers and policymakers, the association is keyed into ongoing legislative and regulatory fights on behalf of travel tech companies.
Advocating for One National Mandatory Fee Price Transparency Law and Enforcement Fairness for Travel Tech Companies
Policymakers on both the federal and state levels continue to pursue efforts to hold hotels accountable when they withhold information about their mandatory fees from travelers. Travel Tech supports a single, national standard and a common-sense provision to account for situations when hotels fail to provide accurate and complete information to price comparison sites.
Anticipating Final Rules on Refunds and Ancillary Fee Transparency by the U.S. Department of Transportation (DOT) in February and March
According to the federal government’s Unified Regulatory Agenda, the DOT will issue its final rules onAirline Ticket Refunds and Consumer Protections in February and Enhancing Transparency of Airline Ancillary Service Fees in March of this year. Travel Tech filed comprehensive comments on both proposed rules, as each will majorly impact the travel technology industry.
Securing Travel Tech’s Priorities in the Long-Term Reauthorization of the Federal Aviation Administration (FAA) by Congress
The second extension of the FAA expires on Friday, March 8, 2024. The U.S. Senate Commerce Committee will likely soon schedule a markup of S. 1939, the FAA Reauthorization Act of 2023. In July 2023, the U.S. House of Representatives passed H.R. 3935, the Securing Growth and Robust Leadership in American Aviation Act. Both pieces of legislation include major Travel Tech priorities, and the association continues to advocate actively for provisions included in S.1939.
Travel Tech supports S.2033, the American Innovation and Choice Online Act (AICOA) to address the vast inequities resulting from extremely large search platforms, like Google, abusing their dominant position and undermining competition.
Both state and federal policymakers are grappling with how AI tools should be regulated. Given the concerns about inaccurate or outdated information and recommendations, copyright issues, ethical risks and more, the use of AI in travel may soon be a focal point in such discussions. Travel Tech will engage with policymakers on the responsible use of AI in the travel sector.
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The Travel Technology Association (Travel Tech) empowers traveler choice by advocating for public policy that promotes marketplace transparency and competition. Travel Tech represents travel technology innovators ranging from dynamic startups, small, and midsize businesses to leading online travel agencies, metasearch engines, short-term rental platforms, global distribution systems, and travel management companies.
To schedule an interview with a Travel Tech spokesperson, contact media@traveltech.org.
Association to Submit Comments in Response to Junk Fee Challenges in the Indirect Channel
The U.S. Federal Trade Commission (FTC) recently published its proposed Trade Regulation Rule on Unfair or Deceptive Fees and is currently seeking public comment. If adopted, this wide-sweeping regulation would directly impact companies in the travel tech sector, including those that engage in the indirect sale of hotel rooms or other places of short-term lodging and/or place a surcharge on consumer transactions to cover the cost of payment processing and beyond.
To support travel tech industry members, the Travel Technology Association (Travel Tech) has developed a free regulatory analysis to help companies understand this proposed new regulation. Travel Tech is working with its members to submit comments by the new official due date of February 7, 2024. (Interested in learning more about membership? Learn more here.)
“Travel Tech members are committed to operating transparently. It is central to the benefits they provide to consumers,” said Laura Chadwick, President & CEO of Travel Tech. “To protect competition and transparency, any regulations in this area must apply equally to all entities providing travel pricing information, both online and offline.”
Access Travel Tech’s Free Regulatory Analysis on FTC Junk Fees
Fill out this form to access the document:
The Travel Technology Association (Travel Tech) empowers traveler choice by advocating for public policy that promotes marketplace transparency and competition. Travel Tech represents travel technology innovators ranging from dynamic startups, small, and midsize businesses to leading online travel agencies, metasearch engines, short-term rental platforms, global distribution systems, and travel management companies.
To schedule an interview with a Travel Tech spokesperson, contact media@traveltech.org.
Bill’s Safe Harbor Provision is Essential for Pro-Consumer Price Comparison Sites
On Wednesday, November 1st, the House Energy and Commerce Subcommittee on Innovation, Data, and Commerce held a markup on the No Hidden FEES Act of 2023. The Act will require – for the first time ever in federal law – consumers are shown the total price for a hotel room (including rate and all mandatory fees) wherever hotel pricing is available. Under this legislation, the total price must be “transparent to and easily understood by the consumer.”
Travel Tech and its members continue to engage on this important legislation, working with subcommittee staff to incorporate a safe harbor provision similar to those used in many states for sales and occupancy tax collection.
Laura Chadwick, President and CEO of Travel Tech said: “Providing transparent and competitive pricing to consumers is central to price comparison websites’ business models. The safe harbor language ensures that hotels must share their resort fees not only on their own websites but on price comparison sites too.”
“Without a safe harbor, price comparison sites would have to engage in costly, time-intensive investigations and contract dispute litigation with the tens of thousands of hotels providing their rates and taxes – but not their mandatory fees – to these sites,” Chadwick added. “Doing so will detract from price comparison sites’ core purpose: providing a transparent and competitive marketplace for consumers to find and book their travel.”
Multiple states have identical safe harbor laws for sales and/or occupancy tax collection. In these cases, if sellers fail to provide accurate tax information to price comparison sites, the sellers are ultimately responsible – not the marketplace. The same should follow on the federal level if a hotel provides inaccurate resort fees to a travel marketplace.
The Travel Technology Association (Travel Tech) empowers traveler choice by advocating for public policy that promotes marketplace transparency and competition. Travel Tech represents the leading innovators in travel technology, including online travel agencies, metasearch engines, short-term rental platforms, global distribution systems, and travel management companies.
To schedule an interview with a Travel Tech spokesperson, contact media@traveltech.org.
On Wednesday, September 20th, the Travel Technology Association (Travel Tech) submitted supplemental comments in response to supplemental comments by Airlines for America (A4A) regarding the U.S. Department of Transportation’s (DOT) proposed “Enhancing Transparency of Airline Ancillary Service Fees” rulemaking. In these comments, Travel Tech refutes A4A’s assertion that the DOT rulemaking is unnecessary.
“Travel Tech supports the Department’s rulemaking as it has rightly determined that a problem exists for consumers,” said Laura Chadwick, President and CEO, in the comments. “While fees for ancillary services aren’t mandatory, many passengers need to purchase these services. As such, consumers ought to have the ability to know and compare the true cost of their air travel before they purchase it, which includes these critical ancillary fees.”
Furthermore, in response to A4A’s claim that “a healthy market exists today,” Chadwick responds,
“Travel Tech agrees with A4A that contracts between Global Distribution Systems and airlines that include ancillaries are a positive development, but progress has been slow and incomplete and has been happening in the shadow of DOT’s repeated efforts to address the lack of pricing transparency caused by airline unbundling. Travel Tech respectfully urges that now is the time for the Department to act and to effectively address this issue.”
Travel Tech continues to advocate in support of the DOT’s proposed rule, as modified to ensure that all intermediaries who provide fare and schedule data to online ticket and travel agents receive ancillary information from airlines. Doing so will ensure consumers have transparency into the full cost of an airline ticket and won’t be surprised by hidden critical ancillary fees.
The Travel Technology Association (Travel Tech) empowers traveler choice by advocating for public policy that promotes marketplace transparency and competition. Travel Tech represents the leading innovators in travel technology, including online travel agencies, metasearch engines, short-term rental platforms, global distribution systems, and travel management companies.
To schedule an interview with a Travel Tech spokesperson, contact media@traveltech.org.
Inclusion of Travel Technology Industry Priorities Support Travelers and Industry Members
On Thursday, July 20th, the Travel Technology Association (Travel Tech), the voice of the travel technology industry and consistent advocate for public policy that supports a competitive and transparent marketplace, praised legislators for advancing H.R. 3935, the Securing Growth and Robust Leadership in American Aviation Act through the U.S. House of Representatives.
“We are also especially grateful to Rep. Dina Titus and Rep. Gus Bilirakis, chairs of the House Travel & Tourism Caucus, along with Reps. John Garamendi, Marco Molinaro, and Susan Brownley for introducing H.R. 3780, the ACPAC Modernization Act,” said Chadwick. “Due to Rep. Titus’s leadership, ticket agents are one step closer to being able to offer their unique expertise on improving airline customer service.”
H.R. 3780, the ACPAC Modernization Act, was merged into the House-passed FAA Reauthorization bill (H.R. 3935). It will add a ticket agent representative to the U.S. Department of Transportation’s (DOT) Aviation Consumer Protection Advisory Committee (ACPAC).
Prior to the House vote on H.R. 3935, Travel Tech sent a letter to Congress to express its support for the legislation. Travel Tech’s letter, however, noted its opposition to the inclusion of Section 701 of the bill, which repeals the DOT’s long-standing Full Fare Advertising Rule. This rule requires that the entire price for airfare, including taxes and fees, be disclosed to consumers in the first instance following an itinerary search.
Laura Chadwick, Travel Tech’s President & CEO, argued that “Its repeal will undermine consumers’ ability to effectively comparison shop and choose the best travel option to meet their needs and budget.”
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The Travel Technology Association (Travel Tech) empowers traveler choice by advocating for public policy that promotes marketplace transparency and competition. Travel Tech represents the leading innovators in travel technology, including online travel agencies, metasearch engines, short-term rental platforms, global distribution systems, and travel management companies.
To schedule an interview with a Travel Tech spokesperson, contact media@traveltech.org.
At the recent U.S. Department of Transportation (DOT) hearing on its proposed “Enhancing Transparency of Airline Ancillary Service Fees” regulation, Laura Chadwick, Travel Tech President and CEO, submitted a coalition letter signed by U.S. Travel, the U.S. Chamber of Commerce, the American Society of Travel Advisors (ASTA), the Global Business Travel Association (GBTA), Hopper, and Sabre to express their shared concerns about the proposed rule’s first-page search results requirement. Chadwick noted during her testimony that this letter demonstrates “in one document the many stakeholders who take issue with this part of the proposed rule.” Recently, the Computer & Communications Industry Association (CCIA) joined this letter as a signatory as well.
Across their written comments to the Department, these organizations detailed how the mandatory inclusion of ancillary fee information on the first-page of search results would negatively impact consumers. In the letter submitted by Chadwick, they collectively ask the Department to allow for flexibility and innovation in how ancillary fee information is presented to consumers so long as it is early in the purchase process.
Federal Advisory Committee Lacks Ticket Agent Representative
The Travel TechnologyAssociation (Travel Tech) submitted supplemental comments regarding the U.S. Department of Transportation’s (DOT) proposed “Enhancing Transparency of Airline Ancillary Service Fees” rulemaking. In these comments, Travel Tech provided its response to the recommendations made by the Aviation Consumer Protection Advisory Committee and recent survey findings cited by Laura Chadwick, Travel Tech President & CEO, during the Department’s recent hearing on the proposed rule.
In its supplemental filing, Travel Tech responded to ACPAC’s recommendations regarding the DOT’s proposed rules on ancillary fees; GDS access to ancillary fee information; change and cancellation rules; data sharing; and proposed compliance timeline. You can read Travel Tech’s supplemental filing here.
“Travel Tech welcomes every opportunity to share our knowledge about empowering traveler choice in written comments, presentations, meetings, testifying, and beyond,” said Chadwick. “Our member companies are the foremost experts in supporting millions of consumers every year in their travel planning. The input we provide is not only effective but technically feasible too. It will lead to better travel experiences for all.”
The DOT’s Aviation Consumer Protection Advisory Committee (“ACPAC”) convened on January 12, 2023, to make recommendations on the Department’s “Enhancing Transparency of Airline Ancillary Service Fees” rulemaking. Membership of ACPAC is limited by law to four representatives: an air carrier representative; an airport operator; a law enforcement officer; and a consumer advocate.
Travel Tech continues to advocate that a Ticket Agent representative be added to the membership of ACPAC. Doing so will expand the advisory committee’s industry knowledge base and improve the quality of its recommendations. In a recent white paper on its 2023 FAA Reauthorization priorities, Travel Tech advocates that Congress amend the law governing ACPAC membership.
“New ideas and perspectives are needed right now to improve airline travel for consumers. Ticket agents, which include online ticket agents and metasearch engines represented by Travel Tech, can offer ACPAC deep technical expertise and long-standing commitment to innovation,” said Chadwick.
About Travel Tech
The Travel Technology Association (Travel Tech) empowers traveler choice by advocating for public policy that promotes marketplace transparency and competition. Travel Tech represents the leading innovators in travel technology, including global distribution systems, online travel agencies, metasearch companies, travel management companies, and short-term rental platforms.
To schedule an interview with a Travel Tech spokesperson, contact media@traveltech.org.
Advocates for Ancillary Fee Website Display Flexibility
The hearing, separately petitioned for by both Travel Tech and Airlines for America, focused entirely on the proposed rule’s requirement that critical ancillary fees must be shown on the first page of search results alongside fare and schedule information. Today, additional optional services, including checked bags, specific seat selection, and carry-on bags, are presented to consumers early in the flight search process.
“Travel Tech firmly believes that our member companies are best positioned to innovate and determine how ancillary fee information should be presented to consumers,” stated Chadwick. “In addition to our written comments and those of our members, we pursued this hearing because we are concerned about the deep impact this proposed first-page search results requirement would have on consumers. This is especially true for those shopping on travel comparison sites that display hundreds of flight combinations across a multitude of different airlines.”
In its rationale for the proposed first-page search results requirement, the DOT cited that “because most passengers travel once per year or less, they may not be aware of certain ancillary service fees, such as those related to seat selection.” However, in an online survey commissioned by Travel Tech of over 1,000 U.S. American adult consumers from March 24-26, it was found that:
Nearly 90% of all U.S. adults know they may have to pay additional fees for optional services beyond the cost of their airline ticket, including Baby Boomers at 92% and 87% of the so-called “Silent Generation” (adults aged 78-95).
60% of U.S. adults have used travel comparison sites, and of those who likely use Travel Tech member websites, 96% of consumers know they may have to pay additional fees for optional services (e.g., checked bags, specific seat selection, carry-on bag, etc.) beyond the cost of their ticket.
Consumers’ satisfaction with travel comparison sites was closely tied to how fares are currently presented on these sites and their ability to get relevant flight information quickly and easily.
Chadwick, in her testimony, observed that, “Consumers know that critical ancillary fees are now a part of travel – they expect these fees and know that they are optional services and not required. There are no surprises here. As such, there is no need to overload the first-page search results with the extra information this rule would require.”
Hearing witnesses from Travel Tech member companies Amadeus, Priceline (as part of Booking Holdings), and Skyscanner shared their expertise with the DOT, testifying to the technical infeasibility of the proposed first-page search results requirement. Their testimony, along with other witnesses, can be accessed here.
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About Travel Tech
The Travel Technology Association (Travel Tech) empowers traveler choice by advocating for public policy that promotes marketplace transparency and competition. Travel Tech represents the leading innovators in travel technology, including global distribution systems, online travel agencies, metasearch companies, travel management companies, and short-term rental platforms.
To schedule an interview with a Travel Tech spokesperson, contact media@traveltech.org.
Testimony of Laura Chadwick, President, and CEO Travel Tech
March 30, 2023 – Public Hearing – U.S. Department of Transportation’s Notice of Proposed Rulemaking on Enhancing Transparency of Airline Ancillary Service Fees
TOPIC 1
Whether Consumers Are or Are Likely To Be Substantially Injured or Misled by Airlines’ Current Disclosures of Ancillary Service Fees
I am Laura Chadwick, president and CEO of the Travel Technology Association, also known as “Travel Tech.” Our mission is to empower traveler choice. To do so, we bring together travel innovators to promote transparency and competition through education and advocacy. Our members include online ticket agents, metasearch engines, global distribution systems, travel management companies, and short-term rental platforms. I am proud to be a witness today alongside member companies Priceline, as part of Booking Holdings, Skyscanner, and Amadeus.
Thank you to the Department for granting Travel Tech’s petition for this hearing to discuss the proposed “Enhancing Transparency of Airline Ancillary Service Fees” rule, specifically regarding its requirement that critical ancillary fees must be shown on the first page of search results. We took this extra step of filing this hearing petition because we strongly hold that Travel Tech member companies are best positioned to determine how ancillary fee information should be presented to consumers. You will hear from three experts from Travel Tech member companies later today who testify to the intense efforts that their companies pursue to serve the needs of their consumers.
Travel Tech, as it did in 2014, supports this rulemaking. Advocating for transparency for consumers is who we are and what we do. It’s in our member companies’ DNA – transparency was a driving force behind the founding of their companies years ago to support consumers.
But before we can address issues relating to how critical ancillary fees can and should be presented to consumers, we must discuss the critical ancillary fee data itself. This is so important because the transparency of ancillary fee data is impossible without permanent access to the data in the first place.
Travel Tech and our member companies strongly agree with the Department’s finding that consumers are or are likely to be substantially injured or misled by airlines’ current disclosure of ancillary service fees. And we likewise agree with the DOT’s proposed requirement that critical ancillary fee data must be provided by airlines. It is indeed unfair and deceptive that consumers purchasing their tickets through the indirect channel do not have guaranteed access to critical ancillary fee information. Ticket agents, however, cannot provide to consumers what ticket agents do not themselves have – that is, the fee data itself.
Now, to whom critical ancillary fee data is provided is a different story. As we extensively detail in Travel Tech’s written comments, we strongly believe the Department must alter its proposed rule and require airlines to provide critical ancillary fee data to all intermediaries the airlines use to distribute their schedule and fare information. This includes providing the ancillary fee data to global distribution systems.
Travel agents of all sizes greatly rely on Global Distribution Systems to provide schedule and fare information from across the 400 airlines operating around the world. It’s hard to overstate how essential GDSs are in facilitating comparison shopping on Travel Tech members’ consumer-facing sites.
Allowing airlines to skip over GDSs and provide the ancillary fee data directly to ticket agents – as the proposed rule currently states – will have a tremendous impact on a ticket agent’s ability not only to digest but also then display critical ancillary fee information, much less so on the first page of search results. Ticket agents today have no existing infrastructure whatsoever to match ancillary fee data with the schedule and fare data provided to them by the GDSs. It will take years of work and massive investments to build these duplicative capabilities and not the six months that the Department has proposed. The years of work needed to make this happen will greatly delay the achievement of the overall goal of this rulemaking: providing transparency of critical ancillary fees to consumers.
Witnesses from Travel Tech members will highlight how difficult displaying critical ancillary fees would be without the involvement of GDSs in addition to their technical expertise about the Department’s proposed first-page search results requirement.
Thank you.
TOPIC 2
Whether Disclosures of Itinerary-Specific Ancillary Fees at the Time of First Search Will Result in the Display of Incomplete or Inapplicable Ancillary Fee Information, Cause Consumer Confusion, and Distort the Marketplace
Thank you again to the Department for granting this hearing and for the opportunity to speak today.
Travel Tech, in its written comments and in our hearing petition, expressed its deep concerns about the Department’s proposed first-page search results requirement. As I stated earlier, we took this extra step of filing a hearing petition because we strongly hold that Travel Tech member companies are best positioned to determine how ancillary fee information should be presented to consumers.
This proposed rule would mandate that carry-on and checked baggage fees, change and cancellation fees, and family seating fees be shown in text only on the first page of search results. It would specifically ban the use of rollovers or web links. This provision would apply to both airline and ticket agent sites.
You will hear from true experts on flight search display from Travel Tech members today. They will provide great detail about the technical infeasibility of this provision. They will also speak directly to the deep impact it would have on consumers, especially those shopping on travel comparison sites that display hundreds of flight combinations across a multitude of different airlines.
I want to take a moment to highlight the other organizations – beyond Travel Tech and the airlines – that submitted comments on this proposed rule and what they said about this first-page search results provision.
The US Chamber of Commerce wrote, “…Without the ability to display fee information via pop-ups or roll-overs, the strict and prescriptive display requirements required under the NPRM would have the effect of bombarding consumers with irrelevant fee and fare information on a single webpage, making ticket agent webpages difficult to navigate and cluttered.”
US Travel stated, “Additionally, more and more consumers are utilizing mobile devices rather than web browsers to make travel plans. Increasing the amount of required information to be shared during the purchase process on smaller screens will lead to an inferior user experience, increased consumer frustration and the type of information overload that diminishes consumer interest and comprehension.”
The Global Business Travel Association is “concerned by the sheer volume of proposed ancillary fee information on the first page creating confusion for travelers. The requirement to include all information on the first page may actually have a negative effect, as screen real estate is consumed by ancillary fee information, reducing the number of available flights able to be displayed in a single webpage, and requiring substantially more search time to compare options.”
And even the AARP submitted comments and wrote, “However, without additional guidance, there is the potential that displaying all fees in the same place as the fare could be visually overwhelming for some consumers, adding confusion rather than reducing it.”
And there are further comments noting concern about the first-page search results beyond what I have now presented. Today, Travel Tech is submitting a letter signed by US Travel, the US Chamber, the American Society of Travel Advisors (ASTA), the Global Business Travel Association (GBTA), Hopper, and Sabre to the docket to demonstrate in one document the many stakeholders who take issue with this part of the proposed rule.
The rationale of this first-page search results requirement – as described in the NPRM’s “Need for a Rulemaking” section – was quote “because most passengers travel once per year or less, they may not be aware of certain ancillary service fees, such as those related to seat selection.” According to the Department and per consumer advocates, consumers continue to be surprised by these optional services, and therefore, all critical ancillary fees must be shown on the first page of search results along with schedule and fare information.
We at Travel Tech were “curious, not judgmental” about this conclusion and wanted to hear directly from consumers about what they knew about ancillary fees and their understanding of optional services, like checking bags or selecting a seat.
To do so, Travel Tech fielded an online survey of over 1,000 U.S. adult consumers from March 24-26, a few days ago. The topline results that I will now share were weighted to be representative of the overall population.
Our survey found that nearly 90% of all U.S. adults know they may have to pay additional fees for optional services beyond the cost of their airline ticket. This includes Baby Boomers at 92% and 87% of the so-called “Silent Generation” (adults aged 78-95).
We found out that 60% of U.S. adults have used travel comparison sites, and of those who likely use Travel Tech member websites, 96% of consumers know they may have to pay additional fees for optional services (e.g., checked bags, specific seat selection, carry on bag, etc.) beyond the cost of their ticket.
Further, we found that consumers’ satisfaction with travel comparison sites was closely tied to how fares are currently presented on these sites and their ability to get relevant flight information quickly and easily.
We asked and consumers told us that they use travel comparison sites to compare airline flight costs (as intended!)
And then we asked consumers all the reasons why they stop using websites, 50% said because the website was difficult to navigate, 49% said the page took too long to load and 40% said was too hard to use.
Lastly, we asked consumers about whether they’d like to purchase ancillary fee services on the same travel comparison sites where they purchased their airline ticket, and 86% said yes.
These results are clear evidence – even though they may travel once a year or less – that consumers are incredibly aware of the existence of critical ancillary fees. Not too many consumer surveys reach numbers of 96% awareness. Consumers know that critical ancillary fees are now a part of travel – they expect these fees and know that they are optional services and not required. There are no surprises here. As such, there is no need to overload the first-page search results with the extra information this rule would require.
TOPIC 3
Whether Disclosures of Itinerary-Specific Ancillary Fees at the Time of First Search Will Result in the Display of Incomplete or Inapplicable Ancillary Fee Information, Cause Consumer Confusion, and Distort the Marketplace
Thank you again to the Department for granting Travel Tech’s hearing petition and for the opportunity to speak today. I have greatly enjoyed hearing from all of the witnesses on this matter of first-page search results. We greatly appreciate references and call-outs from other companies and organizations about how much more difficult this proposed provision would hit the independent channel, which shows consumers fares from a multitude of different carriers all at once.
I appreciate Andrew Applebaum’s observations about Expedia’s website. We are glad that you are pleased with how ancillary fee information is presented today. However, if you are pleased today, then I must ask why do we need this first page search results provision?
I also wanted to address John Breyault’s testimony regarding Travel Tech’s petition. He says that we could ask for consumer data at the search input screen. This is not what the proposed rule would require. Further, this proposed change from the proposed rule would face the same exact technical infeasibility issues that the first-page results do, which you will hear about in great detail from the witnesses from Travel Tech member companies.
Right before lunch, we heard from Corey Vezna of Priceline, and prior to that Jay Richmond from Amadeus and Katie Hinchin of Skyscanner. And we are pleased to hear Jay and Corey speak once more today on question 3. But all three of these experts in flight search from Travel Tech members have already touched on the technical infeasibility of the proposed first-page search results requirements and its negative impact on consumers.
I wanted to quickly take an opportunity to share thoughts from another Travel Tech member company who were unable to join us at this hearing today.
Glenn Wallace, head of product of technology at Fareportal, and previously a founding employee at Expedia, told me that, “The pricing permutations of flight schedule, fare type/cabin, and specific seats are huge, and requiring that all options and therefore all combinations are shown at the first page will place a huge computing and communication burden on industry systems, and lead to slower page retrieval times, larger web pages, and materially slower page loading times.”
Thank you again.
U.S. Department of Transportation Grants Travel Tech’s Hearing Petition on Proposed First Page Search Display Requirements
The Travel Technology Association (“Travel Tech”) successfully convinced the U.S. Department of Transportation (DOT) to grant its hearing petition on DOT’s proposed “Enhancing Transparency of Airline Ancillary Service Fees” regulation. Travel Tech requested this hearing to “address multiple disputed technical, economic, and other factual issues raised by DOT’s proposed requirement to display the ‘critical’ ancillary fee information…on the first page of online search results.” The hearing will be held virtually on Thursday, March 30th
Travel Tech continues to express its support for DOT’s efforts to ensure consumers have access to critical ancillary fee information. For too long, consumers have lacked the consistent ability to know the true cost of different flight options. However, in its comments and hearing petition filed in January, Travel Tech highlighted deep concerns about the proposed mandate to display carry-on and checked bag fees, change and cancellation fees, and family seating fees in text on the first page of search results.
“Our members are the leading innovators in creating and maintaining consumer-friendly online travel comparison sites,” said Laura Chadwick, president and CEO of Travel Tech. “If the DOT’s proposed rule is adopted as written, these first-page search display regulations will clutter and confuse consumers’ online air travel shopping experience. This is especially true for travel comparison sites that display multiple airlines’ schedules and fares.”
“We are grateful for DOT’s interest in these matters and our member’s point of view,” Chadwick continued. “We look forward to assisting the DOT in making decisions that empower traveler choice, enable marketplace competition, promote transparency, and are indisputably in the public interest.”
Concerns raised by Travel Tech were echoed in many other responses to the NPRM from several agencies and organizations, including AARP, Google, U.S. Travel, U.S. Chamber of Commerce, and many more. These comments featured throughout Travel Tech’s #WeAgree campaign and can be found on LinkedIn and Twitter.
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About Travel Tech
The Travel Technology Association (Travel Tech) empowers traveler choice by advocating for public policy promoting marketplace transparency and competition. Travel Tech represents the leading innovators in travel technology, including global distribution systems, online travel agencies, metasearch companies, travel management companies, and short-term rental platforms.
To schedule an interview with a Travel Tech spokesperson, contact media@traveltech.org.
“Travel Tech has long supported the U.S. Department of Transportation’s efforts to ensure consumers have access to critical ancillary fee information. We did so in 2014 and are doing so again in 2023,” stated Laura Chadwick, President & CEO of the Travel Technology Association. “For too long, consumers have lacked the consistent ability to know the true cost of different flight options.”
In its comments, Travel Tech addresses how ancillary fee information should be provided to ticket agents. In its proposed rule, the DOT seeks to omit global distribution systems from receiving mandatory ancillary fee data from airlines.
“Travel Tech strongly recommends that ancillary fee data be shared with all channels that distribute fare and schedule information,” Chadwick continued. “It is the most simple and direct way to solve the issue of ancillary fee transparency for consumers.”
Travel Tech also filed a petition today requesting a hearing on DOT’s proposed requirement to display the critical ancillary fee information on the first page of online search results. Travel Tech addresses this matter in its comments.
“Our members are the leading innovators in creating consumer-friendly online travel information sites. We are deeply concerned about the DOT’s first-page search results requirements included in the proposed regulation. These rules, if adopted as written, will clutter and confuse the online air travel shopping experience for consumers. This is especially true for travel comparison sites that display multiple airlines’ schedules and fares,” said Chadwick.
“In our comments and hearing petition, we argue that the Department should not displace ticket agents’ well-established expertise with a government-regulated website design mandate. Ticket agents should have the flexibility to design appropriate displays of ancillary fees and develop innovative new methods for consumers as well,” Chadwick continued.
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About Travel Tech
The Travel Technology Association (Travel Tech) is the voice of the travel technology industry, advocating for public policy that promotes transparency and competition in the marketplace to encourage innovation and preserve consumer choice. Travel Tech represents the leading innovators in travel technology, including global distribution systems, online travel agencies and metasearch companies, travel management companies, and short-term rental platforms.
To schedule an interview with a Travel Tech spokesperson, contact media@traveltech.org.
Oral Comments of
Laura Chadwick, President & CEO, Travel Technology Association
United States Department of Transportation
Airline Consumer Protection Advisory Committee:
Concerning Data Sharing to Ticket Agents in the
Ancillary Fee Notice of Proposed Rulemaking
December 8, 2022
On behalf of the Travel Technology Association (“Travel Tech”), thank you again for the opportunity to address this meeting of the Aviation Consumer Protection Advisory Committee (ACPAC) about the Department of Transportation’s (DOT) Ancillary Fees Transparency Notice of Proposed Rulemaking (NPRM) proceeding. Travel Tech advocates for public policy that promotes market transparency and competition to encourage innovation and preserve consumer choice. We represent the leading innovators in travel technology, including online travel agencies and metasearch companies, travel management companies, global distribution systems, and short-term rental platforms.
Travel Technology Association members are critical stakeholders in this matter as they will directly implement many provisions of the final regulation. Millions of Americans rely on our member companies to do comparative searches to find the best flight options and to book their airline travel. Many of the proposals in the proposed NPRM will impact intensely complex back-end systems maintained or supported by Travel Tech members and the corresponding display of billions of dynamic data points.
As I stated earlier, the Travel Technology Association applauds the Department’s continuing work and commitment to this vital consumer protection matter. Travel Tech has long advocated not only for ancillary fee transparency for airlines but resort fee transparency for hotels as well. In 2014 and 2017, we supported the Department’s proposals to require airlines to share their ancillary fee information with ticket agents so that consumers could have complete visibility into the cost of their flight options, regardless of whether they use a direct or indirect channel to book their air travel. This is a worthwhile undertaking, and we stand ready to support you, ACPAC members, and the Department as it moves forward.
Today, the current state of play is this: as the text of NPRM notes, “While fare, schedule, and availability information are currently provided by the airlines to the GDSs, and by GDSs to the agents that display and sell to consumers, information about the cost of ancillary services is not typically shared.” (emphasis added.) As a practical result, consumers lack transparency about the ancillary fee costs prior to the purchase of their tickets through online travel agencies. Nonetheless, this same NPRM does not specify how critical ancillary information is to be disseminated to ticket agents, many of which currently receive fare and schedule information from a range of sources. The Department proposes to exclude GDSs from distributing ancillary fee information, even though the Department itself acknowledges that “GDSs may provide the lowest cost and most efficient way of distributing [fee] information to ticket agents that sell or display the carrier’s ancillary services.”
Many are asking the reasonable question as to why the Department would forgo such an obvious solution to the distribution of ancillary service fee information when the airlines are already choosing GDS technology to distribute their fares, schedules, and availability. The Department shares its reason why in the NPRM itself: stating that it is “attempting to minimize government interference with business relationships.”
The Travel Technology Association strongly believes that DOT must require the airlines to share ancillary fees through the same distribution channels utilized by ticket agents and metasearch sites for fare, schedule, and availability information. The Department should reconsider its conclusion to exclude GDSs in an effort to minimize government interference with contracts between airlines and GDSs. The cleanest, most direct way to solve the issue of transparency for consumers is for the airlines to provide the ancillary fee data to GDSs along with fare, schedule, and availability information as they already do. Travel Technology Association members agree that this is the most sensical approach, as do many of the other stakeholders gathered here today. Additionally, GDSs are not the only source of information for ticket agents, and distribution through all channels used to distribute fare and schedule information – such as ATPCO, and other intermediaries and aggregators – should also be required.
In the end, any requirement by the Department that airlines must share fee information with ticket agents will necessarily have some impact on business relationships. It’s inescapable. Under the Department’s NPRM proposal, ticket agents will nonetheless be forced to forge new business relationships and negotiate with more than 200 airlines in order to display this ancillary fee information. This does not make sense. Ticket agents will have to supplement the fare, schedule, and availability information they already receive through the GDS and match it to the ancillary data provided directly by the airline, a herculean task beyond the scope of a ticket agent’s day-to-day operations. Ticket agents will each individually need to take on resource-intensive development costs to make the ancillary information visible and usable on their platforms. These costs are prohibitive for many agents and a hardship as well since a clear solution already exists and is widely used – that the airlines provide ancillary data through all distribution sales channels already utilized by ticket agents and metasearch sites, including GDS, ATPCO, and other intermediaries and aggregators. This is the Travel Technology Association’s position on the matter. Again, it is the cleanest, most direct way to solve the issue of transparency for consumers, and we hope, ACPAC members, that you will agree.
There is no reason to draw the line arbitrarily at GDSs and force ticket agents to take on the development and business costs that have already been provided by the GDSs. The Department announced a different approach in 2017. After considering the substantial number of comments filed on the issue in response to its 2014 rulemaking notice on ancillary fees, it issued a supplemental rulemaking notice where it concluded that airlines should be required to share ancillary baggage fees with GDSs. We submit that the Department was right then and should follow that same determination here. Otherwise, in the end, it will be the consumer who will suffer, when this rulemaking’s ostensible purpose is to improve consumer outcomes.
Thank you.
Oral Comments of
Laura Chadwick, President & CEO, Travel Technology Association
United States Department of Transportation
Airline Consumer Protection Advisory Committee:
Concerning First-Page Search Result Requirements in the
Ancillary Fee Notice of Proposed Rulemaking
December 8, 2022
On behalf of the Travel Technology Association (“Travel Tech”), thank you for the opportunity to address this meeting of the Aviation Consumer Protection Advisory Committee (ACPAC) about the Department of Transportation’s (DOT) Ancillary Fees Transparency Notice of Proposed Rulemaking (NPRM) proceeding. Travel Tech advocates for public policy that promotes market transparency and competition to encourage innovation and preserve consumer choice. We represent the leading innovators in travel technology, including online travel agencies and metasearch companies, travel management companies, global distribution systems, and short-term rental platforms.
Travel Technology Association members are critical stakeholders in this matter as they will directly implement many provisions of the final regulation. Millions of Americans rely on our member companies to do comparative searches to find the best flight options and to book their airline travel. Many of the proposals in the proposed NPRM will impact intensely complex back-end systems maintained or supported by Travel Tech members and the corresponding display of billions of dynamic data points. As such, our members continue to review the text of the proposed rule and develop our written comments to be submitted in a few days on December 19th, 2022 or, as we hope, on some extended due date that will allow us further time to complete our deliberations and provide robust comments to the Department.
First and foremost, the Travel Technology Association applauds the Department’s continuing work and commitment to this vital consumer protection matter. Travel Tech has long advocated for ancillary fee transparency for airlines and resort fees for hotels as well. In 2014 and 2017, we supported the Department’s proposals to require airlines to share their ancillary fee information with ticket agents so that consumers could have complete visibility into the cost of their flight options, regardless of whether they use a direct or indirect channel to book their air travel. This is a worthwhile undertaking, and we stand ready to support you, ACPAC members, and the Department as it moves forward.
One of the core provisions of the proposed ancillary fee rule would require the first-page display of the fees for a first checked bag, a second checked bag, and a carry-on bag, adjusted based on passenger-specific information along with the sought-after fare and schedule information – with no links, roll-overs or other forms of flexible display allowed. The proposed rule would also require first-page display of the change and cancellation fees, and family-travel seat fees, again with no links and roll-overs or other forms of flexible display allowed[U1] . These provisions taken together are problematic for both consumers and Travel Tech members alike.
Consumers value online travel agents for their ability to facilitate the easy comparison and booking of multiple multi-brand options in a single location. By their very nature, our members’ sites offer consumers an array of flight options and information. For example, flying to Washington, DC, can entail flight search results for three different airports across at least 20 different airlines – the results can be overwhelming even for those who make this area our home. To mitigate the impact of a dizzying amount of information, online travel agents routinely invest in user interface (UX) design upgrades and usability testing to maximize customers’ satisfaction and streamline their buying experience. Travel Tech members, as a result, are deeply concerned about the Department’s proscriptive requirements to display ancillary fee information on the first page of search results and not on subsequent pages that customers routinely navigate through once a particular flight option has been selected.
A first search page display requirement for all critical ancillary fees will result in unacceptable screen clutter that will make locating flight options and information more, not less, of a challenge for consumers. Such information overload would diminish the very value our Travel Tech members offer to consumers in the first place. An overwhelming search experience could provide a real impetus for consumers to forgo comparison shopping altogether. Instead, they would potentially seek out airlines’ far more streamlined and to-the-point web pages since airlines only need to display their ancillary fee information alongside their flight offerings.
Members of the Travel Technology Association strongly believe that flexibility is essential on when and where ancillary information is displayed in search results – so long as consumers can view this information before purchase. Indeed, the Department itself states the same in the proposed rule on Page 63725 — that the goal is “to ensure that fee information about ancillary services that are critical to a consumer’s decision making is disclosed at all points of sale before ticket purchase.” (emphasis added)
Further making a case for flexibility is that the Internet is changing, and how consumers search for flight information will undoubtedly change too. I speak from my recent and direct experience working with cutting-edge innovators developing virtual, augmented, and mixed reality technology, encompassing Web3 and metaverses. The internet searches of the future will be far more immersive and embodied, with the results contextualized, even when viewed on a laptop or mobile device. Information will no longer be statically placed on a webpage or traditional seat map. Instead, it could be “seen” online floating over the seat in a “digital twin” replica of the interior of an airplane. Leading consumer brands have already begun to offer products online in this manner as if the internet shopper is viewing them in person; one can imagine how this could apply to many facets of the travel industry. By requiring the use of weblinks, rollovers, or even an opt-out option, the Department may inadvertently forestall the development of better, more innovative display options for consumers in the future.
I thank members of the ACPAC and the Department for the opportunity to address these important points about the need for flexibility in the display of critical ancillary fees to support customers and innovation as well. I welcome your questions and comments.
Travel Tech Provides Comments on First Page Search Result Requirements at (ACPAC) December Public Meeting
Wednesday, May 20, 2026 — The Travel Technology Association (Travel Tech), a non-profit organization dedicated to promoting and protecting the travel technology industry, will honor Rep. Rick Larsen (D-WA), Ranking Member of the House Transportation & Infrastructure Committee, and Rep. Young Kim (R-CA) with Travel Tech’s Innovation Leadership Award at its third annual Policy & Innovation […]
