Media Release
Webjet Enters Major Hotel Supply Association
7th May 2004
Webjet today announced it has entered into a major association with Flairview Travel, operator of accommodation sites - RatesToGo.com and HotelClub.com, which it considers to be the leading operator of online hotel accommodation arrangements in Australia.
Phase one of the collaboration will see Webjet gain access to and distribute global last minute accommodation content provided by RatesToGo.com. The agreement is stage one of an intended broader association which will ultimately encompass a commercial agreement between Webjet and Flairview Travel as well as opportunities between the companies to further integrate and leverage on each other’s technology and content.
Commenting, Webjet’s Managing Director David Clarke said: “RatesToGo.com has established an enviable reputation as a leading edge supplier of last minute accommodation arrangements both here and overseas. As part of Flairview Travel which were recently acquired by Cendant our association provides us with exceptional access to price leading hotel supply arrangements. The arrangements will represent the first major plug in to our TSA and result in a position where our Travel Services Aggregator (TSA) combines the best in air fare deals with the best in last minute hotel arrangements in a seamless and transparent manner to the consumer with one credit card payment and one itinerary control process. It will provide our customers with the unique extension of our product range and deliver a flexible choice of products with all the ease and convenience associated with the TSA.
Following this first stage of our association it is intended that our companies will enter into broader arrangements beyond the initial last minute type offerings including the provisioning of global year round accommodation offerings through Flairview Travel’s other brand – HotelClub.com”.
Leon Kamenev, the Managing Director of Flairview Travel said: “We are delighted to enter into this association with Webjet. We expect it will add a strong consumer brand presence to the distribution of our hotel product range and along with Webjet’s leading edge TSA technology will add a new and exciting distribution channel with special opportunities to combine our leading edge hotel range with Webjet’s domestic and international air fare arrangements and associated car hire product range.”
Webjet indicated that the price advantage gained through the combination of these arrangements are likely to represent a 10-20% saving relative to traditional domestic holiday package pricing along with vastly greater flexibility. Similar savings are also likely on international arrangements. From an operational perspective these arrangements effectively leap frog Webjet’s product range without adding operational or infrastructure cost. As volume builds will result in the development of a material additional gross profit margin for Webjet.
Webjet expects that the technical connections will be completed by approximately the end of May with progressive product roll outs to occur during June.
David Clarke
Managing Director
Webjet Limited
Webjet’s ASX code is WEB
About Flairview Travel
Flairview Travel Pty Ltd, a wholly owned subsidiary of Cendant Corporation and part of Cendant Travel Distribution Services Division, is a world leading global accommodation e-wholesaler and specialist distributor of hotel room inventory over the Internet. Flairview Travel was established in 1995 and has since held the position of Asia Pacific’s leading online accommodation provider. The company operates two websites – HotelClub.com (www.HotelClub.com) and RatesToGo.com (www.RatesToGo.com).Flairview Travel is recognised as one of the few highly successful and profitable e-commerce businesses - experiencing up to 500% year on year growth since 1999. Flairview Travel has expanded operations beyond Asia Pacific, opening offices in 2001 throughout Europe and in North America in 2003. Flairview Travel currently operates ten offices worldwide in Australia, France, Germany, Hong Kong, Italy, Russia, Spain, Switzerland, the United Kingdom, the United States.
About HotelClub.com
HotelClub.com (www.HotelClub.com) is a full service website offering hotel bookings for up to 12 months in advance. It offers users the choice of over 7,000 hotels – at savings of up to 60% – in 37 countries and 1,000 cities worldwide. HotelClub.com is available in seven languages – Chinese, English, French, German, Italian, Japanese and Spanish.
About RatesToGo.com
RatesToGo.com (www.RatesToGo.com) is a last minute accommodation booking service featuring rates that are up to 70% less than usual hotel rates. RatesToGo.com offers bookings up to three weeks in advance (similar sites offer 14 days in advance) at over 4,100 properties, ranging from two to five star. RatesToGo.com covers 600 cities across 22 countries in Asia Pacific, Europe and North America. RatesToGo.com also offers customers a lowest rate guarantee - find a cheaper deal and RatesToGo.com will match it. RatesToGo.com is available in eight languages– Chinese, English, French, German, Italian, Japanese, Portuguese and Spanish.