Lufthansa’s GDS charge comes under fire as €16 per booking fee come in

Lufthansa Group’s €16 Distribution Cost Charge has come under fire from Amadeus as it is introduced today.

Lufthansa Group’s €16 Distribution Cost Charge has come under fire from Amadeus as it is introduced today.

In a letter to customers, the GDS company warned that the fee will introduce “complexity and cost” for agencies while reducing clarity, transparency and choice for travellers.

The surcharge is being activated within the Amadeus GDS, meaning that the cost of the flights with the German carrier and its sister airlines will be automatically increased.

Amadeus said: “We believe that the interests of everyone in the travel industry from the traveller to the agents to service providers is best served by adhering to the core values of comparison, transparency and neutrality – and the consumer’s freedom to book through the channel of their choice without penalty.

“Lufthansa’s surcharge undermines those core values and as a result we don’t think it is a good thing for the traveller, for corporations and for agencies.

“It remains to be seen whether it is good for the Lufthansa Group of airlines, depending on how the industry reacts.”

Amadeus added: “We continue to believe that the GDS serves all these interests efficiently and, despite claims made to the contrary in support of this surcharge, cost effectively.

“Just last month we introduced in the Amadeus GDS fare families across the Lufthansa Group, adding to the ancillary services merchandising capabilities Lufthansa Group has enjoyed since 2013.

“We will continue to develop the GDS to the benefit of travellers, agencies, corporations and travel providers with technology and initiatives that support the core values of the industry and the freedom of choice.”