Base commission on EK Economy fares reduced from 5% to 1% effective 01 July 2022.
Emirates has just announced that from 01 July next year base commission on all Emirates Economy class fares ticketed in Australia and NZ for journeys commencing in both countries to all destinations will reduce from 5% to 1%.
Emirates is also reducing base commission on First and Business Class fares from the current 6% to 2% – while commission on EK trans-Tasman journeys will move to 0% in both directions.
The carrier said the travel industry had been severely impacted by the pandemic “and our own losses during the last 20 months have been a reflection of this severity…the flow on effect has extended through our travel agency partners, bringing extreme and continuing pressure on business models. This is therefore a time for change…we have studied other globally sophisticated markets where these types of changes have been successfully implemented, and we firmly believe that now is the right time for our industry to adopt new ways of working,” Emirates added in an industry update.
“We are providing a six month window for our account executives to work with and support our key industry partners during the transitional phase,” the carrier added.
The 01 July implementation date for the cuts is the same as that previously advised by Qantas for its own reductions in travel agency base commission.
More details in Travel Daily tomorrow.