Example of how distribution is carried out in Airline Industry


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An example of how distribution is carried out in Airline Industry:

 

The place mix of airlines consists of mainly the distribution channels. The number of destinations that an airline flies to can also contribute to its place mix.

 

Distribution channels

The Four methods of distribution are as following:

A] Consolidation: The direct sale of tickets from airport to the passenger on the airline desk.

B] Tour Operator/ Travel Agent: Customers approach travel agents or tour operators who book the tickets from the airline and take commission. E.g. SOTC

C] Affiliated with companies: As the name defines, airlines gets affiliated with companies who carry all its trips with a same airline who in turn gives special discounts or offers in return.

D] Direct through home leased system, e.g. phone, fax, email and also online e-booking.


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