YTB Travel Network CEO Kim Sorensen
confirmed that the multimillion-dollar travel company was among the
firms canceled earlier this month by IATA for violating
accreditation standards.
IATA earlier this
month disclosed that it was canceling four U.S. agencies, saying
the agencies had engaged in "improper lending, subcontracting or
hiring to a third party of an IATA numeric code by
agencies."
Sorensen said IATA
had accused his agency of lending the numeric code to "third
parties," meaning the company's independent contractors, which are
called referring travel agents, or RTAs, in the YTB business
model.
Making the number
available to contractors is "the same as what any host agency has
done," he said.
Sorensen declined
to go into the matter further while YTB, through its attorneys, is
trying to resolve the "very fixable" dispute.
"We take [IATA's]
standards very seriously and are working ... to guarantee that we
meet or exceed both IATA's regulations and our own high standards,"
Sorensen said in a statement.
At the same time,
Sorensen added that "the ability of YTB or its RTAs to sell travel
and be paid commissions ... will not be affected in any way."
Sorensen explained that YTB does not use its IATA code to book air;
it uses consolidators. Instead, the effect is to take away access
to IATA products and services for YTB affiliates.
YTB referring
agents can no longer book Royal Caribbean Cruises Ltd. brands
through YTB in the wake of the cruise company's announcement last
month that it would stop doing business with what it termed "card
mills." Perillo Tours also has stopped taking bookings from
YTB.
'We'll show them'
Meanwhile, YTB
staged a one-day Carnival Cruise Lines sale earlier this month.
Sorensen said YTB booked 12,000-plus passengers during the sale,
beating its goal by 2,000 passengers. In e-mails to Travel Weekly,
individuals who identified themselves as YTB agents characterized
the sale as a "show RCCL" event.
"YTB did this
one-day sale to show RCCL how many cruises this 'card mill' will
not book on RCCL," one wrote. "We are a force to be reckoned
with."
The writers would
not consent to being quoted by name. Sorensen, however, said that
although the sale day was a response to the RCCL move, it truly was
about giving RTAs "a positive experience to focus on positive
action" rather than negative news.
To rally RTAs for
the selling event, YTB tossed out a "fun challenge" to attempt to
sell more for Carnival on the sale day than RCCL would sell in the
same day, said Sorensen. In reality, Sorensen said YTB had "no idea
what RCCL does in a day, and it could care less if we sold
more."
Carnival told
Travel Weekly it would work with any agency to support a special
sale day, up to four times a year, and this was the third such sale
with YTB this year.
Vicki Freed,
Carnival's senior vice president of sales and marketing, said the
line offered YTB a two-category upgrade for each booking during the
event.
As for selling
RCCL, Sorensen said YTB tells the RTAs that it cannot sell RCCL and
that the cruise company's products are no longer in the YTB booking
system. However, he acknowledged that affiliates can make their own
decisions.
"They can leave and
go where they want," Sorensen said. "We will probably lose some
people because of this."
Sorensen also said
that YTB management told RTAs that if RCCL changed its mind, "we're
not interested."
He said
consolidators have offered to deliver RCCL by the back door, but
that they weren't going to do that.
To
contact the reporter who wrote this article, send e-mail to Nadine
Godwin at ngodwin@travelweekly.com.