ARLINGTON, Va.--(BUSINESS WIRE)--Airlines Reporting Corp. (ARC) announced today that Travel Leaders Group is the first travel agency organization to purchase ARC’s Memo Analyzer™, a subscription-based Web portal solution, which provides travel agencies and air carriers a holistic view of debit memos, allows benchmarking against industry metrics and provides details as to why a ticket triggers a memo. Travel Leaders Group will use Memo Analyzer to examine the causes of its particular debit memos and with that information, explore ways to reduce them.
Travel Leaders Group is the largest traditional travel agency company in North America with annual sales of $20 billion and more than 6,500 locations. Memo Analyzer will allow a group of eight managers from key business areas within their organization to view debit memo information across the entire enterprise, observe patterns that could point to particular issues and devise targeted measures to mitigate such memos in the future. The managers will meet monthly to share their analysis and suggested actions.
“Debit memos have always been a challenge to manage, especially for a large business such as ours,” said She’era Medad, financial controller of Tzell Travel Group, Protravel International and Nexion, all units within Travel Leaders Group. “With Memo Analyzer, we’ll get a bird’s-eye view of all of our memos to understand their root causes and identify the ones making the most impact on Travel Leaders Group. Also, another extremely helpful aspect of the product is that we will have the ability to benchmark ourselves within the industry to get an idea of how we’re doing when managing memos. So we’re very excited to have a tool like this and appreciate ARC’s commitment to lowering the burden of debit memos.”
Industry-wide in 2014, there were nearly 500,000 debit memos issued totalling $138 million with an average per-memo amount of $277. The top two reasons for debit memos were commissions, fares, and taxes, which made up 54 percent of the total amount.
As recently announced, the ARC Debit Memo Working Group, consisting of travel agencies ranging from sole proprietorships to mega-size, IATA, GDSs, ATPCO, and ASTA is working this year to standardize reason codes for debit memos, including those that are fare-related, in an effort to make it even easier to understand why memos are issued.
ARC powers the U.S.-based travel industry with premier business solutions, travel agency accreditation services, process and financial management tools, and powerful data analytics. In 2014, ARC settled $89.6 billion worth of carrier ticket transactions for more than 9,400 travel agencies with 13,000 points of sale. By providing world-class business services and products, ARC enables participating agencies and 200 carriers to focus on what's important—increasing their revenue. Established in 1984, ARC is headquartered in Arlington, Virginia. For more information, please visit www.arccorp.com.
About Travel Leaders Group:
Travel Leaders Group (www.travelleadersgroup.com) is transforming travel with a commitment to our vacation and business travel clients via our progressive approach toward each unique travel experience. Having already assisted millions of travelers – through our beginnings as Carlson Leisure Group, a division of Carlson Companies, TraveLeaders and Tzell Group and through the additions of Nexion, Vacation.com and Protravel International – Travel Leaders Group manages leisure, business and franchise travel operations under a variety of diversified divisions and brands. With annual sales of approximately $20 billion through over 6,500 locations, Travel Leaders Group ranks as one of the industry’s largest traditional travel agency companies.
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