AA Taps ITA Software to Push Ahead Its Merchandising Strategy

American Airlines advanced its merchandising strategy this week, signing a contract with ITA Software to deliver an “availability engine.” The technology is key to enabling the carrier’s strategy around sales of ancillary products and services.

American executive Monte Ford said the new technology will achieve American’s goal of marrying its proprietary customer data to its ancillary products and services and dynamically assembling highly customized offers.

Ford, senior vice president and chief information officer, stressed that American sought a solution that would work across all sales and delivery channels, from travel agencies to mobile applications.

Looking ahead
The airline also was looking to the future, Ford said. It wanted technology that could handle new types of products and distribute across channels “that may not exist yet.”

He said American sent RFPs to the GDS companies and to other technology providers that had prior experience with airline inventory. ITA Software “won the bakeoff,” he said.

Nothing like it “exists in the marketplace today,” he said of the new technology. “It’s a real game-changer.”

Meanwhile, American’s distribution and merchandising team have been trying to force a shift by all sales channels to direct connections to facilitate the sale of ancillary products and services.

Two-year search
The search for a merchandising technology provider began at least two years ago, Ford said, well before Google declared its intention to buy ITA.

American already uses ITA Software’s QPX fare shopping and pricing engine on its website, and it plans to extend its use to all sales channels.

The new availability engine will integrate with Jetstream, American’s new passenger services system that is being developed by HP.