BTC Analysis: AA's Direct-Connect Efforts Risky

The Business Travel Coalition yesterday released an analysis of American Airlines' decision to pull its flights from various distribution channels and move toward a direct-connect model. BTC's statement outlines "five fundamental risks that AA is assuming in pursuing what seems to most observers to be a high-risk gambit," and also identifies 10 barriers to success. Among the risks: revenue loss in the billions, diminished value as a codeshare partner and the loss of corporate customers. BTC concludes that "there is scant logical rationale" behind AA's decision. The full analysis is available here: Meetings & Conventions.