Tension between the travel industry and the search engine Google continues to rise. This sector depends heavily on the search engine, but it fears that in the long run Google will be bullying them around. Thuiswinkel.org is sounding the alarm on behalf of the travel industry.
Tour operators and travel bureaus are already starting to notice the power of Google in their purses. Though advertising prices are skyrocketing, failing to be found on the site is even more expensive. Furthermore, the travel industry has its suspicions about Google Ventures, the branch of Google that is obtaining participation shares in internet businesses, including travel sites. According to Google, this is because it is “interesting technology”; according to the travel industry, Google wants to get into the business of selling travel.
Suspicious
At the ANVR-congress in Egypt, where James van Thiel of Google Travel was brave enough to enter the lion’s den, Steven van der Heijden, chairman of the Executive Board of the TUI, had this to say : “I am extremely suspicious. If they really do not want to start selling travel, then let’s see them put this down in writing”. Van Thiel had these reassuring words: “We will remain an independent search machine. We do not form a threat, we simply want to help”.
Google Shopping
In the USA, Google is busy taking over ITA Software, the largest supplier of flight data. The travel branch has already objected to this because it would give Google too much influence. Furthermore, Google recently launched Google Shopping in the USA and France, where consumers can compare products and make their purchases and payments. This is in a test phase in the Netherlands.
Industry
The umbrella organisation, Thuiswinkel.org, within which the travel sector has an important role, has become involved in the discussion: “'Many of our members are worried about Google’s dominant position. It is just as with Microsoft in the past”, says Wijnand Jongen, managing director of Thuiswinkel.org. He acknowledges that the travel world also benefits greatly from Google. “This was also the case with Microsoft , which did help to advance the industry”.
Measures
But where there are few suppliers, the price always goes up and the costs get passed on to the customers. According to Jongen, it would be a good thing if Google were to provide more insight into its activities. “Microsoft was also unwilling to do this initially”. Jongen is wondering – as is the branch – how long Google can still be regarded as an independent search machine, in view of all its participations and plans. “If that is all they are, then there is nothing to worry about, but they have to be transparent about everything”.
Microsoft
According to Jongen, the ‘Google-problem’ goes beyond the travel industry. “It concerns all web-retailers”. Now that the problem has been identified, Thuiswinkel.org wants to keep an eye on its progress and have discussions with Google. “The following step should be taken on a European level, and if necessary we will be asking for measures, just as we did in the past with Microsoft”.
