Flight Centre Travel Group (FCTG) says the Middle East airspace closures have generated a surge in rebooking work across its eight global markets, with customers who originally booked online now walking into stores and logging onto websites seeking expert help.
Two weeks into the most costly aviation disruption in recent memory, the fallout is landing squarely on travel advisors’ desks. With Gulf carrier capacity still heavily curtailed, airfares climbing and alternative routing through Asia tightening by the day, the workload across Australian retail travel has spiked.
Speaking exclusively to Karryon, James Kavanagh (aka JK), Global CEO, Leisure Travel, at Flight Centre Travel Group, said the impact varies by brand, but the theme remains consistent: everyone is busy.
“In Flight Centre stores, it’s the sheer volume of customers who need help rebooking or rethinking their plans,” JK said.
“In our cruise brands, including Cruiseabout and Iglu, we’re managing customers booked on Gulf departure or transit port itineraries where ships are being repositioned.
“Outside of this is okay. In Scott Dunn and Travel Associates, it’s complex multi-stop European itineraries where rerouting takes real expertise,” he said.
DIY bookers heading back to advisors
Perhaps the most telling signal from the disruption is what’s happening with customers who didn’t use an advisor in the first place. Yes, they still do exist remarkably.
“Customers who booked online are coming back into our stores and onto our website to rebook,” JK said.
“When the world gets complex, people want an expert in their corner. That’s what our people are.”
It’s a pattern advisors across the luxury and premium segments have been reporting since the crisis began on 28 February, with clients reaching out for reassurance and practical rerouting help they can’t get from an airline call centre queue.
For those heading to Europe, JK said rerouting through alternative corridors is the most practical path where capacity allows, though he warned prices are rising: “move fast.”
AI in the mix
JK pointed to the company’s investment in artificial intelligence as a key factor in managing the surge, citing a partnership with AI company Anthropic, the creators of Claude.
FCTG recently stated in their first-half results for 2026 that AI tools had already triaged more than 8 million emails and saved an estimated 67,000 hours across the business.
“Our agents are using AI tools to manage the surge in enquiry, scan available inventory across carriers, and free themselves up to focus on what only a human can do, solve the genuinely complex rebookings for the customers who need them most,” he said.
“It’s not replacing our people. It’s making them faster when speed matters.”
Demand shifts, it doesn’t vanish
On the financial impact, JK said it was too early to quantify but drew on three decades of experience navigating industry crises.
“I’ve been doing this for 30 years and managed through SARS, volcanic ash clouds, COVID and multiple Middle East escalations,” he said.
“Demand doesn’t disappear. It shifts and it comes back.”
Across the broader industry, more than 21,000 flights have been cancelled at major Middle East airports, with Emirates, Qatar Airways and Etihad all operating reduced or limited schedules.
Flight Centre’s global supply and air team is working directly with airline partners across all eight markets to lock in alternatives, according to JK, with a notable shift toward Asian hub carriers already underway.
For an industry that spent years watching customers drift toward DIY booking platforms, the crisis has delivered an unexpected reminder of where people turn when things go wrong.
“I’ll be honest, this is where we come alive,” JK said.
“This is what we’re built for.”
KARRYON UNPACKS: The pattern Kavanagh describes, online bookers walking back into stores, is the strongest possible endorsement of the advisor channel during disruption. For advisors fielding new enquiries from DIY customers, this is a conversion opportunity: demonstrate the value now, and you’ll likely keep them for the next booking. On the practical side, capacity on alternative Asian routing is tightening fast. Advisors should lock in reroutes now rather than wait for Gulf schedules to stabilise.
