Flight Centre Travel Group and Rex Airlines announced a new 10-year agreement on Friday that the companies said will form “the bedrock of the parties’ commercial and strategic relationship” until 2032.
The new deal covers all of Flight Centre Travel Group’s leisure, corporate and independent travel brands and extends to all of its key geographic regions.
Both companies have also reaffirmed their commitment to working together to evolve and enhance distribution capabilities as new technology becomes available.
Flight Centre Travel Group managing director Skroo Turner said: “We are delighted to extend our relationship with Rex Airlines and to forge a strong partnership that stretches well beyond the typical one or three-year airline-agency contract.
“Flight Centre Travel Group has worked closely with Rex Airlines since its launch as Regional Express in 2002 and will continue to do so as it evolves with the expansion of its increasingly popular full-service Jet operations between major capital cities and major holiday destinations.
“Today, Rex Airlines is an innovative and forward-thinking domestic carrier, with strong product offerings for leisure and corporate travellers, an expansive regional network and a clear understanding of the value that our distribution network provides across multiple channels and multiple sectors. Opening the door for further joint market opportunities.
“This new, long-term agreement is mutually beneficial and will allow us to work together to develop and market new products and initiatives for our customers, and to grow the overall travel market, both on the domestic trunk services and regionally.”
Rex Airline Deputy Chairman, John Sharp said: “This agreement cements our relationship with Flight Centre Travel Group and will provide significant benefits for both companies as we recover from the devastating effects of the pandemic.
“The company is the largest travel agency group in Australia with the widest distribution network across both leisure and corporate travel, and this agreement allows Rex to leverage that, ensuring we continue to grow while at the same time enhancing our product offering. “
FCTGs partnership joins that of Helloworld, Webjet, Consolidated Travel and Corporate Travel Management agreements which will also start from the new financial year on 1 July 2022.
The partnerships are expected to more than double Rex’s annual domestic jet revenues in FY2023 compared to current annualised domestic jet revenues with no increase in fleet size.
Revenue on the airline’s regional network is also expected to be improved despite Rex recently dropping five regional routes in New South Wales and South Australia.
To find out more, visit rex.com.au