GOL renews Navitaire deal

GOL Linhas Aereas Inteligentes has renewed its outsourcing agreement for Navitaire’s reservations system, enhancing services provided under a previous multi-year contract. The agreement includes new Web hosting services and further support for GOL’s recently announced pan-Latin America expansion plans. Terms of the contract were not disclosed.

Under the new agreement, GOL will continue to use Navitaire’s host reservation system and has added Navitaire’s Web hosting services to significantly broaden its Web sales and services capabilities.

Navitaire, a wholly owned Accenture (NYSE: ACN) subsidiary, provides outsourced technology and business solutions to the airline industry.

GOL is one of the fastest-growing airlines in Latin America. In less than five years, its market share grew from 5 to 36 percent and its stock price doubled; today the company is valued at $6 billion. The airline captured a 10 percent share of Brazil’s international flights in less than two years and plans to become a significant pan-Latin American carrier in the next few years.

Technology is core to GOL’s business strategy and the airline has used Navitaire systems since its launch in 2001. GOL was the first Brazilian airline to enable ticketless travel via the Internet and offers customers Web-, mobile-, kiosk- and PDA-based check-in options. In addition, GOL recently implemented voice-recognition software that allows customers in more than 1,000 cities to book flights through its call center without human intervention. These technology innovations have reduced GOL’s cost of booking a seat by 75 percent.

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“Navitaire has helped us differentiate our business model, which is the key to our continuous growth and success,” said Wilson Maciel Ramos, GOL Vice President for Planning and Information Technology. “They have demonstrated a willingness to grow and change with us as we take advantage of innovative, new business opportunities. This is particularly important as we expand our destinations and reach throughout Latin America.”

“Next-generation airlines like GOL are leading the industry by combining unique strategies of low-cost/no-frills services with the selective use of more complex industry practices to achieve high-performance,” said John Dabkowski, Navitaire managing director. “GOL is continuing to leverage the advanced, cost-effective solutions Navitaire provides to capitalize on new growth opportunities and turn innovative ideas into revenues.”
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