Lufthansa's introduction of smartcard technology is not aimed at following the US majors in their attempts to cut distribution costs, says the carrier. The first carrier in Europe to put the new technology to use, Lufthansa says the main goal is to reduce the time passengers take to check-in and board the aircraft.

Anselm Eggert, project leader of Lufthansa's ChipCard, says the card 'may' make it possible to halve the average 45 minutes passengers spend at Frankfurt before departure.

Cost savings in the form of lessened commissions to travel agents are not on the cards, says Eggert. Even smartcard reservations will be booked through the CRS, allowing travel agents to charge 9 per cent commission.

This is understandable given Lufthansa's recent moves to expand its presence in the travel agency market. Although the carrier does not hold more than 49.9 per cent of any of the agency chains it is involved in, minority stakes still give it a significant interest.

The ChipCard trial, which starts in May and runs to December, will involve 1,000 frequent flyers, with hand luggage only, travelling between Frankfurt and Berlin. Passengers will insert the card at a 'Chip-in' terminal at the airport and receive a voucher with gate number, boarding time and seat number. At the gate the card will then be passed through a card reader.

Lufthansa plans to introduce the cards onto domestic flights in 1996, and is looking towards short-haul European flights after that. For international flights, the carrier is still working on how to comply with Warsaw Convention requirements covering the notification of its liability for lost luggage, personal injury and death.

Source: Airline Business