In The Big Chair - Sean Menke of Sabre

Sean Menke, President and CEO

Sabre is part of the DNA of how the industry operates behind the scenes, especially in air distribution and hotel technology - yet it knows that standing still is no longer an option.

The new boss has been in the job less than a year - but with a wealth of experience in the world of airlines and elsewhere, he knows what needs to be done in areas as varied as NDC, AI and keeping third parties happy.

You recently said the conversations that Sabre has with airlines and agencies have changed a lot in just a few years. Can you give us a flavor of how and why?

Distribution is changing. The continued growth of low cost carriers (LCCs) and downward pressure on airline pricing are driving factors in this change, with base fares steadily decreasing since 2008 but ancillary revenues on the rise over that same timeframe.

The airlines need differentiation and a competitive edge to improve loyalty and maximize revenues and, as a critical technology provider to their business, they are looking to us to enable this evolution.

Traveler expectations are also changing – today they receive personalized offers and expect other industries like travel to offer the same.

Airlines and agencies know we sit on a mountain of data that can be used to build a deeper understanding of the traveler and unlock true personalization, and we’re having important conversations with them about delivering this via dynamic offers that drive better customer experiences and that have the potential to increase revenues across the travel value chain.

The broader background to this, in part, is based on the emergence and gradual adoption of NDC. Would you concede that it took a while for organizations like yours to come around to what NDC wants to achieve?

Not exactly. Before my tenure here, Sabre was an early supporter of NDC through our paid seats partnership with American Airlines, which was the first implementation of ancillaries sold through a GDS.

Today we are Level 1 NDC capable as an I.T. provider and IATA NDC Level 1 certified as an aggregator, with a roadmap to Level 2 and Level 3 certification next year.

Having said that, NDC is not about compliance – it’s about enablement. The goal is to help our customers succeed by selling their products their way, whether the implementation is XML, JSON, REST or another format yet to come.

But that’s only half the story. To unlock the full value of NDC, it needs to be available in the indirect channel so travel agencies can shop, book and fulfil offers. We also think there’s an untapped opportunity to leverage data to build a more comprehensive picture of the traveler, thereby enriching the offer.

With our strong direct and indirect channel presence, we’re perfectly positioned to do this.  A key component of our plan is to builda platform that accommodates both NDC-supported shopping and traditional shopping applications.

Do you sense that the wider community of travel intermediaries  - many of which were vehemently against it  - will accept its mission, now that their tech providers have done so?

Yes I do, because our partners on both sides of the equation trust us to innovate according to their needs. We are evaluating each step of an agency workflow to ensure agency needs continue to be met as distribution evolves, with seamless integration of NDC-enabled offers and traditionally-sourced content.

This includes key areas such as interline capabilities, reservation synching, efficient post-booking servicing capabilities, mid- and back-office integration, and duty of care, just to name a few.

Since these areas are key to agency processes, it is important to fully understand the impact, and design the most appropriate solution – which is why we have chosen to implement the NDC capabilities in a phased approach.

Ultimately, we are balancing the airlines’ distribution goals with the needs of our agency customers to ensure we deliver solutions that support both.

You also said that Sabre, by embracing NDC, will not be giving up its leadership role in travel tech. Was there a danger of you doing so if you didn't, and why?

Not at all. Although NDC is a priority for us, we’re also continuing to invest in our traditional content channels.

We’re also continuing to invest in our platform capabilities to cope with the exponential rise in travel shopping volumes and content as ancillary services and NDC-enabled offers come to market.

To unlock the full value of NDC, it needs to be available in the indirect channel so travel agencies can shop, book and fulfil offers.

Sean Menke

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There are not many players in the industry that can cope with this incredible volume and scale, and we believe our leadership in this space is critical to delivering an end-to-end NDC-enabled solution, from offer creation to fulfillment.

As it relates to NDC, we are integrating the standards into our technology as a key enabler of our next generation retailing and distribution offering.

With a new leadership team in place and a corresponding mindset to push our technology strategy forward, no one is better positioned than Sabre to lead on this front. Our GDS and Airline Solutions I.T. presence uniquely positions us to deliver an end-to-end NDC retailing solution that works for both direct and indirect channels, from offer creation through fulfillment.

We can also provide significant data insights from all our channels to build a comprehensive traveler profile that will enhance offer creation and drive sales conversions.

You are the only CEO amongst the three major distribution providers to have direct experience of working for an airline. What do you bring to the job now that you learned from the carriers that you previously worked for?

Airlines run on teamwork, accountability and precision, so that mindset has informed my leadership approach during this first year – well, almost a year – as CEO.Having been on the other side of the table, so to speak, I have a very strong understanding of the customers’ needs and expectations.

Our technology is a vital part of their success. Airlines of course, but the same applies to agents, corporate accounts and hotels – so that perspective informs my motivation to enable their success.

Internally though, my focus is on our talent and making sure employees are properly motivated, and armed with the tools they need to exceed customer expectations.

And what persuaded you to leave the world of customers to come across to the vendor side of the business?

As a long-time customer of Sabre’s, I understand the power of technology to shape the travel industry. When looking at Sabre, I saw the opportunity to help create the platform at the heart of the business of travel.

This gives me the ability not only to play a role in transforming a single carrier, but to drive meaningful positive change and improvement across the travel industry through technology that enables our customers to drive revenue, increase efficiency and deliver better customer experiences.

I believe our technology will play a central role in the evolution of the business of travel in the years to come. It is an incredibly exciting time to be at Sabre.

What do you miss about being at the sharp end of it all?

Being at the "sharp end of it all" can cut both ways, so there are things that I miss, and things that I don’t. I’m an incredibly competitive person, and the airline industry is rife with metrics and real-time scorecards that people like me thrive on.

That said, the technology industry is at least equally competitive, and the pace of change and competition is even faster, which is a challenge I really embrace and enjoy about being on this side of industry.

I’ve also really enjoyed getting to know the needs and complexities of the buy-side. I have a much better appreciation of the role and value of TMCs, agencies and corporations, and that’s driving me to ensure our solutions work across the whole travel chain.

Still, it's not all about airline distribution, of course. What opportunities and challenges for Sabre do you see at the hospitality end of the business?

Our hospitality solutions are highly differentiated. We’re already the largest provider of central reservations systems (CRS), and this year, we accelerated development of our next-generation, cloud-based property management system.

Development is going well, and we will be in market with a solution in the next few months, at which point, both our PMS and CRS will be tightly integrated, making us the only hospitality technology provider to offer this to hotels in a cloud-native solution.

We also just announced SynXis Analytics Cloud suite, the hospitality industry’s first analytics platform using artificial intelligence to help maximize total hotel revenue. Denihan Hospitality Group, Preferred Hotels & Resorts, Vantage Hospitality Group, L.E. Hotels and Two Roads Hospitality have already embraced these solutions, with more coming online this quarter.

Bottom line is we have tremendous opportunity in the hospitality space, and we are well-positioned for continued growth.

Do you see it becoming a larger part of the business overall?

Yes, technology providers to the hospitality industry remain incredibly fragmented and the industry is underserved by much of the current offerings in the marketplace.

We are the global leader in central reservations and we're only getting started in limited service property management. Along with our ability to meet hoteliers’ need for self-service business intelligence and artificial intelligence capabilities, which is an industry-first capability, we are more bullish on the hospitality space than we’ve ever been.

Do you think the industry or the demands from its customers (travelers) drive the changes that we're seeing

Travelers are the ultimate "consumer" in our industry, and our customers succeed when the traveler’s demands are met.

That’s why our product development starts with the traveler’s needs and why we invest so much in understanding their expectations, and delivering technology that enables airlines, agents, corporate accounts and hotels to meet and exceed those expectations.

Some questions about you  - how do you keep up with overseeing the various parts of the business?

We spent a lot of time this year thoughtfully reinvigorating the executive leadership team, and it paid off because having the right leaders in place gives me the confidence to let them run with it and the freedom to direct my attention where it needs to be.

CIO Joe DiFonzo, CTO Vish Saoji and Airline Solutions President Dave Shirk are all new to Sabre with deep technology experience from very complicated organizations outside the industry, bringing fresh perspectives on how we are going to meet our goals from both a technology and a product standpoint.

I’ve also asked several of my team to take on fresh roles to give us new perspectives, such as Rachel Gonzalez, who is now serving as our Chief Administrative Officer, as well as Wade Jones and Clinton Anderson leading Travel Network and Hospitality Solutions, respectively.

So, we have a fresh infusion of new thinking and energy across the leadership team that is driving significant, positive change.

I also make a point of seeing our airline, TMC and corporate customers regularly to ensure I’m on top of what they want and need.

That’s perhaps one of the most enriching parts of this job and the most challenging too – juggling the needs and priorities of all our customers while driving the industry forward.

It’s a challenge I really enjoy.

Are you the IT support in your own home?

Ha ha… No! I have a good understanding of where my strengths are and importantly, where they are not.

Like most parents, I take the lead from my kids who have taken to communicating with me via text messaging these days. 

Tell us something you particularly like and dislike about your role at the top of the company?

I wish there were more hours in the day to spend with employees and customers. Being CEO creates a lot of demands on my time, and finding the right balance can be a challenge.

I love working with really smart people that are motivated and energized around a common purpose.   We have some really talented employees at Sabre and I continue to challenge them about being curious about the future and our opportunity.

I also love meeting with our customers and working in partnership to leverage technology to transform an industry. I’m incredibly grateful to be at Sabre at this moment in time, and look ahead with great optimism about what we can accomplish.