By Kate Hanaghan, 3 August 2001 12:00
NEWS Honolulu-based travel company Cheap Tickets is abandoning its offline operations to concentrate on its web sales. The company has managed to turn in a profit for this quarter but hopes to save $2m by closing down its shops and laying off about 50 staff. The company's CEO, Sam E Galeotos, explained that by achieving a balance between its website and its call centre, it hopes to improve its booking capabilities and operating efficiency. This 'clicks and calls' combo accounts for about 98 per cent of the company's sales. However, the company has been beset with website problems, which it claims have led to a huge drop in profits. Technical glitches, which US newswire ecommercetimes.com blames on Sabre, are said to have contributed to a decline in revenues of four per cent to $28.5m. The company claimed these problems meant some customers were unable to access some of its discounted - and most profitable - fares.
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