Death of the Travel Agent

[NM]

From News.com.au.

DID you book on the internet?"

The question pops up almost every time holiday travel is mentioned.

People boast about how much they saved online in much the same way they claim to have won significant sums at Las Vegas casinos.

Perhaps I'm too sceptical but if everyone wins in Las Vegas, why is America's gambling headquarters crammed with vast glitzy structures built as if money is no object?

 

[SeaWolf]

What I'm also finding interesting is promises from travel agents (Flight Centre) springs to mind, that promise to match or beat prices obtained online. I'm curious as to how far this goes and how well it actually works. I've been thinking of heading up to SIN shortly and TR is by far the cheapest way to do it. But I'm wondering if I take a TR prices into Flight Centre if they'll match or beat the price, since they don't sell TR flights.

 

[Travel Guru]

What I'm also finding interesting is promises from travel agents (Flight Centre) springs to mind, that promise to match or beat prices obtained online. I'm curious as to how far this goes and how well it actually works. I've been thinking of heading up to SIN shortly and TR is by far the cheapest way to do it. But I'm wondering if I take a TR prices into Flight Centre if they'll match or beat the price, since they don't sell TR flights.

By the same reasoning, would you also expect David Jones to price beat a product they don't sell??

TG

 

[SeaWolf]

I might if it was essentially the same product, but with a different brand name. I know people are going to jump out here and state that the differences between TR and QF or SQ economy is a lot more than just a brand name, but Flight Centre's 'Low Price Promise' makes no reference to differences between airlines, only between season, class of travel or fare type.

Flight Centre - Low Price Promise

 

[Travel Guru]

I might if it was essentially the same product, but with a different brand name. I know people are going to jump out here and state that the differences between TR and QF or SQ economy is a lot more than just a brand name, but Flight Centre's 'Low Price Promise' makes no reference to differences between airlines, only between season, class of travel or fare type.

Flight Centre - Low Price Promise

Im not on FC side, I just find the rational interesting.

I think FC could argue that your TR flight quote is on a non .com.au website which would excempt them, but its always worth a try if $20 is worth that much to you.

I personally don't buy your argument of similar product, it has to be apples for apples and LCC are by no means similar to SQ, and you'd have more chance of getting a dollar out of a homeless person than getting Dj's to pricebeat on a product because its similar....though having said that, if you can get them to pricebeat on Polo Ralph Lauren $99 polo shirts against Cotton On $10 polos, please let me know. :mrgreen::mrgreen::mrgreen::mrgreen::mrgreen:

TG

 

[albatross710]

Looking at the originally referenced article I think of what has happened with ebay and "the death of the shopping mall". Ebay now has problems as prices have been competed to "normal " levels. ie the difference between ebay and a retail store is that most items can be found on ebay for 5-10% cheaper that retail. It is then a trade off whether it is worth paying the extra for the security of the retail transaction.

Travel agents, to survive, have to add value. A transaction where the traveller walks in with flight numbers, destinations, connections and preferred hotel are not going to happen anymore. The game will be on justifying the extra dollars for the security of buying through a travel agent.

I know many good reasons to use a travel agent - For the future of their business I hope travel agents know those reasons as well.

 

[Travel Guru]

Travel agents, to survive, have to add value. A transaction where the traveller walks in with flight numbers, destinations, connections and preferred hotel are not going to happen anymore. The game will be on justifying the extra dollars for the security of buying through a travel agent.

I know many good reasons to use a travel agent - For the future of their business I hope travel agents know those reasons as well.

I agree, the future of travel agents is in dealing with clients who are after the best service NOT the best price....bucket shops like FC are really going to struggle to maintain a market in the future.

As a successful agent myself, the future of my business is in finding clients who place more importance on their time than their money...im simply not interested in dealing with people who would sell their mother in law for $20, and with the mass exodus of baby boomers from the workforce to retirement, theres never been more high end clients up for grabs for smart agents who position themselves correctly in the market.

TG

 

[albatross710]

Interestingly I was at a workshop this weekend where the presenter had a slide showing

" Quality -- Service -- Price

Pick Any 2"

You can have price but less service, Service and Quality but not lowest price etc.

I thought the presenter was insightful and riviting.

 

[Travel Guru]

Interestingly I was at a workshop this weekend where the presenter had a slide showing

" Quality -- Service -- Price

Pick Any 2"

You can have price but less service, Service and Quality but not lowest price etc.

I thought the presenter was insightful and riviting.

Couldn't agree more...people complain about Flight Centre's level of service (or lack thereof), but if you shop on price alone, what can you expect.

People need to realize you can't have it all, either the price is important to them or the service is.

TG

 

[Evan]

And when refering to IT and engineering type things the 3 are...

Fast -- Reliable -- Cheap

You can only have 2 of them....

E

 

[straitman]

People need to realize you can't have it all, either the price is important to them or the service is.

TG

... or working out a balance that you find acceptable.

 

[albatross710]

Where you guys at the same workshop? The presenters next slide was about "Value Justification".

If Supplier A sells for $2,000 and supplier B is $1,800, how does the A sales rep justify the extra price. In the workshop case it was things like

Delivery $35 extra with B
Onsite setup & install $150 extra with B
Phone support etc etc

We were training to get reps to
a) Understand all of the extra value adds that we offer
b) Explain them to clients and get them to put a price on them
c) If the client does want everything, then we are better value.

I always think that when we lose on "price" we didn't succeed to getting the client to fully understand our value.

Good work Travel Guru...sounds like you will continue to do well.

 

[simongr]

with the mass exodus of baby boomers from the workforce to retirement, theres never been more high end clients up for grabs for smart agents who position themselves correctly in the market.

TG

Are you implying that the BBs are the high end clients? Yes they have cash but they also now have time to find a great deal - my parents are a great example of that...

 

[lovetravellingoz]

Yes some will search fora "great deal" .....often not getting it too!!!


But others will simply want the low hassle experience.

For example there are still people retiring who have not been overseas before...but who now have the super income to fund a trip.

Such people will seek the ease of someone else nutting out the detail of their trip for them.


Others not retired...ae now cashed up, but to busy to research.

And on different tact there will always be companies that prefer their staff to be concentrationg on business rather than making their own bookings overseas.

 

[blankman]

What I'm also finding interesting is promises from travel agents (Flight Centre) springs to mind, that promise to match or beat prices obtained online. I'm curious as to how far this goes and how well it actually works. I've been thinking of heading up to SIN shortly and TR is by far the cheapest way to do it. But I'm wondering if I take a TR prices into Flight Centre if they'll match or beat the price, since they don't sell TR flights.

Seawolf all FC stores have the ability to book TR fares and generally do book such tickets for customers. I know of several instances where tickets have been purchased for both TR and Viva Macau from FC stores. As for the Low Price guarantee- there is no reason why it would not apply to TR.

but Flight Centre's 'Low Price Promise' makes no reference to differences between airlines, only between season, class of travel or fare type.

This is only in respect to availability. So if for example the $19.95 TR MEL-OOL is booked out by the time you take the quote to a FC store they will give you the best available price based on the details (season, class of travel/fare type etc) on your "unavailable" quote.

Cheers,

Blankman

 

[codash1099]

In my experience, the main difficulty is in finding a travel agent who is more than just a booking clerk. Too many only know how to read airline timetables or wholesalers' blurb. "I can't book that hotel, my wholesalers don't list it."

In the "good old days", there was usually someone in the agency who had some practical travel experience - these days it's likely to be someone for whom it's just a job. I venture to suggest that almost anyone in this forum knows more about airline and hotel bookings than the collective knowledge of most agencies.

(TG - present company excepted )

 

[simongr]

What they do have access to is the information in the TA's systems and access to other "hidden" fares and complex itins. I remember for my Dec 2006 trip they managed to create a CX syd-hkg-nrt-hkg-syd fare in F for only $8000 - no idea where that fare existed at the time bu I was darn glad about it

 

[Travel Guru]

In my experience, the main difficulty is in finding a travel agent who is more than just a booking clerk. Too many only know how to read airline timetables or wholesalers' blurb. "I can't book that hotel, my wholesalers don't list it."

In the "good old days", there was usually someone in the agency who had some practical travel experience - these days it's likely to be someone for whom it's just a job. I venture to suggest that almost anyone in this forum knows more about airline and hotel bookings than the collective knowledge of most agencies.

(TG - present company excepted )

I couldn't agree with you more codash....there's a severe lack of talented agents, and most who are, spend their time looking after the high end clients because thats where the big biccies are, which leaves the discount end of the market screaming out for talent which given their low margins they can't afford to get.

Once you find a good agent, stick with them like glue, they're worth their weight in gold.

TG

 

[NM]

Once you find a good agent, stick with them like glue, they're worth their weight in gold

or Platinum ... or Executive Platinum (how ever much that weighs)

 

[Travel Guru]

or Platinum ... or Executive Platinum (how ever much that weighs)

yes indeed

TG