The New Face of the Travel Agent The New Face of the Travel Agent

Bill Maloney, CTC, ASTA CEO

Feb. 11, 2009

Here we go again …

Another crisis.

Another downturn

Another chance to defy gravity

We’re pulling many rabbits out of many hats

Post-Everything Time Forget “Duck and Cover!”  

• Many players will do that, and they will not succeed.

Be realistic about current conditions.

Be honest about yourself.

Making Comparisons

Consumers will compare your offerings with: others on this island those found on other islands destinations thousands of miles from here

Why? Because they can.

Selling Sense

Remember: It is not about price. It’s about selling what consumers want to buy.

What does this mean for you? Add new products Partner with new suppliers Tweak your packages and marketing

Trend: Package Tours

Increases in: Culinary tours (31%) Historic and heritage tours (23%) Garden tours (20%) Sporting events (34%) Agricultural tours ( 72%)

Trend: Escorted Package Tours

USTOA found: Escorted tours were greatest growth areas for 38% of membership. Mexico ranked third in terms of perceived value.

Caribbean compared to Mexico on: value for the dollar distance offerings

Trend: FIT/ExperientialUSTOA survey also found: Big growth in FIT 80% reported increased bookings in this area. Travelers are increasingly asking for experiential vacations.

PGAV survey found: 58% of travel consumers will splurge on the right experience

Travel is always a life enhancing experience. Now, it is an extraordinary value.

Trend: Solo Travelers Increased numbers of solo travelers Tour operators are tailoring products to single travelers. Solo traveler stats:

• Many are not “single.” • Traveling on their own for independence /

wish to see something that holds little interest for partner. • Men and women travel alone in equal numbers • Ages vary greatly.

Trend: Family/Multigenerational

USTOA found: Family / intergenerational travel continues to be popular. Family / intergenerational travel has increased in popularity. 60% of members offer family-friendly tours/packages. Many tour operators offer family-friendly escorted tours.

Now what?

You need to take advantage of technology and educate yourself

on the competition and the possibilities.

The End of a Monopoly 20 years ago: travel agents had a information monopoly. 15 years ago: e-tickets didn’t exist. 10 years ago: Internet used only by scientists/educators. 

Then … travel agents lost their monopoly.

Forging Ahead

Travel agents: Left the commodity game and began to charge

service fees 90+% of ASTA members charge fees for at

least some services.

Survey Says …

Younger and less affluent travelers (< $75,000) valued and used the services of a travel agent as much, if not more, than did affluent travelers (> $150,000).

Survey Says …Consumers are more willing to pay for a travel agent’s services if they see themselves as getting new suggestions.

79%

85%

81%

78%

86%

77%

88%

83%

87%

45%

39%

22%

34%

33%

27%

30%

44%

34%

40%

37%

27%

33%

35%

34%

29%

32%

42%

18-34 Years

35-54 Years

55+ Years

Male

Female

$0 - $75K

$75K - $100K

$100K - $150K

$150K+

Easier to Research/Book Myself Don't Want to Pay Travel Agent FeesMore Options When I Plan/Book Trips Myself

Graph shows data related to Reasons for Not Using a Travel Agent for Purchasing Airline Tickets. Results proved similar for every travel segment and every demographic.

The main reason consumers opt not

to use a travel agent is the perceived lack of control.

The largest percentage of consumers said, even if a fee was involved, they would still use a travel agent to: purchase a tour book a cruise plan another type of trip

Graph shows data related Continued Use of a Travel Agent if Fee is Charged Purchasing a Vacation Package.

Agents Online

ASTA members: 94% have booked directly on a supplier’s Web site 77% have their own Web site Using LinkedIn, Facebook, Plaxo and other social sites

ASTA offers: Semi-monthly Webinars RSS feeds E-commerce tools (WebExchange, online Buyer’s Guide) Podcasts / video tutorials

Reaching Consumers

TravelS

ense

TravelSense.org, ASTA’s consumer Web site, allows visitors to:

• read about destinations across the globe• share travel tips and advice • find and contact an ASTA travel agent

We learned new ways to reach consumersWe learned about new consumers

Out of sight is out of mindTravel agents give you access to: church groups

bands

youth travel

ethnic groups

sports fans

adventure enthusiasts

senior groups

family reunions

Travel agents Your friends Great supporters of Jamaica Waiting to do their part Plenty of experience

Travel agents mean business!

Without an ASTA travel agent, you’re on your own.

Thank You!