Every agent should be charging fees or marking up the price
For over 20 years, our company has been educating agents globally on the virtue of charging for their service. That charge can be in the form of a fee and/or a mark-up over a net price. Technology and the elimination of airline commission has greatly accelerated the process, however the logic behind charging fees has always been there. Anyone can book travel without an agent. It’s time to recognise what’s always been true: the value of an agent is not in making a reservation, it’s in advising customers how to make the right choice. Today’s professional travel agent does a lot more than save money for their clients. They educate them and guide them through an overwhelming amount of information and choices. Like an accountant, attorney or a plumber for that matter, they are being paid for their time, knowledge and expertise; not for hitting a few keys on the computer. Six years ago I presented a series of workshops around the UK on behalf of ABTA addressing these issues and though much has changed, the fundamental concerns have not. Travel agents are professionals who should have the confidence to value what they bring to the table. The “agent of the supplier” role is really minimal today. It’s all about adding value with knowledge and advice. That’s what separates you from the Internet and suppliers selling directly to consumers. Selling advice means not everyone is your customer. Buying a London-Glasgow return ticket doesn’t require human contact anymore. Buying the right cruise in the Baltic does. It’s time to let go of customers who place no value on their own time, care only about the lowest price regardless of the hardship and inconvenience, or those who feel they are smarter than you to begin with. Today’s successful agencies fall into two basic categories: those who are very large with enormous buying power enabling them to win the price war or those who’ve chosen to specialise enabling them to win the knowledge and skill war. In our consulting and training practice, we’ve talked with literally thousands of agents in almost 50 countries and find the situation virtually the same everywhere. Agents willing to accept today’s realities and place a value on their own time and skill do just fine financially. Those pining for government (or divine) intervention are leaving the business. It’s a great time to be a travel agent if you’re ready to do it 21st Century style. Bruce Tepper, CTC Joselyn, Tepper & Associates, Inc. www.joselyntepper.com
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