Huge increase in US agents quitting airline sales
An increasing number of US travel agents are quitting airline sales because they are unable to make enough money out of them, according to new statistics.
Some 663 agents stopped selling seats last month – up a massive 174% on June 2001, before the advent of zero commission.
For the year so far, the number of agents voluntarily giving up airline sales has jumped to 2,583 from 2,029 in the same period as last year.
According to official statistics, there are now 26,120 retail locations selling airline seats, down 11% from the 29,368 in the same period of 2001.
However, there has been a small rise in the average number of weekly transactions in June for those agents who are still prepared to do business with the airlines. Agents are also keeping costs down by submitting their returns electronically.
Airline Reporting Companies vice president of travel agency services Kathi Argiropoulos said: “Ninety percent of travel agency transactions sold and reported to ARC are now submitted via electronic reporting. This compares to 80% a year ago.
“It is important for ARC to aggressively push for the adoption of every available tool that will help the travel agency industry remain competitive in an increasingly demanding marketplace.”
Some 65% of all tickets issued in June were E-tickets, a new monthly record.
See our previous story:
22 Mar 2002: Zero commission hits agents in US
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