Independents must show business savvy
Comment by Jeremy Skidmore (www.jeremyskidmore.com)
At the recent Triton conference, former St Andrews Travel managing director Andrew Dickson claimed many agents were clueless when it came to closing a sale with customers.
Having sold his leisure and business travel outlets for a combined sum of several million pounds, Dickson can justifiably claim to have earned the right to judge other retailers.
However, in the run up to the conference, I interviewed many switched on agents who were increasing their bottom line by encouraging their customers to buy Triton Holidays, which pays a much higher commission than standard tour operators.
But there was one issue that made me think Dickson must be right about at least some independent retailers.
Apparently, a significant percentage of independent members of Triton have yet to even attempt to make a single booking.
Now, I totally accept that each agent must do what is right for their business and some may find that Triton products are not right for them.
But why would you not even try it? Why would you sell a client a holiday from a tour operator that pays seven per cent commission when you can send someone to the same hotel, on the same flight, with Triton and make 15-20 per cent commission?
I just cannot understand it. Perhaps I am more focussed on the bottom line than the average person, but agents have fought so hard against an enforced reduction in their earnings. So surely you would at least try something new?
It has been suggested that some retailers are nervous about using the technology (there have been teething problems with it) and consequently looking foolish in front of their customers. But surely you would practice behind closed doors, wouldn’t you? If I’m missing something here, please help me out.
Try something and reject it if you want. But not even trying it? It’s closing the door on the opportunity to make money.
Meanwhile, the talk of the conference was all about the move towards a merger between Global, Advantage and Worldchoice. Of course, there are shareholding issues to iron out behind the scenes but if you look at the big picture, it’s a no-brainer.
I’ve said for a long time that the consortiums have to merge. It’s no co-incidence that consolidation is rife elsewhere in the industry. Independents will have real strength through their size and through everyone having the same focus.
There’s an end game here, and it’s about independents making more money and having a bright future. The smart ones will surely seize the moment and make Mr Dickson swallow his words.
Jeremy Skidmore
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