Q&A with Paul Seiferth, ATAA Board of Directors and President, Terra Travel headquartered in Scottsdale, Arizona…David Wilkening reports

Q: What are some emerging travel trends?

A: Multi-generational travel is growing, especially for cruises and all-inclusives.  Gay and Lesbian travel to gay/lesbian-friendly destinations is another key area.  Another area is Baby Boomers that are retiring in record numbers and they don’t want to just sit on a deck chair when they vacation.  These are all areas where working with travel consultants can be so important to ensure the trip matches the traveler’s key areas of interest.

Q: What are travelers mainly looking for these days in terms of types of trips?

A: Experience is the name of the game.  People want to share their travels with friends and family and be enriched by the experience.  Whether it is cooking lessons in Tuscany or rafting the Grand Canyon, people want to be involved in the experience and not just observers.

 Q: Popular destinations?

A: For families traveling from the U.S., Hawaii, Alaska and Disney properties are big hits.  In Europe both Italy and Ireland are hot as well as Costa Rica in Central America.  Australia and New Zealand are getting significant arrivals from Western U.S. cities.

Q: How are people booking trips these days? Internet, agents, where?

A: The internet is being used for simple trips and flights.  Travelers that are looking for an experience and a truly customized vacation use a travel consultant. On the internet every property looks great – what is needed is someone to advise travelers as to what is good and what is just “gloss.”  Many consultancies affiliated with our organization, the Association of Travel Agents of America, or ATAA, are using our educational events to enhance their sales consultant skills so they can help their customers find the best, most appropriate vacation for their needs.

 Q: In the past, the cheapest flight, etc., has always been the emphasis in travel. Any signs that is changing?

A: For some, price will always be the most important factor and they will find the cheapest channel.   But is a $250 ticket with two connections better than a $300 nonstop ticket?  Many travelers want to be sure they have a great vacation and they will seek out the expert advice of travel consultants to get the best advice and the best experience.  Travel consultants can work with nearly any budget, so their expertise is not just for luxury travelers, but for anyone that wants to have a great time.

Q: Where is technology taking us in travel? What are some of the developments you see as promising or not in terms of new technology developments?

A: There is new technology developing all the time.  More variety is good because it drives competition but the challenge is that more choices are harder to manage.  Technology is allowing us to better tie our actions and our output to company goals so we can plan for success.  We can customize the technology to support our own business goals and the goals and needs of our travelers. 

Q: What impact has the internet had on travel already?

A: In the cruise market, for example, it has captured some of the $299 priced three-day cruise business, but little to no impact on the week-long Mediterranean cruises.  While there is a drive to buy cheaper on the internet, the larger, more expensive packages are still going through an agency or through the vendor direct.  When travelers are making a greater investment, they want to talk to someone with firsthand experience.

Q: What’s the place of agents in all this…or do they have a place?

A: Travel consultants will always have a place.  Overall, while agency locations have declined, agent numbers have remained strong.  They have streamlined and consolidated and they will remain a valuable resource and play and important role in making travel dreams come true.

Q: Luxury travel: what is happening there?

A: Luxury travel is growing and for those bigger ticket item trips, travelers want to deal with people and not some impersonal website.  They feel they have worked hard and deserve both the trip and the personal attention an agent can give.

Q: Airlines: Are they on the right track to getting profitable again? Where are they headed?

A: Southwest and some of the newer generation airlines are doing well.  Since air travel will always be a part of the travel picture, they will have to continue to develop new business models to remain competitive.

 Q: What about terrorism: could a few random acts curtail the recovery travel seems to be making?

A: It is unlikely that terrorist attacks on the scale that happened on 9/11 will occur again.  The smaller scale attacks such as happened in Madrid or London are tragedies, but do not radically impact travel overall.  This is another instance where working with a travel agent would best prepare travelers to travel as safely as possible.

Q: Does the road ahead for recovering tourism look promising or are there any potholes you can envision?

A: An increase in tourism is definitely ahead; in fact, tourism to the US has increased by 16.9% since 2003 and it continues to look promising.  Likewise, international tourism has also been steadily increasing since 2003, according to the Travel Industry Association of America (TIA.)

Growth is good but significant economic downturns could slow the market.

 Q: Are travel needs and requirements of travelers changing? How so?

A: There are more active travelers that are disabled that need advice on what travel vendors can best accommodate their needs.  More travelers also want to indulge in their hobbies while traveling so travel agents are being asked for first hand recommendations of the best scuba diving or running trails or the best restaurants in town.  While most scuba diving travelers will not want to dive all day every day, so the trips must be balanced with complementary activities.

 Q: How is your own company changing to meet changing travel market?

A: Our organization, ATAA, is sponsoring a wide spectrum of seminars to equip our consultancies with the business skills they need to succeed in this ever changing market.  We see our consultancies growing and adapting and finding new opportunities.

 Q: GDS’s…where are they headed?

A: They are like travel agents – they are getting squeezed and will need to fine tune their offering to stay competitive.