| Journal: TWUK | Section: |
| Title: | Issue Date: 24/07/00 |
| Author: | Page Number: 8 |
| Copyright: Other |
Analysis
Consortia face up to riding the brandwagon
As Travelsavers becomes the latest group to try to woo independents to sign up, Diane Smith talks to established consortia about how they will survive and keep their members.
IT WASN’T too long ago that independent agents would have baulked at the thought of becoming another cog in a national chain.But as yet another consortium prepares to enter the market and with multiples continuing to squeeze their independent counterparts, brand recognition on the high street is fast becoming crucial.The consortia are all reporting an increased interest in fascia branding and national identity. ARTACinsists on new members adopting the Worldchoice branded shop front, while Advantage claims that more agents than ever are branding their outlets, even though it is not compulsory.Industry observers feel a strong brand within the local market is no longer enough, particularly as the multiples now own strong regional brands.ARTAC managing director Julian Foster admitted his consortium would be stronger if members were forced to adopt the Worldchoice branding.”It is infinitely competitive now. Therefore branding is a critical issue,” said Foster. “We can’t market nationally if we don’t have a national brand. The maximum number of members have to adopt it and I believe we would be a stronger group if it was compulsory.”While new members are obliged to brand their shop within six months, Foster said existing members are exempt from following suit.”Some members joined when there was no branding so we would have to change the rules to make it compulsory,” he said.Advantage sales and marketing director Colin O’Neill said there needs to be a balance between national recognition and agents keeping their individual identity. “The branding is perceived as increasingly important but there must be an emphasis on the independence of the agent while also being a brand recognisable to the consumer,” he said. Raising interest in fascias and branded point of sale material was encouraging, O’Neill added. “Agents are realising you can have a brand without losing your identity and it’s gathering momentum.”Global Travel Group, whose members are not as fiercely independent as those in ARTAC and Advantage, also recognises the importance of public awareness.Founder George Begg said: “To get a good effective national marketing campaign, you need an effective national brand. It’s not enough to be strong in your own area, you need to be able to compete with the other big brands.”However, Midconsort warned that agents should not lose sight of individual service.Chief executive Mike Gates said: “Midconsort is quite well known to consumers. Members show they are part of the group but in the end it’s their business. It’s the person that counts, not the name.”Away from the high street, the Association of Independent Tour Operators is looking at creating a consumer brand to help attract clients to independent operators and Campaign for Real Travel Agent members. New AITO chairman Colin Trigger has spoken of branding the organisation along the lines of Go and Buzz.Travelsavers, the new US marketing group soon to launch in the UK, said nothing would be forced on members but president and chief operating officer Jack Maraffi said Travelsavers branded material and fascias are available for those who want them.
IT WASN’T too long ago that independent agents would have baulked at the thought of becoming another cog in a national chain.But as yet another consortium prepares to enter the market and with multiples continuing to squeeze their independent counterparts, brand recognition on the high street is fast becoming crucial.
The consortia are all reporting an increased interest in fascia branding and national identity.
ARTACinsists on new members adopting the Worldchoice branded shop front, while Advantage claims that more agents than ever are branding their outlets, even though it is not compulsory.
Industry observers feel a strong brand within the local market is no longer enough, particularly as the multiples now own strong regional brands.
ARTAC managing director Julian Foster admitted his consortium would be stronger if members were forced to adopt the Worldchoice branding.
“It is infinitely competitive now. Therefore branding is a critical issue,” said Foster. “We can’t market nationally if we don’t have a national brand. The maximum number of members have to adopt it and I believe we would be a stronger group if it was compulsory.”
While new members are obliged to brand their shop within six months, Foster said existing members are exempt from following suit.
“Some members joined when there was no branding so we would have to change the rules to make it compulsory,” he said.
Advantage sales and marketing director Colin O’Neill said there needs to be a balance between national recognition and agents keeping their individual identity. “The branding is perceived as increasingly important but there must be an emphasis on the independence of the agent while also being a brand recognisable to the consumer,” he said.
Raising interest in fascias and branded point of sale material was encouraging, O’Neill added. “Agents are realising you can have a brand without losing your identity and it’s gathering momentum.”
Global Travel Group, whose members are not as fiercely independent as those in ARTAC and Advantage, also recognises the importance of public awareness.
Founder George Begg said: “To get a good effective national marketing campaign, you need an effective national brand. It’s not enough to be strong in your own area, you need to be able to compete with the other big brands.”
However, Midconsort warned that agents should not lose sight of individual service.
Chief executive Mike Gates said: “Midconsort is quite well known to consumers. Members show they are part of the group but in the end it’s their business. It’s the person that counts, not the name.”
Away from the high street, the Association of Independent Tour Operators is looking at creating a consumer brand to help attract clients to independent operators and Campaign for Real Travel Agent members. New AITO chairman Colin Trigger has spoken of branding the organisation along the lines of Go and Buzz.
Travelsavers, the new US marketing group soon to launch in the UK, said nothing would be forced on members but president and chief operating officer Jack Maraffi said Travelsavers branded material and fascias are available for those who want them.
The frontline: fascias are increasingly targeting more public awareness
O’Neill: consortiums need balance
Begg: public awareness is vital
Foster: branding is crucial
factfile
National Association of Independent Travel Agents
started in 1978
Advantage Travel Centresbranding introduced 1992
Currently about 350 out of 850 outlets branded
ARTAC started in 1977
Worldchoice brand introduced in 1997
Currently about 600 out of 800 outlets branded