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Which way does ABTA go on the fees issue?




































Journal: TWUKSection:
Title: Issue Date: 21/08/00
Author: Page Number: 74
Copyright: Other











Which way does ABTA go on the fees issue?

IT’S HARD not to feel a little sorry for ABTA as it finds itself caught in the middle of the service fee debate.


After watching suppliers like British Airways pledge to axe commissions, ARTACWorldchoice, Advantage and Midconsort have reluctantly accepted they will have to charge fees.


Logically, they want ABTA to help educate the public about this move.


Advantage sales and marketing director Colin O’Neill says:”Introducing service fees requires a change in the consumer’s perception and ABTAhas strong credibility with the consumer.”


The problem is that the public won’t pay a level of service fee that will be anything like the commission agents currently enjoy. ABTA knows it, the multiples know it and our survey last week proved it.


ABTA is currently playing for time. It is waiting for the outcome of consumer research into service fees before making any final decision.


The fear is that this research will be largely a waste of money.


The last time ABTAcarried out a MORI poll it found most people would not use an agent who charged a fee. Hence it decided that a campaign telling customers that agents charge fees was not the best way forward.


Nothing has changed. Anyone who thinks the public is suddenly going to say “yes, lets pay the agent a big fee on top of the holiday price” is dreaming. Unfortunately and unfairly, our surveys show the travel agent is not always held in the highest regard by the public.


It seems the only way to get away with service fees in the short term is to introduce them through the back door, which is a strategy ABTA has suggested.


At least if it is incorporated into the overall holiday quote rather than highlighted as an extra charge, there’s a chance of hoodwinking the public.


O’Neill: will look to ABTAto lead the way on changing consumers’ thoughts on fees



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