ADVANTAGE Travel Centres’ head
office has torn up its commercial agreement with Cadogan Holidays following a
dispute over tiered commission levels offered in the operator’s Elite Agents
Cadogan Holidays managing director
Gary David plans to boost commission to 21% for top-performing agents and is
targeting 600 members for its revamped Elite Agents Club.
However, Advantage has reacted
angrily to Cadogan directly approaching members and will end its relationship
with the operator on April 30.
In a letter to David, Advantage head
of commercial Julia Lo Bue-Said wrote: “We see no point in our partnership
continuing. The fact you have targeted our members directly is in complete
contradiction of our relationship. You have not even had the decency to inform
us of this change.”
David said he was bemused by
Advantage’s reaction as the existing 19% commission level with the consortia’s
agents would remain and the new arrangement meant the best performers would be
“looked after very well”.
“I don’t understand it in the
slightest,” David said. “The Elite Club has been running for eight years. All
I’ve said is that over the next two years, I’m hoping to reduce distribution
costs and increase the number of top performing agents I work with.”
sales and marketing director Colin O’Neill said: “We’ve never been told Cadogan
is unhappy. This is not the way to do business.”