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‘Commission hike can’t go on’

CONSORTIA bosses should closely analyse what members
sell and target specific operators, First Choice managing director
Dermot Blastland has said.

Blastland said agents would earn better commission by focusing
on two of the major operators – even if it means dropping
First Choice. “Focus on two of the big four,” he said. “Agents need
a clear business strategy on how to survive.”

Referring to the row with Worldchoice over a new lower
base-level of commission, he added: “We would like them to behave
like a focused consortium.”

The plea comes as Blastland warned the current commission
structure was unsustainable. “We can’t build into our prices
never-ending commission because it is expensive.”

First Choice’s review of distribution is symptomatic of an
industry-wide issue, added Blastland. The operator is looking at
“the true cost of every account” across distribution, including
spend on training, brochures, incentives, errors, commission and
sales.

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