The economic situation we face over the next 12 to 18 months is going to be tough, but travel agents are holding on to their market share, if not coming back in terms of distribution.
The 2008 winter season is holding up well so far, with a 1% increase in passengers for the season. We are also seeing an increase in the average price paid by consumers, with mid-haul destinations such as Egypt and the Caribbean going well.
For summer 2009, high-street travel agents have seen a £6 million increase in bookings taken for mid-haul destinations. This is mostly because of the increase in demand for all-inclusive holidays, which are proving popular as a way for travellers to keep a lid on budgets.
Travel agents have a 70% share of passengers for the summer 2009 market, up from 66% the same time last year. Consumers prefer dealing with travel agents for early bookings as this gives them an extra opportunity to receive reassurance. Agents can prove their worth by ensuring staff are well informed.
Looking further into the future, we know that social networking, forums and websites will get increasingly sophisticated. There’s no doubt that nearly all agents, if they are not already, will take bookings on multi-channels.
Many shops already have screens in store with detailed footage of hotels and destinations, and this too will become increasingly popular.
In terms of top tips for the coming months and years, there is no better advice than that given at the recent ABTA Travel Convention:
- Keep a tight rein on cash and make sure you can accurately forecast your cash flow
- Focus on what the consumer wants. Indications show that leisure travel spend will grow over the next two years but the number of trips taken will decline.
- Employ the best staff, and train them well.
- Specialise and make sure your knowledge is second to none.
- Make sure your staff feel valued and motivated.
