So far this year has been what can only be described as unbelievable. Events have been so dramatic that we are likely to see a new world emerging. The protests in Tunisia, Egypt and Libya have undoubtedly affected our industry.
And with the horrendous weather problems in Australia and New Zealand and now the terrible events in Japan, there will undoubtedly be repercussions for travel again.
Add to all of this to the threatened Spanish airport strikes over Easter, and the Italian strikes a few weeks back, and we have had what can only be described as the worst start to a year for travel in the last 10 years.
Trading is challenging. Consumers are still looking to go on holiday, but this will be the latest booking market we have ever seen and prices will drop. This is good for the consumer, but not for agents and operators.
Through no fault of their own, some companies will undoubtedly not make it. They will become victims of the economic climate and the drop in demand for key destinations such as Egypt.
Cash flow will also play a massive part in the survival or demise of agencies this year. The credit card companies are demanding unreasonable terms and in some cases threatening to withdraw services unless new, less attractive terms are accepted, which massively affects cash flow.
With average selling prices up to 25% less than 2010, and the lateness of the booking market, some smaller and medium-sized agents are going to do well to survive this trying period.
It is time to look within your own organisations and make sure that all staff are on top form and sharp enough to make the best out of every sales call and booking.
Count your blessings
It may also be worth speaking to organisations such as Training for Travel who have lots of training options available free of charge and may help your business to survive in these hard times.
Baden-Powell, founder of the Scouting movement, used the phrase ‘be prepared’, and I think that should be the motto for travel agents this year.
If you are not, it will be a long and hard battle. The survivors will be those who are sharpest and willing to work over and above the norm to succeed. We have all done it before and we have to pick ourselves up and do it again.
I am sure every one of you, along with me, would like to send your thoughts and prayers to those suffering in Japan.
Our industry is having a hard time, but not as much as others who have lost family and loved ones. On reflection, maybe we are not that badly off, after all.