Commission payments to Global Travel Group agents have increased 3% over the past year to an average of 11%, managing director Andy Stark told the consortium’s 2014 conference.
Stark said the hike in commissions from the group’s 160 preferred suppliers was a result of increased sales of higher value, long-haul holidays and stronger commercial negotiating.
“What we are seeing is a shift to more expensive purchases; 55% of product sold through members is long-haul. We have got increased volumes and sharper commercials,” he said.
In 2013, sales were up 11% for the group and 97% of business was with the group’s preferred suppliers. The group booked 78,652 passengers during 2013, with a third of business coming from dynamic packages.
Dubai bookings were 46% up year on year with nearly 2,000 passengers, and Thailand holiday sales were up 30% with 884 passengers booked last year.
Stark said the group would continue to benefit from the increased focus of parent company Stella Travel Services UK on securing more direct contracts with hotels, particularly in the short-haul market as a result of sister company Travel 2’s move into the European luxury market.
Speaking at the conference, held at Carden Park Hotel, Golf Resort and Spa near Chester, Stark also revealed plans for a new online store on the consortium’s intranet Horizon for members to buy bespoke marketing materials for their agencies.
This will allow agents to request specific e-shots, point of sale material and brochures for their agency.
“An agent will effectively be able to place an order. We can tailormake e-shots from operators and make them compatible to social media channels. We want to become more specialised in our support of members,” said Stark.