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Reynolds warns of changes to come


ABTA chief executive Ian Reynolds predicted further sweeping changes for agents as he unveiled his master plan for the association.



He added it was vital agents were aware of the issues and opportunities facing the industry and how they could exploit them.



“There are many changes that have affected agents and will continue to affect them,” said Reynolds.



He said airline commission cuts will lead to more service fees as retailers start becoming the “agent of the customer rather than the airline” while the Internet could be used to the advantage of agents.



“A survey showed one in 10 people have used the Internet to obtain information but 50% said they would use it in the future,” said Reynolds. “But I believe the retailer will beat the customer 19 times out of 20 when it comes to finding a cheap flight, for example. Quite simply, access to information is a lot easier for travel agents.”



Some agents also face severe financial problems as multiples introduce free insurance. “We have some members whose total profit is from the sale of insurance. They barely break even on the holiday theysell.



He said the globalisation will also lead to ABTA opening its membership to overseas companies.


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