State of the travel trade: Key findings and statistics

Travel Weekly polled Advantage business and leisure agents on current industry issues and the future.

Here we look at some key statistics – for more detail read Juliet Dennis’ analysis of the findings

Key conclusions for business and leisure agents

Primary factors having a significant impact on business

• Customers booking direct through websites (45%)
  
• Economic downturn (38%)
  
• Price discounting (38%)
  
• Rising business overheads (36%)
  
• Paperless ticketing (29%)

What agents think are the most important factors for clients

• Price (65%)
  
• Agent service (62%)
  
• Agent knowledge (55%)

Other key findings

• Despite these concerns, 72% are optimistic about the next 12 months 
  
• Four in 10 consider customers less loyal than three to five years ago
  
• Three in four see customers booking direct as a problem, but only one in four see the web as a threat to their business
  
• Four in 10 feel the government should support UK travel companies by decreasing travel taxes
  
• Two in three think there is a staff shortage in the industry
  
• Six in 10 would consider a career outside the industry

Key points for leisure agents

• Three in five say customers’ buying habits have changed
  
• Half of retail customers book more than three months in advance
  
• 45% say customers are spending more than last year
  
• Spend per trip and the number of long-haul holidays have increased in the last year
  
• The state of the UK economy is the most important factor over the next three to five years
  
• Luxury and cruise are deemed most important over next three to five years

Key points for business agents

• Three in five say customers’ buying habits have changed
  
• 45% consider customers are spending less than last year but say this will change in the next 12-24 months
  
• Equal numbers are reporting an increase, downturn or no change in the number of trips sold and spend per trip
  
• Fuel costs will be a key trend affecting business in the next three years
  
• Specific challenges in the next three years will be the economic climate and the quest for new business

Two in three see the internet as an opportunity rather than a threat

Six in 10 would consider a new career outside the industry

What would that career be?

• Sales 7%
  
• Teaching/training 6%
  
• Customer services 5%
  
• Marketing 4%
  
• consultancy 3%
  
• Finance 2%
  
• Self employed 2%
  
• Better paid 2%
  
• Something different 2%
  
• Media 2%
  
• Legal 2%
  
• Photographer 2%
  
• Anything 2%
  
• Don’t know 26%
  
• Other 33%