ONLINE travel booking is
growing in what otherwise
seems to be a flat
outbound travel market. But
industry experts believe online
is just one avenue of growth for
agents.
While the travel industry’s
international BSP sales for
the period January to October
are showing 0,8% growth,
Travelstart’s BSP figures are
at an all-time high. Supply and
product manager, Candice May,
says the OTA’s international
BSP growth for the same period
is far above 20%.
Travelstart’s performance
has been equally strong
on the domestic side, also
demonstrating double-digit
growth. Candice says although
Travelstart works off a lower
base than other agencies,
these numbers still reflect
healthy growth under current
market conditions.
More leisure travellers are
going online to book simple
transactions, says ceo of XL
Travel group, Marco Ciocchetti.
However, he says, “there is still
huge opportunity for growth
in other areas provided that
agencies specialise in what
they’re doing”. Marco says
agencies are seeing sales
growth in land and cruise
arrangements because they
require consultation. “Agents
need to be able to add value if
they want to grow,” he says.
Jonathan Gerber, director of
TAG, says whether an agency
should target growth via the
online space will depend on
its strategy and the market it
wishes to target. While older
clients may prefer to book
through a traditional agent,
younger consumers may prefer
to book on their smart phones.
Andrew Stark, md of Flight
Centre Travel Group (FCTG),
says it uses diverse strategies
to achieve growth and that the
group’s retail brands have seen
significant airline growth over
the past 18 months.
“BSP market share stats
year to date show that our
international air travel grew by
11%. Our domestic air grew
by 11% whilst the industry
declined by 3%. Overall, our
air BSP is up 11% versus the
market which is down by 1%,”
says Andrew.
The group’s ITC model, Flight
Centre Associates, which
comprises 5% of FCTG’s
business, has grown 100%
over the last two years. “We
have 55 FCA consultants with
an eye on 100 by 2018,”
Andrew says.
