The simple fact is that competition among travel industry suppliers is at an alltime high, and it's increasing every day. Thousands of hotel rooms are opening
somewhere every day. Thousands of airline seats, hotel beds, cruise berths,
and tour-coach seats are all waiting to be sold, day after day. The travel
industry sells the world's most perishable products: An unsold seat or room is
revenue lost, forever.
The key is to sell those seats, berths, and beds—and to get paid for it.
The industry is very complex, though. Customers and travel industry
companies are very demanding. Expectations are rising as never before.
Everyone wants value for money: The highest quality, the highest standards,
and the highest professionalism at the lowest cost.
Products are becoming complex, too. Just keeping track of frequent-flyer
points, shifts in airline alliances, and the different offers from hotel groups can
make your head spin. There is more: new reservations systems, visa
regulations, fares, and terms and conditions (the fine print) attached to every
product.
Customers are not loyal. There are more suppliers to choose from, most just a
click away on the Internet. Consumers are constantly looking to try different
things, and they frequently change travel product sellers if they can find one
that offers them a lower price.
Things can, and do, go wrong. Weather conditions delay flights, or security
considerations require re-routing of a tour itinerary. Though these problems
seldom occur, sorting them out for demanding clients can take a significant amount of time, money, and resources, particularly for small and medium-sized
travel and tourism businesses.
The professional skills that you can develop will assist you in being prepared to
handle such challenges.
On the business side, the financial pressures of being a small or medium-sized
business operation can be heavy. Many such businesses, unable to manage
the pace of change and unable to compete, are being purchased by larger
global chains, which are themselves joining forces with other chains in order to
improve their negotiating power with airline alliances and global hotel chains.
This is affecting medium-sized travel agencies most. While the giant agency
groups can negotiate the best prices and compete amongst themselves for
market share and volume, based largely on price and diversity of product, the
small agents continue to do business with a select clientele that likes
personalized service and does not mind paying for it.
Medium-sized agencies will have to decide in future which way they wish to head.
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