Travel agents are a dying breed - but before they die there will be one last kick from the grave as they attempt to drive up their commissions from operators - and the only loser will be you! The advent of discount airlines and their direct web marketing approach has arguably been the biggest impact in the travel industry in the last decade. These airlines, such as Ryan Air and Southwest, have assisted in the general public becoming more comfortable to purchasing their travel experiences online.
In response traditional airlines were forced to meet the market and lower their prices and one place they immediately addressed cost cutting was by all but eliminating travel agent commissions. In some cases these commissions had crept up over the years to 20% or more. An interesting article the other day on an Australian News site said that Flight Centre was now fighting back, using it’s immense buying power to wage war on airlines and demand higher commission. As travellers, it is our job to fight back and go direct to keep the cost of travel down.
It is not just flights that you should avoid travel agents when booking. Did you know that travel agents have preferred product agreements with suppliers - the bigger the agency the more likely this is to be? That means, you are not necessarily getting the best options of products to book and certainly not independent advice. Preferred product status is often (if not always) driven by secret behind door commission arrangements - which only serves to push the price of travel up for us.
If you are going to venture outside the supposed safety of the travel agencies then obviously the the best tool is researching your trip on the Internet. Getting independent advice on the Internet is relatively easy - start with any website that has reviews and ratings of the region and products you want to travel on. Sites such as Trip Advisor, Hostel World and Boots n All are some of the best places to start. Armed with independent advice you are then ready to get the cost down.
Next step is to traverse the Internet for the best deal. The first place I start is always with the operator themselves - quite simply go-local. If possible find the airline or operators website and see their direct price. There are some great Internet tools for comparing flights such as Kayak and Skyscanner. These guys use an arrangement for referring you to the airlines website that is significantly cheaper than a travel agents commission. Secondly, check out many of the last minute websites. You will find that many operators, airlines and hotels don’t have the technology on their own websites to easily manipulate price and so they rely on some of the last minute websites to unload excess product. Websites such as Wotif for accommodation have built a strong model around hotels selling last minute beds.
Ask in travel communities for what other travellers paid for products. Forums such as Lonely Planet’s Thorn Tree are good places to get information on what was the best place to book a particular tour or product you are interested in. Getting true advice from a traveller who has done it will always beat getting manipulated advice from an incentivised travel agent.
Pickup the phone and call the travel provider. It seems funny to say in this day of the Internet but as I said above many operators don’t always have the technology to keep their website prices completely changing all the time so it often pays to pick up the phone and give them a call. A small word of warning here, from my years of experience working in the travel industry. Despite the fact that agents are less important, and that travel providers are focussing increasing efforts on generating direct sales, until they go away completely travel agents are still an important part of some travel companies sales mix and the risk of upsetting agents will always be in their mind. In this way, the travel supplier will often be wary of giving a staggeringly good deal on their website or over the phone in case you are a travel agent mystery shopping - the risk of this is that the agent stops selling them or that they demand the same price while still taking their commission. In these cases I can tell you that cash is king and that by going directly into the operators office or shop you will be bound to get a much better deal by being there in person.
Finally, be flexible in your travel arrangements. My last point of going to the travel supplier themselves necessitates that you might not have booked all your travel itinerary before you have arrived at your destination. Being able to travel with a bit of flexibility can be a great way of getting a good deal - being able to take advantage of last minute specials, travelling on short notice or varying your route are key ways to getting yourself a real deal. Quite clearly, this type of flexible last minute travel will have the pre-planning travel agents turning in their graves.
If travel agents are to survive in this time of global recession they need to be a lot more inventive in the way they approach the market - they need to be able to add value to your travel decisions that justifies higher prices or a service fee. But while travel agents continue to pursue more commissions this is bad news for us as travellers. For us there is no alternative but to book online and go direct.