Agencies searching for ways to adapt to the "new normal"

Agencies searching for ways to adapt to the "new normal"
By admin


Travel agencies are no longer seeking technology solutions that focus on providing content and product and are instead looking for platforms that can help them solve specific business issues, according to Sabre Pacific’s chief information officer.

Speaking at the Traveltech Reboot conference in Sydney, Mark Mison highlighted significant change within the travel distribution space since 2002 that has created a “new normal”.

While traditional travel agencies have displayed growth, on average 2% per year, rising from 10.5 billion to 11.5 billion over the period, the sector’s relative size and growth is, in fact, shrinking.

“The truth of it is that more consumers are booking with direct suppliers and more consumers are using alternative sources like online travel agents,” Mison said.

But the outlook does not necessarily have to be bleak for those bricks and mortar agencies, he insisted.

“It’s not just about doom and gloom, it’s about knowing your customer – understanding how they are changing and making sure that you are willing and able to change with them,” he said.

The last five years has seen a rising number of Sabre’s customers seek assistance from the firm in aggregating different sources of content and changing their business model from that of a traditional agency to that of a “retail merchandiser” with the ability to “up sell, cross sell, buy at one price and sell at another”.

Cost reduction is also a priority, as is the ability for agents to offer “hybrid, personal” services to their customers.

“Stuff that might have made you successful in the past provides no guarantee of your success into the future,” Mison warned. "Ultimately it's about you and your capability to change."

Latest News

  • Cruise

P&O rescues Rotary volunteers after collapse of Air Vanuatu

P&O Cruises Australia has answered a plea for help from a group of young Australian Rotary volunteers, stranded in Vanuatu following the collapse of Air Vanuatu. The students, many of them teenagers from Albury, NSW, were volunteering for a youth project run by the Hive Rotary Club Australia when the airline abruptly cancelled all flights, […]

  • Destinations

Intrepid continues expansions with launch of first DMC in Jordan

Intrepid has increased its presence in the Middle East with the opening of its first destination management company in Jordan. Based in Amman, the local team will operate Intrepid’s range of nine experiential small group tours in Jordan from this summer, with a view to expanding the range for 2025 and beyond. Zina Bencheikh, managing […]

  • Appointments

Minor hotels appoints Puneet Dhawan to key Asia role

Global hotel owner and operator Minor Hotels has appointed Puneet Dhawan as head of Asia as the group plots its growth in Asia and India. From July, Dhawan will be responsible for the performance of all Minor Hotels properties in Asia, working in close collaboration with the Minor Hotels senior leadership team and will report […]

  • Appointments

Abercrombie & Kent and Crystal appoint Evon Ler to director of sales, Asia

Abercrombie & Kent Travel Group have announced that Evon Ler will join them in the new role of director of sales, Asia. She will work closely with Tony Archbold (VP, Sales, APAC, Crystal) and Susan Haberle (VP, Sales & Partnerships, APAC, A&K) with trade support across the region. Ler comes to the A&K family with more […]