Travel agents whether in person or online can be powerful tools in your distribution strategy. They can boost your visibility and reach a new audience, but they also come with their own sets of pros and cons. Effectively working with OTAs requires careful selection and monitoring of pricing, hidden fees, and customer service. Let’s take a look at what OTAs do for hotels to give you an idea of how to evaluate them.
1. They Have More Access to Inventory
Travel Agent Franklin TN have access to a massive travel booking inventory that they can make use of to provide their customers with better rates. This is because they work within the framework of a global distribution system (GDS) like Amadeus, Travelport, or Sabre. GDSs are content aggregators that also act as tech providers for travel agencies, hotels, and other industry players.
This enables them to have real-time access to unique deals from more than 100 airlines, plus the ability to book ancillary products and fare families. They can also leverage their relationship with a travel consortium or host agency to get additional perks that they can pass along to their clients.
In addition to this, GDSs also have a number of useful tools and assets that help travel agents streamline the business travel process for their clients. This includes a business travel portal, where travelers can view their itinerary and access pre-trip support and reporting. It also helps to streamline the trip planning process by allowing users to book flights, hotel rooms, and car rentals all in one place.
Travel agents can also take advantage of the perks and discounts offered by various hotel partners to help them offer their customers competitive rates. Often, these deals aren’t available to online booking sites, which can make them a great way to save money on your next getaway.
2. They Can Negotiate
Travel agents have longstanding relationships with suppliers (like hotels and cruise lines) which give them clout when it comes to negotiating rates. They know how much volume a company can generate and are often able to negotiate group discounts or extra amenities, like room upgrades or resort credits. They also have a better understanding of what’s important to your travelers (e.g. a toddler-friendly hotel with shallow pools and family suites) and can often find what you’re looking for more quickly.
Good travel agents will gather comprehensive details from their clients before contacting a supplier, which empowers them to negotiate an offer that perfectly aligns with the client’s expectations. They also understand what’s negotiable and what isn’t, which is key for effective negotiations. Travel agencies are also able to use their clout with specific vendors to get access to exclusive perks that they can then pass on to their clients, such as extra shipboard credit or complimentary room upgrades.
One of the most important skills a travel agent learns during their training is how to be an effective listener, which is vital for strong negotiation outcomes. In fact, Harvard Law School notes that “effective negotiation is not about winning but rather gaining a mutually acceptable outcome.” For example, sometimes you’ll run into a hotel manager who is unwilling to budge on their rates during peak season or on particular routes. In these cases, it’s often worth walking away to keep your agency’s reputation intact and find another supplier willing to work with you. Exceptional travel agents know this, which is why you’ll often see them politely walk away from a bad deal for their clients.
3. They Have More Experience
While online booking sites and travel apps are convenient, they lack the human element of a trip planner. Travel agents are experienced in planning trips for people from all walks of life. They know how to find the best flights, hotels, and car rentals for different budgets and needs. They also have a vast network of travel contacts. This makes them able to offer travelers the most value for their money.
In addition, online travel agencies (OTAs) charge marketing fees to list your hotel on their websites. This can significantly reduce your profit margins. In addition, OTAs often enforce rate parity agreements, which can prevent you from selling rooms directly on your own website at lower rates.
OTAs may also charge extra to handle certain types of bookings, such as group reservations or last-minute trips. These additional costs can add up, especially if you are working with a large agency or a popular OTA. By working with a smaller agency or an independent travel agent, you can avoid these additional fees and keep your profits higher.
Travel agents can also provide a variety of other services that can make your vacation more enjoyable, including airline tickets, car rentals, cruises, tours, and travel insurance. These additional services can enhance the experience of your clients and help you build long-term relationships with them.
As more and more travelers turn to travel agents to plan their trips, it is important that hotels embrace the trend. Integrating travel agents into your distribution strategy can be a powerful way to increase direct bookings and grow revenue. Just be sure to weigh the pros and cons of each option carefully before making a decision.
4. They Can Offer More Options
Travel agents are able to design full itineraries and book a variety of services for their clients. This includes flights, hotels, tours, cruises, car rentals, and more. The beauty of working with a travel agent is that they can find the best options to fit your budget and personal preferences, all within your desired timeline.
This allows them to provide you with a customized experience that is far superior to what you would be able to book online on your own. Travel agents are also able to offer exclusive deals and discounts that you may not be able to get on your own, such as group bookings or complimentary upgrades.
The relationships that travel agents build with their suppliers are another advantage. This is especially true for airlines, who often give travel agents exclusive pricing or bundled packages that aren’t available to individual travelers. Additionally, travel agents are able to offer discounts on airfare and accommodations through their memberships in travel consortiums or host agencies.
Even the most well-planned trips can encounter unexpected issues, and having a travel agent on your side to help navigate these changes is essential. Travel agents are skilled at negotiating with travel companies and getting refunds when necessary, all while keeping your trip on track.
With so many benefits, it’s no wonder that people are re-embracing the power of travel agents. They can save you time, money, and the stress of planning your own trip. Plus, they can help you to create a vacation that is uniquely your own, making it truly unforgettable. So if you’re ready to take your trip-planning to the next level, contact a travel agency today!
5. They Can Offer More Convenience
For travelers, booking through travel agents can be more convenient. For example, they can skip having to juggle multiple online accounts and passwords for various booking sites and travel suppliers. Additionally, travel agents can provide a single point of contact for all aspects of the trip planning process. This can save time and reduce frustration from having to repeat travel details over the phone or email.
In addition to saving time and simplifying the planning process, travel agents can also offer more customized itineraries that align with specific interests and needs. This level of customization can make your trip truly memorable and unique. For example, a travel agent can help you plan a trip to celebrate a milestone anniversary, a family reunion, or even a once-in-a-lifetime bucket list adventure.
Aside from personalization, travel agents can also offer more convenience by providing a variety of services that online booking sites don’t have the resources to provide. For example, a travel agent can arrange for airport transfers, cruise or tour port pick-ups, and hotel accommodations. They can also arrange for special perks like complimentary massages, room upgrades, and other resort amenities.
Additionally, a travel agent can often provide better rates for cruises and tours through their supplier relationships. They can also negotiate discounts on air and land packages that aren’t available to the general public.
To best serve their clients, travel agents must keep up with industry trends and emerging destinations. They can do this through subscriptions to industry publications, attending travel and tourism conferences, and networking with peers. These learning opportunities keep them informed about new products, booking engines, and technology that can help enhance their clients’ experiences.