ITCs: a lifeline for agents and agencies - ASATA HANDLES THE POLICY ISSUES Low cost doesn't mean low quality - TIR
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FEBRUARY/MARCH 2019 ISSUE 280 ITCs: a lifeline for agents and agencies ASATA HANDLES THE POLICY ISSUES Low cost doesn’t mean low quality THE MAGAZINE FOR SOUTH AFRICAN TRAVEL PROFESSIONALS.
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comment Publisher’s Notebook With changing lifestyles, ever-increasing and increas- ingly powerful technologies, escalating cost pressures, com- The relationship between these retailers and suppliers is crucial to all parties, not forgetting their clients, and the onus is largely petition and the changing relationships between retailers on suppliers to find a better way to communicate most effec- and suppliers, it is small wonder that the independent travel tively with ITCs, a challenge which is commonly assessed as counsellor sector is the fastest-growing in the industry. It is, in being met by too few. fact, crucial to the survival and certainly the growth of many high-street travel agencies and agency groups and chains and As more counsellors continue to review their career paths, TIR spawned the creation of dedicated ITC organisations, which reviews the options in this issue. now account for a significant proportion of agency sales. All of them are seeking individuals with the skills, experience and existing clients to contribute to their volumes, turnover and bottom line. One size does not fit all, so counsellors are well-advised to eval- uate the business model which best fits their own requirements of flexibility, reward, support and environment. IN THE NEXT ISSUE OF TIR... Cruising provides some of the top commissions and incentives opportunities for travel agents. We take a look at the most rewarding. The perennially popular Indian Ocean islands have high-value specials to address the currently fragile South African market, with Mauritius, Seychelles and Réunion leading the way. ¼ PREMIUM BUSINESS Connecting Africa to more than 120 destinations in Latin America. · Full-flat seat. · International gourmet cuisine. · Wine list designed by the only Master Sommelier in Latin America. · State-of-the art on board entertainment. · Full access to VIP lounges. ATAM Airlines Sales Support Toll free number: + (27) 105003076 *Please insert you 7 digit IATA code Email: salessupportza@servicinguk.zendesk.com www.latam.com www.latamtrade.com
Cover image: Working from home is becoming an increasingly attractive option. Editorial Director John Wardall john@tir.co.za INSIDE General Manager/ Ad Director Dominic Wardall dominic@tir.co.za Contributors Sarah Cornwell Richard Holmes Kate Els Shannon Latimer Administration Nerina Nicholson 06 12 ASATA takes care British Airways’ of policy issues hundred-year Accounts Brenda Smith for you evolution accounts@tir.co.za Head Office 9 Ruby Terrace, Noordhoek 7979 PO Box 745 Noordhoek 7979 Cape Town Tel: +27 21 789 0053 Printing 09 Formeset Printers 16 Is it time to Independent © TTG Southern Africa 2019 boycott bad agency models Publisher service? keep evolving TTG Southern Africa CC Reg no: 1995/030913/23 www.tir.co.za @TIR_SA Congratulations to Joanne Marcovich from Inspirations Travel & Tours who was Spotted with TIR in Giza at the Pyramids. Joanne is the lucky winner of an American Tourist Aero Racer suitcase! Inspired by modern minimalistic lines with in-depth levels, the American Tourister Aero Racer makes sure you are ready to conquer the world! This hardside collection stands out with a dynamic and evolving pattern of recessed lines, giving the collection its impactful identity. Made from ABS, Aero Racer perfectly matches with every fashion-minded traveller and comes in a variety of trendy colours. Comfort is guaranteed thanks to its perfectly designed features. Find it online at www.americantourister.co.za Email photo entries to: dominic@tir.co.za 4 Travel Industry Review | February/March 2019
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ASSOCIATIONS ASATA tackles policy ‘stuff’ so you won’t have to By Otto de Vries, Association of Southern African Travel Agents CEO It is unlikely the prospect of a Gov- businesses. ernment Gazette is going to get your They sit in endless meetings to bring juices flowing first thing in the morning. the voice of industry to bear in policy Let’s face it, most of us can’t even bear formation so that ASATA members don’t the thought of switching on the radio have to. They communicate what the only to hear the news of a surprise cabi- impact of policies are likely to be on the net reshuffle at midnight. ground. They even take the battle to the Zero VAT rating on international trans- media on your behalf. port, Treasury procurement policies and Lobbying for the benefit of the travel the Unabridged Birth Certificate debacle industry is one of ASATA’s key respon- – the travel industry has faced some sibilities. In the absence of a govern- rough policy decisions made by Govern- ment-regulated industry, ASATA is the de ment which have affected our business facto voluntary regulatory body for the over the past few years. travel industry and represents 95 percent Quite often, these are adopted unilat- of it. erally without consulting the very people As such, it is recognised by government and organisations they affect. And even and other stakeholders like IATA as the more often, these could have been far travel industry’s representative body in the roll out of NewGen ISS anticipated worse had it not been for external inter- South Africa. And it alone takes a seat at for the third quarter of 2019 and the vention for the travel industry’s benefit. the table to negotiate on your behalf – so continued impact of such policies as PCI Lucky for ASATA members, they have you won’t have to. DSS, zero-VAT rating and visa issues on an industry association that wants to Thanks, in part, to ASATA’s tireless the travel industry, ASATA will roll up its switch on the radio first thing in the efforts, you can focus on what you do sleeves and ensure South Africa’s travel morning and go to battle on their behalf. best – travel consulting. Your customers industry has a seat at the negotiation Every day, the small secretariat at ASA- can travel with peace of mind knowing table and is prepared for the inevitable TA monitors policies that will impact the they’re dealing with a reputable travel impact on their businesses these policies travel industry, analyses these and takes agency which complies with a stringent will have. action to mitigate the negative impact code of conduct and constitution. And we’ll continue to do this tirelessly that these policies may have on member As we embark on a new year, with – again, so you won’t have to. Enter now to WIN with Delta & TIR! DELTA Air Lines, in conjunction with TIR, is providing two confirmed return tickets to a city of your choice in the Continental US served by Delta to a lucky travel agent and their partner. Enter by answering three easy questions appearing in the October/November, December/January & February/March issues of TIR. The answers will be found in a Delta-related item in each issue. Enter now at www.tir.co.za until March 15, 2019. All three answers will be required on the entry form, so make sure to keep a note of your answers from each issue – or look through the issues online in the archive on our homepage when entering. The winner will be announced in the April/May 2019 issue of TIR. Below is the final question… Q3 Which process has Delta recently streamlined? *Competition only open to retail travel agency consultants and staff. 6 Travel Industry Review | February/March 2019
NEWS Serendipity launches FCM Travel Solutions Europamundo gets scientific SERENDIPITY Worldwide sessions are being carried out FCM Travel Solutions is to Group has launched Europa- in Durban, Johannesburg and tailor its corporate sales mundo Vacations in South Cape Town this month. strategy according to a scien- Africa. Details of all Europamundo tific study of why corporate The operator features pack- products can be accessed via travellers make specific travel ages in Europe, the US, Cana- the company’s website: decisions. da, Asia and the Middle East, www.europamundo.com. Behavioural economics with a wide range of flexible The operator is part of determines the way people coach tours, guaranteed de- the JTB Group, the largest make purchasing decisions, partures and inclusions. tourism and travel company what they buy and how they Workshops and training in Asia. are prepared to spend. General Manager of the travel management company Nicole Adonis maintained the decisions could have a signifi- Nicole Adonis cant effect on the productivity and wellbeing of the traveller. corporate travel budgets are She said that by understand- being cut, compliance and ing behavioural economics, savings are critical, she added. KLM won the Best Performing International “subtle changes to travel FCM has produced a paper Airline award for 2018 at the Airports Company of policies can be implemented on behavioural economics, South Africa Feather Awards held in Johannesburg. to nudge employees to behave traveller friction, personalisa- and choose travel options tion and streamlined payment that fit within the company’s options, which is available at travel policy”. At a time when www.fcmtravel.co.za. Regent expands with another ship REGENT Seven Seas Cruises construction began on the is to build its sixth ship, with Seven Seas Splendor. delivery scheduled for late Regent's 2020/2021 cruises 2023. It will be a sister ship have been released, featuring to the Seven Seas Explorer 167 itineraries, and its Go Lo- and Seven Seas Splendor. The cal Tours and Regent Choice inaugural season will go on small group shore excursions. sale in 2021. The line recently credited A US$125-million refurbish- travel agents with contribut- ment programme of its fleet ing significantly to the growth was completed last year and and expansion of the brand. Thailand sees growth THAILAND reported an eight resort, near Phra-Nang Bay, percent increase in interna- has changed its name to Cha E Club Travel thanked its valued suppliers by hosting its tional arrivals between Janu- Da Thai Village Resort. annual ‘Day at the Races’ at Kenilworth Racecourse in Cape ary - October 2018, compared Thompsons is selling a sev- Town. The event raised R5,960 in aid of chosen charity, Bel- to the same period in 2017. en-night package for R13,647 la’s Guardian Angels, and Club Travel committed to matching Arrivals from Africa grew by pps which includes four-star that amount to bring the total to R11,920. Pictured above in the same amount to 158,630, accommodation, return 'royal attire' (l to r): Wally Gaynor, Club Travel Managing Di- mainly due to arrivals from flights ex-JNB including air- rector; Franchise Director, Jo Fraser and Marketing Manager, South Africa 80,109. line levy, airport transfers and Luana Visagie. * The Krabi Thai Village breakfast daily. 8 Travel Industry Review | February/March 2019
AIRLINES Is it time to boycott bad service? By Kirby Gordon, Head of Sales & Distribution at FlySafair The importance of the customer has always been seen as a significant factor in the success of a business, but never has the customer experience been as crucial as it is now in what is being called the Age of the Empowered Customer. Due to the digital connectedness today, sometimes all it takes for a brand to lose a substantial amount of customers is for one to have a really bad experience and share it online. Nowhere is this more evident than in respondents claimed they would never to maintain its aircraft, unlike most the aviation industry where the violent use the airline again, but despite this domestic airlines. FlySafair has been in forced removal of a passenger due to the airline’s passengers have grown 80 the maintenance game for decades. In overbooking on a United Airlines flight percent in the past six years. Does this fact, its maintenance company, Safair was video recorded, shared on the inter- mean that as long as something is cheap, Operations, is one of just two primary net and then proceeded to go viral cost- customers will continue to use it despite organisations in South Africa capable of ing the airline an estimated US$1.4-bil- the service they receive? We’re not sure maintaining Boeing aircraft operated by lion in value. this is true for South Africa. domestic airlines. Meanwhile, within the domestic avia- That is why FlySafair focuses not only On-time performance is indisputably tion sector, customer service continues affordability, but also on great customer the most important factor when it comes to be one of the biggest points of frus- service – core to this being punctuality. to an airline’s customer satisfaction tration for South Africans, specifically The airline scored an average on-time rating, with a correlation between these when it comes to airline punctuality – a performance of 93.6 percent for 2018, scores judged to be over 63 percent. sticking point in the last three months which is streaks ahead of scores achieved Being affordable does not mean you particularly, with some of South Africa’s by other South African airlines accord- have to sacrifice good customer service. low cost airlines delaying as many as one ing to statistics from Airport Company We are continuing to invest in customer in every three flights. South Africa. experience, the only way to win over Irish airline Ryanair presents an in- The reason FlySafair is able to have the South African market. Poor service teresting case study. In a recent cus- such high on-time performance is delivery can only continue if customers tomer satisfaction survey, 70 percent of because it is not reliant on anyone else allow it. 5* THE TWELVE APOSTLES HOTEL & SPA 2 Nights from R4 342PP Ref 2195959 | Valid until 30 Apr ’19 CALL YOUR THOMPSONS HOLIDAYS SPECIALIST • JNB 011 770 7700 • DUR 031 275 3500 • CPT 021 408 9500 • www.thompsons.co.za Travel Industry Review | February/March 2019 9
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AIRLINES More direct flights and fast connections enable agents to serve customers better By Sue Petrie, British Airways Commercial Manager Trade for Southern and East Africa A hundred years ago, this new, weekly non-stop Durban/London year, the first scheduled international air services. From Johannesburg there is service started when a De Havilland DH4 a double-daily A380 service and four took off from Hounslow Heath bound for more 787-8 flights. From Cape Town this Paris. The fledgling airline which operat- summer there are double-daily flights to ed that flight, Air Transport and Travel, Heathrow and three weekly services to through various evolutions, became Gatwick. British Airways. The appeal of direct services to the UK In international air travel, a lot more is self-evident, particularly for business has since changed. Post-war infrastruc- and corporate customers. ture and a series of technological leaps, The UK also remains a key destina- including the jet engine, the jumbo jet tion for South African tourists and VFR and composite airframes, to name some, traffic. It is the destination in Western have incrementally expanded possibili- Europe that South Africans most visit. ties and changed the travel experience. While price is typically more of a concern To put this in context, consider that in for leisure travellers, time, convenience “... there are more flights and non-stop, direct capacity from South Africa to London than British Airways has ever offered. This includes the three new, weekly non- stop Durban/London services...” – Sue Petrie 1920, the first flight from London to Cape and some of the inevitable costs associ- Town took 45 days. Now it takes a little ated with stopovers, ensure the direct over 11 hours. option remains the most appealing. More biometric technology at Heath- Today commercial aviation connects New fares, such as the discounted basic row, London City and Gatwick, New York the world. Pre-WWII, international air economy fare, give these customers more JFK, Orlando, Los Angeles and Miami travel was the exception, now it is the choice and the ability to personalise make boarding faster and more conven- norm. According to IATA estimates, their trip with ancillary options available ient. The self-service baggage drops, in 2018 commercial airlines carried based on individual choice. which have sped up the check-in process 4.343-billion passengers. That’s forecast But it is wrong to consider the UK as at T5 are being introduced at T3. to expand to 4.588-billion this year. It is only a point-to-point destination for Technology is also being employed to fair to assume that a reasonable propor- South African travellers. From London better handle disruptions, automatically tion of this growth will come from devel- there are excellent connections to North booking hotel rooms for customers who oping markets, rather than those which America. Together with its joint business miss flights. scheduled carriers already serve well. partners, British Airways flies to nearly At the same time, almost 30,000 staff Data from 2018 shows that Lagos and 140 destinations in the US and Canada, are receiving all-new customer-service Abuja were amongst the fastest growing with flights from Heathrow’s Terminal 5 training. More airport hosts than ever travel routes for small-medium enter- to New York leaving nearly every hour. before are being re-trained to manage prises on the British Airways’ network Some of British Airways’ five-year, £6.5- any customer issue from re-booking to last year. Both grew by over 10 percent billion investment, will ensure that these upgrades, lounge access, baggage and compared to the previous year, putting connections are quicker and easier. transfer enquiries and flight information. them firmly in the top 25 behind Keflavik New and improved technology will help A century after its first customer took at 39 percent, Santiago 18 percent and speed the journey through airport for- off from a field, bound for Paris, British Krakow 12 percent. malities and improve punctuality. These Airways serves more than 200 destina- Closer to home, there are more flights include digital bag tags, a UK airline first. tions in 75 countries and provides South and non-stop, direct capacity from South This enables customers to sync their per- African travel agents with an unparal- Africa to London than British Airways sonal baggage tag with the BA app, drop leled ability to sell increasing numbers of has ever offered. This includes the three luggage at the airport and fly. direct flights and fast connections. 12 Travel Industry Review | February/March 2019
PRODUCT UPDATE TGCSA updates its grading system THE Tourism Grading further aid the TGC- The association has Council of South Af- SA in upholding and also partnered with rica recently updated improving the com- TripAdvisor and more its system for grading petitive positioning of recently, Waze, the traf- establishments. South Africa as a quality fic and navigation app, “The grading system destination,” said Darryl to help guide users to its creates greater value for Erasmus, Chief Quality graded accommodation our members and will Assurance Officer. establishments. Virgin offers low alcohol options IN what it says is a first want to avoid alcohol Seedlip non-alcoholic for airlines, Virgin At- consumption during spirits and Regal Rogue lantic has launched a no flights. low-alcohol vermouth. and low-alcohol cocktail The NoLo menu is Pictured right: the menu for the increasing available in all cabins Shepherd’s Delight alco- number of fliers who and the cocktails use hol-free cocktail.
itcs Independent agency models continue to evolve More retail groups jump in with compelling home-working offers By Sarah Cornwell THE ITC market, boosted by the growing continued its strong growth curve. and finding and creating product that number of independent ticketing agents, Franchise Director Jo Fraser said new will benefit members directly, especially is the fastest-growing retail business recruits needed a minimum of five years’ technology and bigger, better deals with and opportunity model in the country, experience at a travel agency, and GDS airlines and operators. Our growth of 20 with more retail groups adding flexible training, “and who have a client base, as percent has come from existing part- home-working and affiliate agreements Club does not generate business on their ners,” she said. to expand their businesses, without sig- behalf. This model definitely suits an ITC In business since 1999, eTravel started nificantly increasing overheads. that has ‘balls’ and is able to work along with 16 ITCs and nine staff. An affiliate, Based on the findings of South Afri- and manage their own business and is non-branded agency model was added in ca’s first Travel Market Index Report able to network”. 2018. published by the Association of Southern Club has multiple options for ITCs, That new affiliate programme allows African Travel Agents last year, ITCs including branded and non-branded, agency owners to retain their existing make up more than 54 percent of the with or without IATA. Affiliates pay a IATA structure, benefiting from eTravel’s retail market. The study identified 1,780 flat fee of R1,500 plus VAT and can ticket buying power and intellectual capital, retail branches, 46.4 percent of which are through Club and earn airline com- said Managing Director Tammy Hunt. based in Gauteng, 29.7 in the Western mission and overrides. Club also issues She maintained: “It is for an affiliate Cape and 12.5 percent in KwaZulu-Natal. airline tickets on behalf of independent or agency who is looking for another option… We believe the full ITC model is the best way to go. There is no way any “Where we do need to be cautious, other option will be as profitable. There are some smaller agencies, or small to is when agents who are working medium, looking for something different, from home, who are not part of a who want to grow their bottom line but don’t want to relinquish control or let consortium, are wanting to book go of their own IATA licence. With the directly with us.” affiliate model, we are saying that’s okay, – Teresa Richardson come to us and let us guide you as much as we can… Perhaps, down the line, they want to downscale further to the full ITC model.” (‘eTravel launches affiliate category’ – TIR August/September 2018) With 74 fully-operational ITCs by June 2006, eTravel’s turnover grew to Of the retail industry’s R39.5-billion agents. If a consultant books land prod- R819.8-million and 152 fully-operational turnover figure, 60 percent, or R23.6-bil- uct, they earn all the commission. Club ITCs by June 2012. The brand reported lion, was from airline ticket sales, which also pays out overrides on a quarterly a third consecutive year of more than a ASATA said would have included ticket basis, which includes GDS overrides. billion rand in annual sales last year. sales by independent travel consultants The percentage paid over depends on as well as independent ticketing agents the ITC’s turnover, Ms. Fraser explained. working through IATA-licensed retail “We offer every option that is possible… ‘Choose a consortium that companies. flexibility, no up-front costs to join, fits your needs’ transparency, optimised procurement Tourvest Travel Services has more than deals in technology, marketing, products, 30 ITCs and a growing base of home A growth market etc, and refresher training at no cost.” workers, with integrations happening Club Travel’s franchise division has con- ITCs have access to Club’s Global Fares monthly, said Maria Watkins, General tinued its strong growth. By the start of system and various training methods Manager – Leisure Travel Group, WWTB this year, nearly 400 ITAs had signed up include webinars. There is after-hours & Product. Negotiated rates, product and with 60 IATA agencies operating under support and ITCs are not bound by any TTS online booking platforms are key the group banner. Technology is a strong contract and only a one-month notice features. focus for the group, enabling attractive period applies, with no cancellation fees, “The opportunities vary, but what cost and earning opportunities for ITCs. Ms. Fraser added. attracts most agents is our advanced Club Travel’s franchise division has “Our focus for 2019 is on retention continued on page 18 16 Travel Industry Review | February/March 2019
www.clubtravel.co.za
itcs ... models continue to evolve continued from page 16 technology and various booking plat- There is a R50 per ticket, ticketing fee Home-Based Expert category, whereby forms,” she said. (R150 after hours), which Mr. Moodley qualifying consultants can still earn a TTS cost and earning arrangements maintained was market related. SWG comfortable basic salary and commission are confidential but may be customised. does not split commission earnings. and also take advantage of the flexibility TTS also has an appealing incentive For consultants who are considering an of working at home. programme, giving ITCs an opportunity independent venture in 2019, XL Flight “Ours is not a traditional ITC model,” to earn more, as well as keep them moti- Specials General Manager Franz Von explained National Sales Manager Nicole vated. “The success of their business has Wielligh insisted: “Make sure your busi- Coetzer. a direct impact on the success of ours,” ness is sustainable. You may have one or “We give them the flexibility to be at said Ms. Watkins. two large corporate clients that bring in home for a number of days per week… Serendipity Worldwide Group has 90 percent of your business [but] what Another key benefit is that they are invit- more than 240 members, with a ticketing if that business disappears? Choose a ed to all training and social functions…” service model and a full membership consortium that fits your needs.” ensuring they can participate in the alternative. There are no monthly sub- XL Flight Specials’ ticketing-only culture and relationships at Pentravel. scriptions and members have access to option includes a ticketing fee of between The opportunity will be open to advanced technology, affordable ticket- R50 and R90 per ticket. Full members non-Pentravel consultants, who will ing fees and unlimited earning potential pay a flat fee or R2,750 per month for a undergo training. Salaries will be deter- through discount air fares and commis- non-IATA membership. mined by a Home-Based Expert’s level of sion structures, said Business Develop- “The ticketing cost depends on the op- experience and sales history, Ms. Coetzer ment Manager Donovan Moodley. tion chosen,” Mr. Von Wielligh explained. said. Chief benefits at SWG include: access “You see exactly what your support for a Other benefits include a provident to negotiated air fares; GDS segment specific supplier is and, therefore, know fund, medical aid contribution, and nu- payout benefits and high commission what your portion of any target incentive merous travel opportunities. opportunities through preferred land is.” They will be able to attend product partner bookings. In 2019, Pentravel will launch a new continued on page 20 Online tools put operators in touch MANY wholesale and tour operators’ online systems helpdesk for 24/7 support. Spokesperson John Ridler provide 24-hour support for ITAs and ITCs, keeping added: “Thompsons has seen a steady growth in consultants up to speed on familiarisations, incentive support from ITC agencies and supports them to grow trips, sales and product training. their business. All loyal supporters of Thompsons Holi- “We are seeing a significant growth in this sector, days are offered opportunities to travel and experience and all ITCs are included in our consultant travel Thompsons’ product portfolio.” incentives,” said Teresa Richardson, Managing Direc- “By nature, ITCs are usually highly-skilled individuals, tor of The Travel Corporation. We also have our online determined to be successful and offering a high level eLearning facility, as well as regular launches…” of service designed to encourage repeat and referral Beachcomber Online “was built with…travel agents business,” said Janine Pienaar, Marketing Manager at in mind,” commented Sales and Marketing Director Perfect Destinations, which has concentrated on ser- Joanne Visagie. The system is mobile-friendly and vicing the needs of the ITC market. available 24/7 to quote and book, showing availability, She said consultants benefited from one-on-one immediate confirmations, fact sheets and visuals. “This support and the business has invested in personalised allows people to work online, quote and book… instant software that presents quotes in a digital itinerary pricing allows travel agents to cater to their clients…” form, branded with the agent’s logo and contact de- There are also training modules, informative eChats, tails, and including information on properties, quotes YouTube video links and an archive of the Beachcomber and the destination. Travelbeat monthly newsletter on the site. “We know individual ITCs can’t always buy the latest “Our sales team regularly meets up with ITCs coun- tech… these help to alleviate clients resorting to trywide,” she added. “We are relationship focused [and] Google to find destination information, and thereby highly rate and believe in training. Furthermore, we increase conversion [rates]… Our sales reps in the field invite ITCs on educationals…just like any other travel make a special effort to get to know each agency and agency…” their speciality, and to look at ways we can partner Thompsons Holidays provides regular training and with them and enable them to grow their business. The reservations support, with an Easiclick system and company also holds regular training sessions.” 18 Travel Industry Review | February/March 2019
Travel Industry Review | February/March 2019 19
itcs “Make sure your business is sustainable. You may have one or two large corporate clients that bring in 90 percent of your business [but] what if that business disappears?” – Franz Von Wielligh continued from page 18 learning in store, and will be expected challenges and the cost of new sys- comes to client ownership and should to support preferred suppliers. And they tems, along with changes to BSP license we in any transaction gain access to a will qualify for the same incentives and requirements by the International Air clients contact details, we will never ever travel opportunities as the traditional Transport Association, was driving ITC contact them directly, without the prior Pentravel agent does. growth. request of the agent, or add them to any Travel Counsellors has 147 members in database. We also advise agents if it is South Africa and plans to enter Botswana picked up on our side a client is shopping Stay connected within the next three months. around,” said Janine Pienaar, Perfect Access to new technology with low to no The cost to join Travel Counsellors Destinations Marketing Manager. development or set-up costs, and large is R5,000 and a minimum of five years’ The issue of default and the potential member networks are a major benefit to experience is required. for fraud remains a concern. ITCs. Mr. Lukic said strict controls were a XL Flight Specials’ full ITC/ITA agents necessity. Is client ownership have access to the XLGO mobile app, the “We have a better picture today than Travolution booking platform, intranet a challenge? we had last year or the year before. There and in-house graphic designer. While Ms. Watkins said there was poten- are commercial reasons why many of Preferred suppliers communicate with tial for more packaged holiday busi- our friends, competitors in the business the agents via internal communication ness through these types of networks, are [growing networks but]… when you platforms, workshops and conferences, traditional multilevel-type marketing give them a license, you can’t stop being but also directly, according to Mr. Von opportunities, including the Kiyosaki-en- responsible for the tools you have sold. Wielligh. dorsed WorldVentures and DreamTrips I am still seeing too many fraud inci- “The majority of our ITCs/ITAs operate travel network, have found their way to dents… We are syndicating IATA licenses with more than one consultant at POS South Africa. with disregard. level,” which, he said, meant added However, Mr. Moodley commented: “Until that changes, I will not be com- support from co-workers. Suppliers can “They come with many restrictions and fortable that this industry has done the build individual support and provide target a very different market segment… best that it can. Many companies have high-producing ITCs/ITAs with incen- We have no interest in the (multilevel significantly improved their controlling tives,“as long as it doesn’t affect the packaged holiday) ventures.” systems. The problem is, these controls group’s performance and incentives”. Most retail groups said they managed cost money.” “We certainly offer assistance to our supplier and commercial relationships The Association of Southern African members if they are away, particularly on behalf of their members, while some Travel Agents is encouraging ITC and the corporate ITAs…” Mr. Moodley add- encourage individual support and the ITA membership and participation in the ed. “Due to the various networking and notion that incentives be provided to ASATA Professional Programme. social gatherings we have, our members individual, high-performing consultants. “ITCs and ITAs continue to join ASA- have entrusted other members with their Teresa Richardson, Managing Director TA. Both Travel Counsellors and eTravel customers, which is a great value-add of The Travel Corporation, commented: are represented on the ASATA Board. internally.” “Provided the ITC is part of a reputable Our simplified but robust membership Travel Counsellors boasts a growing and recognised consortium, then we requirements for ITCs and ITAs includes international network, with members in don’t have any issue.” However, “where a reduced membership fee, based on the UK, Ireland, the Netherlands, Aus- we do need to be cautious, is when agents number of staff and financial reporting tralia and the UAE, with a group turno- who are working from home, who are that is fit for purpose for small business- ver value of £648-million last year. not part of a consortium, are wanting to es using financial reporting standards,” Travel Counsellors General Manager book directly with us”. said Chief Executive Officer Otto de South Africa Mladen Lukic said market “We have very strict policies when it Vries. “Our simplified but robust membership requirements for ITCs and ITAs includes a reduced membership fee, based on number of staff and financial reporting that is fit for purpose for small businesses…” – Otto de Vries 20 Travel Industry Review | February/March 2019
itcs Feedback Local independent travel agents tell TIR what support, services and infrastructure from retail groups they value most, and share creative tactics that have helped them generate new business. Lilanie Kruger of Execucor Travel worked as Susan Williams-Knill, an ITC for 16 years and a consultant for 10 years before joining eTravel in 2006. affiliated with Club Travel, runs Susan’s Travel. eTravel keeps Lilanie up to “The most valuable aspect of date with product develop- Club Travel is the support, ments and sales training. She which is there 24/7. Their attends workshops and keeps accounts, BSP, fares, IT and tabs on social media, travel ticketing departments are channels, the news and online a huge support… It is a real workshops. Lilanie suggests comfort that you have the golf days, social media, excel- group behind you, and even lent service and networking more so when something events to grow your client goes wrong… I also feel really base. proud to be part of an ethical- “The model has been tried ly sound group that supports and tested… all you need to do myself…” charity by way of Club Cares. functions and workshops is concentrate on doing what Although Lilanie admits it I believe that we need to give as possible, and network as you do best: selling travel to hasn’t always been easy, “The back in life, and Club Travel much as possible to keep up to your clients… The more effort trick really is to deliver the does that in a big way.” date with what is happening you put in, the more you get… best service possible to your Her business has been in the market. I also subscribe if I grow, they grow. [It is the) existing customers, and they profitable from day one. “I to travel publications to keep best thing I have ever done for will soon spread the news…” try my best to attend as many up to date.” Giles Clinton, Co-Owner of Checkout Travel, a Club Travel non-branded ITC, counts the support from the group’s back-office, as well as Club’s latest technology, among its trump cards. “By having effective quali- “We have a big presence corporate respectively. ty control with ticketing, it online with social media plat- “We also do various promo- ensures minimal issues and forms such as Facebook and tions with our local school, allows us to focus on what we Instagram as well as Linke- community and shopping do best, which is sell travel! dIn, which target leisure and centre,” he said. [8883_5679]_Travelcoza_ITC TIR Advert_OUTLINE.indd 1 Travel Industry Review | February/March 2019 AM 21 2019/01/29 08:11:52
NEWS Delta streamlines boarding process DELTA Air Lines has mini- website and Fly Delta app. 3, greatly improving customer Sky Priority, Main Cabin 1, mised crowding during the The new development satisfaction scores. 2 and 3, and Basic Economy. boarding process by renaming follows Delta’s addition of a There are now eight differ- The process not only reduces zones according to fare cate- zone 4 for basic economy pas- ent boarding orders: Delta crowding at the gate but also gory. It is part of the airline’s sengers, which significantly One, Delta Premium Select eases the congestion during evolution programme to bring reduced crowding in its zone or First Class, Delta Comfort, seating onboard. consistency, clarity and take the hassle out of the gate and boarding experience. Passengers are advised of their branded fare or Sky Priority on their boarding passes or mobiles, indicating the boarding group. They are then notified when to board accordingly. Various coloured signage and screens differentiate between fares and priorities (see graphic, right). The same colour accents are also being phased in on the carrier’s MSC enhances cruises with marine reserve visit MSC Cruises is to open its to grow and sustain new coral white, sandy beach in seven passengers around the island. Ocean Cay MSC Marine and plans are underway to different areas, with sunbeds, There will also be food and Reserve 100 kilometres south create a marine laboratory some with cabanas, which can drink options on the island, of Miami in November. It is to research protection of the be rented for the day. MSC including a buffet, food carts, a private island in 165 square oceans and offer education has built a pier, so passengers bars and a coffee and ice kilometres of protected wa- programmes. can go between the ship and cream bar. Spa services and ters, where MSC is creating The island will be includ- the island easily. The fur- shopping facilities will also be a former industrial sand ed in MSC itineraries from thest point from the ship is a available. extraction site into a marine Miami and Havana. It has 20-minute walk, or there will The first guests are due to reserve with a coral nursery more than three kilometres of be electric carts to transport arrive on November 9. Ocean Cay 22 Travel Industry Review | December 2018/January 2019
news Silversea’s Silver Cloud Silversea announces U’s B switches unique world cruise itineraries in 2020 SILVERSEA’s recently-an- 2019 and 2020 world cruise IN its second year of opera- The line’s two 120-passen- nounced Expedition World passengers are able to pre- tion, Uniworld’s U concept ger, matte-black ships cater- Cruise 2021 is the first world book space before February has introduced its unique ing to what it describes as “a cruise of its type, visiting 27, 2019. Sales open to the attractions to river cruising new generation of adult trav- 107 destinations during the general public from March of onboard activities includ- ellers” will feature changed 167-day voyage on the ice- 2019. Pricing has not been an- ing mixology classes, silent itineraries next year. class crossover, Silver Cloud nounced, however, the Own- discos, paint and wine, drum For 2020, The A will operate (pictured above). er’s Suite on Silver Cloud will circles, rooftop yoga and bar- from Nuremburg to Vienna It departs from Ushuaia on cost just under US$1-million becues, karaoke, giant board and Vienna to Belgrade and January 30, 2021. Current for the entire world cruise. games and theme parties and The B will move from the options such as rooftop camp- Seine to sail from Brussels to ing and a breakfast picnic Amsterdam and Amsterdam basket. to Frankfurt. Appointment Norwegian Cruise Line has named Eamonn Ferrin as Vice President & Managing Director for its UK, Ireland, South Africa, Israel and Middle East markets. In the next issue of TIR, Mr. Ferrin will comment on Marriott combines awards NCL’s strategy in South Africa and its relationship MARRIOTT this month Bonvoy Titanium Elite for with the travel trade. consolidated the rewards members booking more programmes of Marriott, than 75 nights and Ambas- Ritz-Carlton and Starwood sador Elite, for members brands into one called Mar- who surpass 100 nights and Travelstart launches riott Bonvoy. The combined spend more than US$20,000 membership totals more than annually. 120-million, with access to The Marriott app becomes new business tool rewards in 1,000 destinations. To coincide with the change, the Marriott Bonvoy app auto- matically from February 13, TRAVELSTART has intro- reporting tools. there will be two new Elite when the SPG and Ritz-Carl- duced a new business travel Individuals can toggle be- status categories: Marriott ton apps will be deactivated. booking and reporting tool for tween business and personal companies and individuals. accounts, separating leisure Called Travelstart for from work bookings. Business, it has a secure Business travellers also have dashboard where companies access to negotiated fares, can book, add travellers and corporate deals and 24-hour monitor employees’ business customer support, with no travel activity with a range of set-up fees. Travel Industry Review | February/March 2019 23
on the ground On the ground This month we chat to Pippa Hackland from Beachcomber Tours. What are your day-to-day responsibilities? I have the best job in the world! My day consists of training the travel agents on our amazing product, visiting the agencies of KZN with updates, assisting them if needed to close those deals with only training done, imagine how by working with them on their enquiry, offering the best advice much better they will sell when they have on choice of resort and client expectations, chatting directly experienced the fantastic resorts for them- to the client on their behalf if requested, doing client evenings selves! They have earned the right to be spoiled rotten. in store and jetting off to Mauritius to showcase our fabulous resorts to our deserving agents. Why does Beachcomber say ‘West is Best’? West is best for the weather, beaches and fabulous sunsets! The What’s the best part of your job? west does not have the pesky trade winds that blow particu- The best part of my job is working for Beachcomber – a compa- larly in winter. Mauritius’ west coast has unbeatable beaches ny that I am proud to represent as an ethical, well-organised, ranging from the fine white sands of Trou aux Biches in the far compassionate company that always puts the client and travel north, to the Le Morne Peninsula on the south-west tip of the agent first. I love my day to day interaction with the amaz- island. Every holiday should include sitting on the beach with a ing travel agents in KZN. What a warm, receptive bunch of cocktail in your hand watching the sun sink into the blue ocean humans. right in front of you. Last place you visited on holiday? How competitive is your market? Beautiful Mauritius of course! I stayed at Shandrani Beach- Mauritius is the biggest seller out of South Africa and it is a comber Resort & Spa with my family and it was super special. very competitive market. The Beachcomber brand is top of We did absolutely everything that the resort offered, from all mind in this country and the majority of tourist arrivals from the water sports, golf, tennis (working off all the delicious food) SA are Beachcomber Tours clients. We have eight premier re- and my kids were in heaven with endless pancakes, slush pup- sorts on prime beachfront sites on the island, backed by service pies, ice creams – it really is the ultimate family holiday with excellence and being true partners to the retail travel agents so much included and the service was so personal… my Piña (we don’t undercut or take direct bookings), this all lends itself colada was always ready and waiting. to us having great loyalty from the trade and we enjoy happy thriving partnerships. What is your current top-seller? Shandrani Beachcomber Resort & Spa and Victoria Beachcomb- What helps you sell? er Resort & Spa are always our most popular but Canonnier Without a doubt it is the product itself, a product the agents Beachcomber Golf Resort & Spa has increased fantastically trust their clients to, the service of the incredible reservations, since its major refurbishment. sales and management team always being hands on and 110 percent invested. Which is your recommended best hotel for families and which for singles and couples? What technology do you use to stay connected All our resorts are family orientated but I would recommend with your agents as well as head office? Victoria Beachcomber Resort & Spa, a four-star Superior Re- Emails, phone calls and a bit of social media to promote our sort, specifically because of the size of the rooms and the fact brilliant deals… Every agent has my cell number and I encour- that the resort has a baby room, kids club (on the beach) and age them to call me whenever they need me as I am their go-to a teens club. All ages are taken care of! For singles or couples girl in KZN. I have been calling on my agents in Natal for 15 wanting time away from kids, we have the adults-only wing years and have been part of their changing lives as they have at Victoria Beachcomber Resort & Spa; Victoria for 2, with its been part of mine, these established relationships are priceless unique swim-up rooms and a dedicated crescent at Dinarobin to me. Beachcomber Golf Resort & Spa – the Zen Suites. Is there any advice you can offer to a junior consultant How can agents qualify for booking a package for the first time? Beachcomber educationals? Use Beachcomber! I always tell juniors that a Mauritius pack- There are various reasons but they are certainly cherry-picked. age is probably the easiest booking because we do it all for you We believe that agents should be rewarded with educationals. If – the hotels, transfers, flights and extras as well as reservations they are showing loyalty and supporting Beachcomber already offering great advice to select the correct product for correct client. They will learn with each enquiry they make by chatting to their sales exec and reservations consultant and become Suggest a teammate or sales champion for more confident to sell and suggest. And earn their spot on a re- On The Ground – email dominic@tir.co.za vered Beachcomber Educational! I tell them… “a Beachcomber client is a happy client and a happy client is a repeat client”. 24 Travel Industry Review | February/March 2019
PERSONALLY SPEAKING by John Wardall No more lamb chops for me! As the lemmings – sorry, honoured clients – spent the One thing about visiting European cities during the US, they travelled the world visiting zoos to decide which of two Scandinavian girls by Isis sympathisers illustrates holidays battling traffic to the winter is not having to put one could best look after their the dangers for Westerners in airport, queues to check in, up with the crowds. Visiting much-loved orangs, which that part of the world and has security frisking, overweight sites and attractions, waiting they had developed a close determined that I will give it a baggage fees, a scramble to in endless lines of people to relationship with, and chose miss until the security situa- squish oversized bags into get into restaurants, muse- Chester. tion is under control. overhead bins and hours of ums and galleries, obtaining If you have clients travelling I don’t know why people pain in an “ergonomic” seat theatre and concert tickets to that part of the world, it is insist on going to countries built for midgets and designed emphasises just how crowded a special place to recommend. riddled with Western-hating to keep chiropractors in UK and European cities are. Tell them to say hi to the fanatics when there are plenty business, and an overhanging On a trip to Italy a while orangs from Uncle John! of places to see and enjoyable neighbour the size of Fat- ago, I could not park close From there, they could experiences elsewhere. ty Arbuckle, I was feet-up, enough for even a 30-min- continue on to nearby Liver- shades-on, Panama doffed ute walk to reach some of pool, a much underrated city and g&t in hand on the Breede Tuscany’s beautiful little hill by foreign tourists who have River. towns and drove on to look never been there. It has been Nobody likes international for another. And that was transformed by its waterfront As a dedicated Francophile getaways more than me but September when you would development, which has had who is never happier than don’t knock the domestic have thought most of the rush as much impact on the city’s when in France, enjoying its option. At peak times for the was over. fortunes as its counterpart in fabulous cities, restaurants, foreign exodus, it has much Hotel prices obviously drop Cape Town, and is the loca- art, markets and culture, I’m to recommend it. As the late significantly in winter outside tion of The Beatles Museum, very disturbed by the Yellow Jonathan Winters observed: of major metropolitan centres the Tate North, good hotels Jacket movement, which “If God had intended us to fly, and ski resorts and air fares and restaurants and the Ferry seems to become increasingly he would have made it easier are less, so that is when I now ‘Cross the Mersey, the subject violent and polarising. Not to get to the airport.” decide to go. of Gerry and the Pacemakers’ that I have much time for Driving during the holidays, number one hit. its little would-be Napoleon of course, risks a contretemps Gerry Marsden is the only President Emmanuel Macron. with the minibus kamikazes one of the big names from the and the wrath of the traf- Beatles era who still lives in fic cop stormtroopers, who I was shocked to watch cover- Liverpool and the last time seem somehow oblivious to age on Sky News just before I took the ferry across to the death-defying, and often the end of last year of a fire Birkenhead, an employee on I don’t think the protests have death-inducing, antics of at Chester Zoo in my home the boat told me he had been had much effect on visitors the taxis but vigilant in the town. It is one of the world’s on board earlier that morning. so far but could well have an extreme to grannies in their greatest zoos, rated num- The Cavern, which was the impact on tourism if it esca- 1950s Morris Minors doing ber three, and the home to catalyst for the Mersey Sound, lates and we get closer to the two km/h over the limit. wonderful orang utans, whose where all of the legendary summer tourist season. A tank of petrol, thanks to tropical enclosure had to be Liverpool groups used to all the taxes and levies, costs evacuated. perform, is worth a visit too. almost as much as a flight to Fortunately, they were all When I first started going Sydney, so there isn’t much of saved, a great relief to me as there, Cilla Black was a hat- a saving there and the price some of them are descendants check girl, who was given the Like so many countries these of a decent hotel tends to be of the orangs which were sent push to stardom when she days, France has a leader more than the Pierre in NYC. from Borneo by an American was given the chance to sing who is not fit for purpose and So, the house on the Breede couple I knew in Kuching there and The Beatles heard the French can give anybody seems a gift, although the when I was based in Singa- her. lessons in revolution when room service isn’t quite up to pore many years ago. they are dissatisfied with their par. But a short burst on the I spent most of my time heads of state, who quickly outboard takes you down to in Borneo and used to visit become headless. The Boathouse for the best them at their house and large pizzas on the Breede or the property where they kept the I haven’t been to Morocco for Bush Pub for a beer with the endangered orangs as part many years but used to nip most interesting characters. of a rescue project. They are over to Tangier on the ferry wonderful creatures and it is a for the day from Gibraltar I am quite taken aback by just cherished memory. when visiting friends who how low-profile most fairly When the Americans were lived on the Rock. major product developments planning to return to the But the recent beheading continued on page 26 Travel Industry Review | February/March 2019 25
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