It’s one of the cardinal rules in the travel business – the company that an independent travel advisor keeps makes an enormous difference to their business’ profitability.
The travel industry has certainly changed over the decades, but the pandemic has caused advisors to re-evaluate their business partners like never before, and aligning with the right partners has become more important than ever in order to ensure an advisor’s livelihood. According to Susan Ferrell, President of Travel Experts, “Many host agencies are a hybrid of staff employees with independent contractors added as an afterthought. It’s to the independent advisor’s benefit to align themselves with a host agency that only handles them and does not try to balance resources and sales between their own employees and their independent contractors.”
Here are the top advantages to affiliating with a strategic, advisor-forward host agency.
Money Matters – Increased Earnings
When it comes to money, it’s about both saving AND earning the green. Independent travel advisors can save money by joining a host agency as overhead costs are significantly reduced. Advisors should also look for contract flexibility as another way to minimize costs. Host agencies that offer long-term contracts may require higher fees to be paid, which goes against the advisor’s bottom line. Expanded commission opportunities mean independent contractors earn more, but it’s vital for them to compare the levels of commission in order to maximize their revenue potential.
When it comes to saving and earning, not all host agencies are created equal, making it imperative to understand the differences between the competition. Ensure there are no hidden costs or any measures that could undermine an advisor’s profit potential. With Travel Experts, advisors get to keep 100% of all commissions including air, tour, cruise, car and hotel bookings and earn some of the highest commission levels in the industry. There are also no start-up fees to join, and advisors pay only a flat monthly fee to be a member with no long-term contract required.
Marketing Power
The marketing assistance provided by a host agency is key as it allows an independent advisor to more robustly grow their business.
Leveraging opportunities and connections that the right host agency provides can make a significant difference to an independent advisor’s earning potential. Essential to tapping a host agency’s marketing power are outstanding supplier relationships (ones that are proven to help an advisor’s business and give them a competitive edge when working with clients), negotiated airline contracts (for easier selling), and a strong schedule of supplier presentations live via Webex (in order for advisors to gain the latest news and become stronger, more informed professionals). An in-the-know advisor is likely to enjoy increased sales.
Make sure the host agency provides support for marketing campaigns and strategy implementation. Through an affiliation with Travel Experts, advisors also get access to Virtuoso, including personalized marketing materials.
Innovative Technology Solutions
The right technology is a game-changer for an independent contractor. Seek out a host agency that understands the value of a powerful technology component and its positive impact on an advisor’s business capabilities. Technology can encompass front office software, back office software, personalized electronic invoicing, creation of management reports, a personal web page featuring important travel information and website links, and tools that facilitate targeted marketing and communications. Thanks to a host agency’s technology support, advisors can focus more of their time on developing personalized travel journeys for their clients.
Expanded Support Network
The support network provided by a host agency makes a tremendous difference with how an independent contractor builds and conducts their business, resulting in a bolstered reputation, streamlined operations, and enhanced opportunities. Look for a host agency that offers some of the following:
- A dedicated support staff who makes advisors feel like an individual and will address their needs as such, especially during challenging times
- Professional development, along with guidance on important issues, such as how to promote an advisor’s business, leverage social media effectively, charge fees, and other related matters
- Access to a comprehensive collection of resources, ideally encompassing the full scope of the business – accounting, administration, human resources, legal issues, meetings, IT infrastructure, operations, sales and travel management
- An advisor intranet website and daily e-mail updates on industry events, supplier news, FAM trips and more
……………………………………………………………………………………………………………………......
Selecting the optimum host agency is a game-changing decision not to be taken lightly. From providing opportunities to maximize revenue potential to delivering effective marketing and technology solutions and a powerful support network, the right host agency is one that puts their independent contractors in the position to thrive.