ITCs: a lifeline for agents and agencies - ASATA HANDLES THE POLICY ISSUES Low cost doesn't mean low quality - TIR

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ITCs: a lifeline for agents and agencies - ASATA HANDLES THE POLICY ISSUES Low cost doesn't mean low quality - TIR
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.
ITCs: a lifeline for agents and agencies - ASATA HANDLES THE POLICY ISSUES Low cost doesn't mean low quality - TIR
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ITCs: a lifeline for agents and agencies - ASATA HANDLES THE POLICY ISSUES Low cost doesn't mean low quality - TIR
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.

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ITCs: a lifeline for agents and agencies - ASATA HANDLES THE POLICY ISSUES Low cost doesn't mean low quality - TIR
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
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                   Is it time to                            Independent                                © TTG Southern Africa 2019
                   boycott bad                            agency models
                                                                                                       Publisher
                        service?                           keep evolving
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4    Travel Industry Review | February/March 2019
ITCs: a lifeline for agents and agencies - ASATA HANDLES THE POLICY ISSUES Low cost doesn't mean low quality - TIR
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ITCs: a lifeline for agents and agencies - ASATA HANDLES THE POLICY ISSUES Low cost doesn't mean low quality - TIR
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.
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6    Travel Industry Review | February/March 2019
ITCs: a lifeline for agents and agencies - ASATA HANDLES THE POLICY ISSUES Low cost doesn't mean low quality - TIR
ITCs: a lifeline for agents and agencies - ASATA HANDLES THE POLICY ISSUES Low cost doesn't mean low quality - TIR
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
ITCs: a lifeline for agents and agencies - ASATA HANDLES THE POLICY ISSUES Low cost doesn't mean low quality - TIR
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.

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                                                                                       Travel Industry Review | February/March 2019   9
ITCs: a lifeline for agents and agencies - ASATA HANDLES THE POLICY ISSUES Low cost doesn't mean low quality - TIR
Deniel
        2 months ago
                   We stayed a week ago with our family of 5. The
        rooms were clean, spacious and the bathrooms and showers
        are new.

Don’t fall for online reviews. Whenever you take a Sho’t Left,
always book graded accommodation.
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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