You’ve heard it, I’ve heard it – just about everyone has heard how wonderful travel sales have been from “Travel Professionals”. Even with all the doom and gloom about a recession last year.

Heck, it’s easy to say things are wonderful when you don’t have to disclose just how well you’re really doing. Very few of the world’s travel agencies are publicly traded companies and as people often do, they tell you what they want you to hear.

Looks like the truth is starting to catch up with some of these folks, as Orbitz announces a net loss of $337 million for 2009 yesterday. Net revenue just for the fourth quarter was $738 million, down 15 percent from the same period of 2008. According to m-Travel news, the losses were pinned on “removal of most domestic air booking fees and a significant reduction in hotel net revenue due to lower average daily rates, lower hotel booking fees, lower breakage and disappointing results at HotelClub.”

2009 wasn’t a very nice year for the travel industry. Royal Caribbean had problems getting financing for their new mega ship at the beginning of the year. (Although they obviously secured the financing needed eventually.) Expedia was hit with a $129 million settlement in a class action that was filed for unfair business practices. We also can’t forget how hard Mexico was hit last year with the H1N1 virus that wreaked havoc across the globe.

All while consumers saw some of the best deals seen in decades – which was great for them, but not so sweet for Travel Agents. We had to sell two to three times as much in travel just to keep commission levels at levels they had seen in years past.

I have to hand it to any company who’s made it through a year like 2009 regardless of who they are, or what they do. When anyone in our industry takes a hit like Orbitz has, the entire industry is reminded of how lucky we are to still be in business. In a way, it shows strength and resolve – even with the huge losses.

Think about YTB with all that it had to endure for the last 18 months – yet I’m still here with a booking engine that’s producing sales and revenue. Some said I nor the company would make it past 2009. At this point, every day I look at my booking engine, or see a new cruise booked in my back office, I think about those people and smile. Why? Because I no longer have to question if they could be right – I see the fruits of my dedication and determination with my own eyes. My experience once again overrides mere words to the contrary.

It wasn’t easy, nor was it pleasant to endure all the doom and gloom during 2009.

The outlook for the coming year looks much better than it did this time last year. Commissions are getting close to where they were prior to the all fire sales we saw over the last year. (That’s not to say there aren’t some great deals to be had.) Businesses and families are traveling once again. Maybe not at the levels they once were, but when I look at the amount of advanced bookings compared to this time last year, it’s dramatic. Most of what I saw last year were last minute deals that customers just couldn’t pass up.

It’s good to see that I wasn’t alone or that our situation in YTB was unique. Everyone struggled and everyone had “issues”.

I’m just thankful that it looks like all this is behind us (for the most part) and everyone appears to be far more optimistic and on the mend.

Including YTB.

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Doug & Ronda Bauknight AKA: TravelPro Travel Agent / Networker Phone: 678.458.5812

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Tags: Financial Statements, Online Travel, Orbitz

This entry was posted on Wednesday, February 24th, 2010 at 7:00 am and is filed under Expedia, Online Travel, Orbitz, Travel, Travel Bookings, Travel Weekly. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.