Posts Tagged ‘ASTA’

Dead Travel Agents Kill Off Promotion – Sort of…

Wednesday, March 24th, 2010
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In my short five years in the Travel Industry there’s one thing that I’ve come to not only know, but expect from traditional Travel Agents:

They absolutely LOVE to complain.

In all the industries, all the companies I’ve worked for during my adult life, I’ve never seen an industry so quickly drawn to anger and criticism the way Travel Agents are. It’s no wonder so many of them have gone out of business. Currently, with two thirds unable to show a profit last year, one might suggest that a bit more focus on their own business would be in order – rather than spending time and energy on someone else’s.

Not Travel Agents. They relish the role of victim and have an uncanny way of finding something to complain about – even if it’s a half a world away.

I first caught wind of this iTrek story and promotion in Australia called “The Travel Agent Is Dead” at the beginning of the month. I didn’t think much of it, nor was it “news” to me by any means.

As we’ve come to expect, the industry can never let anything go. Quite the opposite. Since the initial story posted on March 8th, there have been numerous other articles on the progress, compounded with more bickering back and forth within the community.

As a result, more heals are being dug in on both sides of the fence that only heightens the hostility and anger – now almost a month old.

There soon appeared to be a tie with Travel Guard in this developing story, in which they proceeded to do some major backpedaling in order to save themselves from the wrath of the Travel Agent community. If you’re wondering how Travel Guard got mixed up in this mess half way around the world, they do some of the underwriting for iTrek. Enormous pressure (and blame) was bestowed upon them in order to “fix” this promotion once and for all.

After all the dust settled, I’m reading Travel Agent Central yesterday only to find that iTrek has decided to move forward with the promotion. While putting an end to the gala affair they initially planned for this promotion, they’ve decided to move forward with the film competition and prize awards, however, on a much smaller scale. We found this on their website home page.

THE RUMOURS ARE TRUE.

Unfortunately “The Travel Agent Is Dead”, is dead. The competition has come to a tragic and premature end due to the unprecedented hostile response from Travel Agents in both the USA and Australia.

There has been a biblical over reaction by Travel Agents to this marvelous competition. The pressure that was put on our Underwriter to withdraw support for this competition was of the highest degree and due to this relentless onslaught we are unable to continue with the campaign.

Biblical overreaction. Sound familiar? You bet it does!

I’ve seen far too many “relentless onslaughts” from this community over the years, to the point that it makes me sick to my stomach that we actually work in the same industry. It’s not only appalling; it’s embarrassing to see grown adults react in this fashion.

And that will eventually be their downfall – they “react”, they never “respond”.

And there is a difference.

In my humble opinion, Travel Agents as a whole need to get a spine and start promoting their value – rather than attacking and condemning everything that appears to stand in their way. It’s gone past the point of sad to the point of absurd. You just can’t get anywhere effectively by doing this type of bickering. With every problem lies a solution, but most can’t get out of the way, due to the emotional outbursts we see all too often. None of them ever appear to take the time to look at more effective ways to respond to any given situation.

Look at YTB. Sure, the hostility and public shame has driven some away, but our company as a whole is much stronger and far more resilient than they ever imagined. That’s the nature and the beauty of the Direct Sales and Network Marketing model. There’s power in our numbers, and no two people are going to perceive or respond exactly the same way. In stark contrast to the Travel Agent community, our industry spends far more time looking for opportunities to advance and improve – not blatantly attack and tear down.

In their defense, nobody likes being called a dinosaur or worse – dead. They see evidence of things changing around them every day. Look at the Travel Weekly Power List. Four of the top ten companies are on-line Agencies, producing a combined $45 BILLION in sales without any need or want for their fine services, which they proudly hold near and dear to their heart. And they should be proud of what they offer. Likewise there is a market for their fine customer service and support.

The problem as I see it comes from the heart – instead of using their heads. As a result, the emotions elevate and compound each situation instead of finding an applicable resolution that most everyone can agree on.

Produce another competition here in the U.S. for all the reasons why you actually need a Travel Agent. (Without any need or desire to even speak of iTrek.) With all their years of experience I’m sure there are some wild stories that could be told. Real horror stories and how they came to the rescue and aid of long time clients they’ve helped over the years. Not only could it be extremely informative but down right fun to watch if done in the proper spirit. And by proper spirit – I mean in a way that I’ve heard them talk for years – a Travel Agent is your partner – a Travel Agent is your friend – a Travel Agent is there to build a relationship with you. It’s the only way a Travel Agent can offer the perfect vacation or travel experience.

All features you just can’t get from a web site – bits and bytes simply can’t compete in that regard.

Promote your features, advantages – benefits as to why your worth every penny, while at the same time saving your clients valuable time and money.

What a novel idea.

Instead…what we see is more anger, with more fingers being pointed – this time from across the globe. All that does is push potential clients away. What’s even more amazing to me is their anger is directed at a company that the average American has never even heard of until Travel Agents decided to make a stink. Now, not only do more people know about them, but iTrek actually won more promotional leverage in a market that’s very keen on saving every penny they can. Based on what I’ve seen, who would want to work with a hostile and angry Agent like the one iTrek described? You couldn’t pay me to book with some of these “professionals” at this point.

At this rate and with their attitude, they will be dead when it’s all said and done.

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Doug & Ronda Bauknight
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How Low Can You Go…

Monday, March 30th, 2009
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I enjoy Trade Publications. I subscribe to a variety of publications in both electronic form and in traditional print. I’ve always enjoyed reading and learning about the industry, and have promoted learning as much as you can about any subject that interests you. There has never been a time in our history when so many mediums are available for someone to learn and develop a skill or a trade.

I’ve enjoyed the way suppliers and trade associations have embraced training, enabling me to learn about the industry. From seminars and webinars; from a training call or port of call via ship inspections, the variety of ways to learn and develop in this industry is abundant.

travel-agent-march-09I’ve seen many changes within the industry over the last several years when it comes to doling out credentials in the industry. I’ve also supported the upgrading of requirements for FAM eligibility from both suppliers and associations.

One thing that hasn’t changed much are the Travel Agents who think they “own” the industry.

I was walking home with the kids and my neighbor on Thursday and we stopped in the culdesac to chat a bit longer. While talking, I opened up my mailbox to get the mail with my monthly issue of Travel Agent Magazine in the mix. I typically look forward to each and every publication and wanted to see this months “cover”. When I saw the cover, I smirked, shook my head and commented “Good grief”.

My neighbor who was standing in front of her mailbox ask me what the comment was for, and I held up the front of the publication to show her. She asked “What’s that all about?” and I simply commented that the man in the mask…is supposed to depict someone like me.

She laughed and asked “That’s suppose to be YOU?!” and I responded, “No, not me specifically, but someone like me because of the company I work with.”

I told her of the issues Travel Agents have had for years concerning “card mills” and downright phobias regarding MLM’s and what we have presumably done to disgrace, embarrass, and ruin their reputations as “Professionals”. You wanna know her reaction?

“And that’s their answer?”

Yep, afraid so. I went on to tell her about forums and blogs these “Professionals” hang out on to discuss all the wrongs, all the injustice, all the problems they can think of on a daily basis. How at one time I had befriended some of them, and because I’m not willing to change host agencies or simply get out all together, I’m now an outcast and seen as the man in the mask. (And then some.)

“How does that make you feel?” she asked. I thought about it, for say… a nanosecond, and replied with “How’s it suppose to make me feel?” I went on to ask a couple of more questions, like how someone I don’t even know, or more importantly doesn’t know me, should own any feelings one way or the other? I asked if she see’s any connection to me and the man in the mask. Do I look and act like that to her?

She thought that was a strange question based on the look on her face, because we happen not only to be neighbors, but friends. To think an article or even this cover will cancel out years of friendship does sound a bit over the top. I’ve heard that if you join and MLM that you can kiss your family and friends goodbye, because you have to hound them about joining the MLM you’re involved in, (any MLM) and they eventually get fed up with the constant badgering and eventually disown you.

It’s been over 4 years now, and I’m still waiting for THAT shoe to drop.

It’s not that I haven’t heard story after story about MLM’s destroying friendships and families. There are those who can’t fathom being unemotional or unattached to an attack like what’s depicted in the picture. Family especially, would want to protect those they are closest too from being “stained” in this way. I might be the same way when I was far less secure about my own abilities and worth.

But I have to wonder, why after all this time, all this energy, all the “talk” about how bad things are, just why a professional publication would even think that an article like this is a good idea. What some in our industry have categorized as “card mills” have been around for over a decade now, and the industry is only a small fraction closer to resolving this so called problem and embarrassment than they were back then.

There have been suppliers, (who by the way are the ones who grant these FAM’s and perks not the Agents or Associations) who have taken a stand in some form or fashion. Sandals for example, was one of the first I can think of who would provide a complimentary night or nights based on production. Doesn’t really matter which host you’re associated with; if you produce, you’re rewarded. The concept isn’t much different from a frequent flier program, which provides anyone who supports a particular airline is granted perks like free airfare. It’s also why I like the Carnival requirements that came out a year ago January. A minimum of 5 full paying cabins (double occupancy) are required, BEFORE you’ll be considered to partake in a FAM with them.

But for some reason, that’s not good enough for some, as you can clearly see in the comments section of the digital format of this cover story. There are those who simply can’t get over their own hang ups about “their” industry to see that someone is there on a FAM because they earned it. We’re participating in an industry seminar with them because we have a desire to learn. We join in on a summit because we want to expand our knowledge.

Instead, they snub their nose at the supplier because they welcome anyone who produces, regardless of what Host Agency, or so called “card mill” they may be associated with, as if the supplier would even care who they consider “worthy”.

We’ve run into the same problem most recently with Debbie Maier and Mailpound. Ms. Maier took the time to come to a Red Carpet Event to roll out a new private labeled e-marketing site for YTB to help our company promote and sell more travel to our clients. While the site does have a listing of FAM’s associated with it, the main purpose of this site is to enable Travel Agents to send out promotional e-mails and marketing materials to clients to actually sell travel. When she came to the Home Office she was, and I quote, “completely – blown – away” over the passion YTB has for this industry.

And because she now provides this service to YTB, and has seen first hand that YTB is a real travel company, she and her company have now been black listed. There are “Professionals” who are not only promoting that other agents send her an e-mail that “they know” who she’s working with, but if any of the e-mails or comments are like the ones I’ve seen…she’ll need to shower after being vomited on by this outspoken and obnoxious group of “legitimate agents”.

That’s the game plan, to make life as uncomfortable as possible in the hope that they just throw in the towel because the backlash isn’t worth it.

Based on a webinar that I know happened last week, there may be more of this kind of tactic coming from this group. The same day YTB was promoting Princess Cruises, (a Sail-A-Thon to sell full fair cabins, not FAMS) another group was planning how to get more of these types of “cover stories” out there to media outlets to warn the public about the masked men and women who are involved in what they’ve deemed to be undesirable Host Agencies. I know that these Associations are the be all and end all for some, and there have been Agencies associated with many of them to add credibility. (We saw how well that worked out, didn’t we?)

While I was invited to this little gathering with these very prominent and important people and associations in the industry, I declined the offer. I asked the question of how this type of behavior would make me a better person, a better Travel Agent, and a better Leader, but like most of the questions I ask, they were left unanswered. (Ignored was more like it.)

They are welcome to do what they do, and I’ll do what I do. That’s promoting a rebroadcast of the Princess Sail-A-Thon this afternoon at 4:00 pm Eastern to sell more cruises. It’s far more productive, supports the hand that feeds me, (and them) and helps bring the truth to light.

PS - If you're involved with YTB, sign up for our FREE Newsletter. As a Website Owner or Website Seller, we'll keep you up to date with all the latest news, acquisitions, and developments with YTB.

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Doug & Ronda Bauknight
Doug & Ronda Bauknight
AKA: TravelPro
Travel Agent / Networker
Phone: 678.458.5812
Learn How To Become A Travel Agent

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Paying Respect

Friday, March 20th, 2009
7
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I have some sad news that I found out late yesterday afternoon. Phil Davidoff of Davidoff Associates has left us. You may remember both Phil and Doris from this past National Convention or a Seminar @ Sea they hosted this past December. Their understanding and acceptance of the YTB model won praise from many in our company and I am saddened to see him go so soon.

He past away Thursday morning in his home in Boca Raton, FL from pneumonia. He was 68.

Phil Davidoff, CTC, CTIE, MCC, was a leading travel industry professional who was also active in travel and tourism marketing, education and training. He was President of VALU Travel Marketing, Inc., the travel industry’s only consultiumsm from 1992 to 1997 and is co-founder and owner since 1969 of Belair Travel & Cruises and Fan Club Cruises in Florida. He was president of the American Society of Travel Agents (ASTA) from October 1990 through September 1992 and had served as vice-president and president-elect prior to that. He also served on ASTA’s staff as Vice President Education & Training from 1982-1984.

Phil was a Certified Travel Counselor (CTC), Certified Travel Industry Executive (CTIE) and Life Member of The Travel Institute (formely ICTA) and had earned the Master Cruise Counselor (MCC) designation from the Cruise Lines International Association (CLIA). He also served as a member of the tourism faculties of The George Washington University and Northern Virginia Community College.

Phil was a co-author with his wife of more than 40 years, Doris, of many books, and had been a presenter of a variety of seminars for many travel organizations.

Phil was chosen as 1991 Travel Person of the Year by Travel Agent magazine and was co-recipient with his wife, Doris, of Travel Trade magazine’s 1991 Travel Agent of the Year award. He was also co-recipient, with his wife, of the first annual Achievement Award from the Society of Travel & Tourism Educators in 1988. Phil served as a Director-at-Large on the Board of Directors of the Travel Industry Association of America from 1991 through 1993.

Phil held a Bachelor’s and Master’s degrees from the University of Pennsylvania and had completed extensive graduate studies in Human Resource Development at The George Washington University.

Doris Davidoff told Travel Weekly she will phase out the cruise business and continue consulting. Phil is also survived by two sons, a daughter and five grandchildren.

PS - If you're involved with YTB, sign up for our FREE Newsletter. As a Website Owner or Website Seller, we'll keep you up to date with all the latest news, acquisitions, and developments with YTB.

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Doug & Ronda Bauknight
Doug & Ronda Bauknight
AKA: TravelPro
Travel Agent / Networker
Phone: 678.458.5812
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Please “Participate”

Wednesday, March 11th, 2009
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I wrote on Monday about Paul Henderson, who like me is getting just a little tired of the nonsense filling our in boxes, and the witch hunt that’s going on in our industry right now. There are those who believe that we as a group of MLM’ers can not call ourselves “Travel Agents”. The reality of the issue however is that not one association or group has been able to outline for us what type of qualifications are necessary to provide us with the proper definition or qualifications to be considered a “Travel Agent”.

IATA enables you to carry their card with a paid commission level of $5000. CLIA just upgraded their qualifications with training and a minimum of 25 cruise sales.  Others have their own hoops to jump through such as a business license, or an approved host that you need to align yourself with.

Yet we are still left without one clear definition as an industry that everyone can agree on (or at least reference too) to become a real live “Travel Agent”.

bullhornOver the last couple of years YTB has made many changes in order to legitimize it’s model in the industry and become a respected member of the industry. We’ve listened to and responded accordingly. Some call it “reactionary” and that’s okay, because it’s the first step for some in noticing that changes ARE being made. Before any of this mess erupted back in October of 2007 with Royal Caribbean terminating it’s agreement with YTB, during a Funshine “Travel” Trade Show no less, YTB rolled out E-Campus, a course designed by one of the industries leading educators, Marc Mancini. YTB also revamped it’s certification program to First Class Training, and with that, changed both the level of commission percentages, and qualifications to book directly with vendors with it’s First Class Training Program. When you enter the industry with YTB you are an Affiliate, and without the proper training via either YTB or an indsutry associations no title of “Travel Agent” is bestowed upon you.

In addition to training, the company has made numerous changes in the way it actually books travel and helps customers secure the services we offer. The Convergentware upgrade with direct connections to GDS, suppliers and vendors has eliminated the need to “glean” numbers, and since we have enough staff now to handle our own calls in our expanded Home Office, the primary number in the help section is now directing customers to our own support center instead of pawning the responsibilty off on vendors.

In addition to the changes YTB has made, we’ve seen changes from suppliers such as Carnival Cruise lines, who implimented a minimum booking policy in eary 2008 before enabling anyone to enjoy a discounted cruise with them. We’ve also seen changes from Assoications such as CLIA who now requires not only training but actual production in order to have the privilege of carrying their card. While I’ve heard of rumblings of a loophole with this, YTB as a company, nor do I support or promote such a loophole.

This above snapshot of changes should provide for many that both YTB and the industry is serious about being a player in this industry. I for one am pleased with the response both the industry and the company has made. There are a select few however who either don’t want to talk about the issues or are incapable of communicating effectively what the real issues are.

I was amused this morning to find a comment, which I approved. In a very roundabout way, this TA finally got to the bottom of his issue after several days of comments and an entire post yesterday.

The real phobia for him and for the rest of this small group is “recruiting”.

I don’t know why it took so long or why he needed to go off on a tangent about Delta Airlines being the first to start cutting commissions in 1995, or that online companies such as Travelocity, Orbitz, Expedia and Priceline have call centers to support their initial design of self service booking. My guess is that he needed to show how smart he was and attempt to point out how little I know, thus disqualifying me as someone who is worthy of recruiting anyone into the industry the right way. If he feels that works for him, I have no problem with it, but he could have saved himself a couple days of ranting and badgering, and needless reading by me and just come right out and told everyone that he can’t stand the recruiting aspect and we need to dispose of it in order for him to personally accept me or YTB into the fold of brethren.

I suspect however that he certainly feels better now that he’s been able to vomit on two separate blogs.

Now that he’s fianally been able to get the real issue of the matter, he’s asked me to participate in a webinar that’s coming up at the end of the month. While I’m not sure if he’s cleared this with those who initially set this puppy up, but regardless if he actually has or not, I politely declined the offer to join the group and have chosen to participate instead in a Sail-a-thon with Princess Cruise Lines later that evening.

Be that as it may, I have to wonder why he feels this would benefit me or anyone else in the Travel Industry resolve the issue of “qualifications” and finally be considered a “Travel Agent”.

Here’s the outline of this little seminar and you tell me if this looks like it’s designed to talk about qualifications or if it helps the industry resolve the real issue here.

Card Mills.  Instant Agent Programs. MLM Travel Companies.  These entities spring up relentlessly, convincing consumers that anyone can be a travel agent. Card Mills disparage the professionalism of traditional travel agents and misrepresent industry “benefits” as a reason for joining.

Too often, travel agents are left without the tools necessary to successfully educate consumers and market effectively against the Card Mills.

No longer.

Join Richard Earls, publisher of Travel Research Online, in a webinar that will turn the tide by providing traditional travel agents with effective strategies, press releases and marketing tools to educate their clients on the fallacies of the card mill phenomenon.

You will receive materials after the webinar that will assist you in combatting Card Mills in your own communities.

A panel of experts will assist travel agents with arresting the Card Mills in their tracks.

By the way…the emphasis here is not mine, it’s theirs. This seminar is nothing more than the “witch hunt” that both Paul Henderson and I both abhor. Why on God’s green earth would I have any interest learning how to spew negative propaganda about a company that I support? There is nothing about this recruiting message that talks about the issue of qualifications, training, or customer support to enable me to be a better travel agent.

What it does appear to teach however is how belittle me in press releases, marketing tools, and seminars. (Something that I’ve grown quite accustom to, and expect as a rebuttal to what I write here.)

Oh Joy!

According to some, I’m the one who doesn’t offer “value”, and I’m being ridiculous for not wanting to spend my afternoon rolling in this very large pile of horse dung.

I do find it serendipitous that while this group of professionals attempt to educate the world that all we do is focus on recruiting so anyone can be one of these Travel Agents, the lead company they will be talking about and slandering is actually doing what they should do…selling travel and supporting the hand that feeds them.

Now there’s a novel idea!

I’m sorry gang, but I have to state for the record once again. I don’t find this “get together” the least bit productive, or see how it answers any of the issues we talked about on Monday.

The answer is still “no thanks”.

But that just me.

PS - If you're involved with YTB, sign up for our FREE Newsletter. As a Website Owner or Website Seller, we'll keep you up to date with all the latest news, acquisitions, and developments with YTB.

PPS - Subscribe to the Just Picture It Now RSS feed, (including e-mail) for all the latest posts and updates found right here!

Doug & Ronda Bauknight
Doug & Ronda Bauknight
AKA: TravelPro
Travel Agent / Networker
Phone: 678.458.5812
Learn How To Become A Travel Agent

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Bailing on Agents

Wednesday, February 25th, 2009
7
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I picked up on a story Monday that I thought might be a good topic for today’s post but didn’t realize how timing would play out with President Obama speaking to the Nation last night. I’ve got to admit, our new President is one of the most eloquent speakers I’ve seen in some time. I can appreciate a well delivered speech when I see one and he needs to get Congress on his side when he submits his tax and spending plans to Congress on Thursday.

stimulusLast week, President Barack Obama signed the sprawling $787 billion economic stimulus package into law, saying it will help the struggling U.S. economy but warning that the recovery process will be challenging. I would agree with the warning, because it will end up costing over $1 Trillion when it’s all said and done. (It needs to be paid back, you realize that?) The Market reacted to the news by selling off and savvy investors realize how much this bailout will hurt when it’s time to pay it back.

Right or wrong about this stimulus package being good or bad, bailing out America seems to be a hot topic these days and there are large numbers who appear to want a piece of the action, including the ASTA. I don’t know if you saw this editorial cartoon in Travel Weekly the day after the inauguration, but it spoke volumes about how demanding and desperate this industry is. I’ve had it up to here with all this talk about how everything is fine and things are “great” when actions certainly don’t provide a very good foundation to those statements. With all the victim talk we’ve read about day after day, the mud slinging and spin on the “issues” with Travel MLM’s, Agencies either downsizing, or disappearing overnight, and involuntary bankruptcy filed by Agents themselves things aren’t as rosy as some claim. Things have gotten so bad for the industry that after decades of fighting to keep banks out of the industry, all of the sudden Agents are willing to look the other way.

And now we find out that the ASTA DID have it’s hand out for part of the $787 billion to stimulate there struggling model once again.

“The inclusion of a direct lending program in the House-passed version of this bill raised hope among ASTA’s small business travel agents,” said Chris Russo, ASTA president and chair. “Sadly, Congressional negotiators, meeting behind closed doors, chose to remove the direct lending provision mere hours before the bill was complete. Whatever small cost savings they achieved came at the expense of the small business community.”

In a letter sent last week, Russo asked President Obama to call for the swift passage of legislation to expand the authority of the Small Business Administration to lend directly to small business owners.

Based on what I heard last night, they’ll be given another shot at even more money to be spent by this new administration next year.

But I have to ask why the ASTA even needs this money in the first place when everyone is telling me that business is better than ever? Some certainly know how to talk the talk, but when it comes to walking the walk we get this? Very odd don’t you think?

The ASTA is still pitching (or promoting) how important they are to the Travel Agent community after this failed attempt to help the industry while even they admit that “the brand damage from the old days when ASTA was perceived as too political”. The ASTA claims agents need an “attitude adjustment” (finally, something we can agree on!) but Agents need the ASTA to help them.

To be fair, I have seen a couple of issues they’ve been helpful in over the last year, but apparently it’s not enough for the majority of the Travel Agent community to shift their perceptions concerning how this organization can help them. Honestly, I’ve come to the conclusion most of these agents who don’t join are just more comfortable about complaining than they are about effective change, so this plea by the ASTA in this article will fall on deaf ears. In addition, most agent don’t truly understand what leverage can do to benefit them. Instead, most ridicule the concept and poke fun at it being only an MLM concept.

It is however comforting to see that even the ASTA is having difficulty getting their message across to a group who believes they know better, and not willing to change their flavor of Kool-aid, because it sounds too much like MLM.

Maloney said that ASTA now has some 200 Premium members and 4,000 Core members, a number that he said “we can grow,” if agents are aware of the range of services they can get from ASTA for “77 cents a day” – the per diem cost of annual Core membership.

This “.77 cents a day” is taken directly from MLM, (or so they think) and it doesn’t play well. Instead of seeing the benifit, they reject this concept because most have been trained to. (It’s also called brainwashing.)

Time will tell if this industry wakes up and pulls ITSELF out of this funk they’re in. I see people everyday who are making smart choices and even sacrifices today that will pay off for them in the long run. I promise you’ll see a good number of people who will come out of this extremely wealthy because of it.

I doubt it will be because of a handout or bailout, it rarely is.

PS - If you're involved with YTB, sign up for our FREE Newsletter. As a Website Owner or Website Seller, we'll keep you up to date with all the latest news, acquisitions, and developments with YTB.

PPS - Subscribe to the Just Picture It Now RSS feed, (including e-mail) for all the latest posts and updates found right here!

Doug & Ronda Bauknight
Doug & Ronda Bauknight
AKA: TravelPro
Travel Agent / Networker
Phone: 678.458.5812
Learn How To Become A Travel Agent

Book Your Travel & Vacations With


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Don’t Look Now…

Friday, December 12th, 2008
15
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I’ve been told that the travel industry is just swimming along famously. No problems, no concerns, (other than those pesky MLM’s of course) and everything is just drifting along quite well. I was wondering what planet some of these Travel Agents live on. If you’d like to participate and only focus on one company, one issue, one glass of Kook-Aid you too might come to the conclusion that our MLM model is the ONLY model that has some of issues listed below.

Typically I see single posts or threads about MLM topics so folks can rant and rave about how horrid MLM is. Problem is, as I was reading through some of the trades this week, there were so many similar topics I’ve seen about MLM, it might take weeks to write single posts about each one separately. Don’t really want to spend the time or energy writing about problems, as I happen to be a solutions kind of guy.

dont-look-hereI know it’s a long shot for some, but wanted to see if we could take the blinders off to look outside of MLM and Travel and see what’s going on with the entire industry. Blinders can be great, but sometimes it’s a good idea to look around if nothing more for a status check to gauge how well, or how poor your single perspective might actually be.

Since I don’t want to boar readers, we’ll just give you the Readers Digest condensed version of each of the following topics, and as usual, you’ll find the third party links to actually documentation instead of trying to dig it up yourselves or just taking my word for it. (Remember, don’t believe a word you hear, unless you can verify it on your own to be true.)

First we have Frank Serio, a former owner and operator of Travel Concepts in Rhode Island who was sentenced in federal court to 15 months for wire fraud and defrauding airlines and Amtrak out of $571,000. According to Travel Weekly, he bought tickets at steep discounts and then obtained refunds based on full fares.

Serio had purchased tickets using other names and fictitious names and used phony voucher numbers or numbers reserved for airline/train employees and their relatives.  He also reported the sales through ARC and paid with a business or personal credit card.

Soon after each purchase, Serio requested full-price refunds through ARC, said the U.S. Attorney’s Office. In this way, he extracted $571,000 in refunds from American Airlines, British Airways, Continental, Delta, Royal Jordanian, United, US Airways and Amtrak.

The FBI investigated the case and ARC cooperated. Frank reports to prison on Jan. 5.

I’ve seen the word bankruptcy used all too often, for years in fact. Advantage Rent A Car has filed a voluntary petition with the U.S. Bankruptcy Court seeking Chapter 11 bankruptcy protection. 440 people nationwide received layoff notifications this past Monday. Advantage will explore alternatives during the company’s reorganization, including the possibility of a sale or merger.

In addition to seeking Chapter 11, Advantage has decided to consolidate its network of car-rental locations nationwide — keeping open only its most profitable store locations.

“The current economic environment has dramatically affected the travel industry,” said Jon Austin, a spokesman for Advantage. “We have been hit with a simultaneous drop in leisure travel, with greatly increased costs and frozen credit markets. These factors are affecting many industries and companies and we are not immune from these forces. These painful steps are a recognition of that reality.”

Advantage will employ only 460 people at the remaining locations and its corporate offices in San Antonio.

Some might consider Advantage a small player in the market, and simply can’t compete with some of the big boys in the market. Not necessarily the case, as news of Budget Rent A Car also announced they will be closing it’s contact center in Wichita Falls, Texas early first quarter 2009. (Some 1,400 jobs will be lost overall at Budget due to their cost cutting measures.)

Why one jet is raising a considerable amount of fuss, United has sold 15 Boeing 757s to East Shore Aircraft to raise $150 million in capital. They appear to agree that selling off some assets is a good way to to raise some much needed cash. United has raised more than $250 million of the $300 million by selling off assets in the fourth quarter of 2008.

I also realized that the ASTA is the be all and end all for some. I was shocked to find out that this association hasn’t cleared a profit since 2002. The ASTA took a loss of about $800,000 in 2007 and will take an additional hit of between $400,000 and $500,000 this year. It’s also reported that it’s spent some $2.5 million of it’s reserves to balance it’s budget in just two years time.

And while some can’t see paradigm shift going on in this industry right now…

Maloney said ASTA was “locked into the old World Travel Congress model” through 2005, at a time of “the collapse of the agency system” through disintermediation, and hence a declining pool of agencies from which to recruit members. This occurred, he said, in tandem with the rise of consortia and the conviction of many agencies that, if they had to choose, consortia were more important to the bottom line.

The news also brought to light that it’s lost support from the supplier end, focusing more on the Agencies themselves. Possibly because the ASTA appears to me at least to be completely out of touch and out of sync.

This last article about Royal Caribbean lending a hand to Agents in these difficult times, I couldn’t help but think of my good freind Candi May who was given the same type of lip service when she was struggling, and was told by her peers that “business couldn’t be better”.

I’ve always liked Vicki and it appears that most of the traditionalists respect her as well. But I wonder if her quote about things not being so rosey will wake some of the Agents I’ve seen who are in such denial about the state of thier business right now.
“This economic environment is unprecedented, and our travel agent partners need our unprecedented support,” said Vicki Freed, senior vice president of sales for Royal Caribbean International, in a statement. “Like everyone, they are feeling the pain, and we need to help them through this.”

The only pain some appear to have are those pesky MLM’s who are to blame for all thier troubles. Instead of being grateful for what Royal Caribbean has done for them, on many levels I might ad, my guess is that the focus will continue to be how MLM is a bad mix. Honestly, from what I’ve seen, the obsession, anger, and resentment is only getting worse, and hit an all time low yesterday. (Too embarassing to elaborate, so don’t even ask.)

With all the chatter and focus on how crooked and poorly managed MLM is, it appears that some might need to take the blinders off and look around. (Ya think?)

PS - If you're involved with YTB, sign up for our FREE Newsletter. As a Website Owner or Website Seller, we'll keep you up to date with all the latest news, acquisitions, and developments with YTB.

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Doug & Ronda Bauknight
Doug & Ronda Bauknight
AKA: TravelPro
Travel Agent / Networker
Phone: 678.458.5812
Learn How To Become A Travel Agent

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“Professionals” Come Forward…

Friday, August 29th, 2008
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There are times when I read or hear about something, and it just doesn’t sound right. I’ve been attempting to get my head around this California complaint off and on since the Convention. Something just didn’t fit. It’s a single state, with the help of Illinois who is still on the sidelines, and we’re still doing business in California. (More business by the way than any other state in the country I might add. ;-P)

If you’ve been involved in the Travel Industry for any length of time, you know who the major players are, who gets along with whom, who hates who, and who just doesn’t amount to squat in the Travel Industry. It’s no secret that the ASTA has put together quite a propaganda campaign against these so called “Card Mills”. Doesn’t matter that YTB now has minimum booking requirements before “cards” are issued, YTB is used because we happen to be the most visible in on the internet and in the trade publications. (Legislation YTB was able to overcome and win in California I might add.)

I had an opportunity to read the complaint that was filed some time ago and one term stood out for me that made me think of one particular organization right off the bat. Since I didn’t have anything substantial at the time, I passed it off as nothing more than a logical guess. However based on this organizations educational piece (choke) the complaint read very similar to the 2005 propaganda that is now being regurgitated oddly enough based on similarities to the California complaint.

Like many now who “think” they have the upper hand now that they have a complaint, it’s not surprising that this group feels safe in promoting their position on the issue, along with a few on the internet appear to be rather boisterous.

I do have to add that I also believe that this “announcement” from this group was also predicated by a need to “out” a former President of their organization for coming over and supporting the very company and model they feel is damaging their industry. (Please note: YTB didn’t make the connection or initial statement, a seasoned Travel Journalist did.)

Oh…did you hear the Davidoff’s are now going to conduct three classes on the company Seminar @ Sea? (Check the latest Travel Compass or my Newsletter this weekend.) Like Marc Mancini and his Geography Bowl down at Funshine in a few weeks, looks like this excuse about lack of training from the other side is just that, an excuse.

Unlike the above industry leaders who offer solutions instead of a steady stream of complaints, the ASTA has a rather long history in attempting to derail the MLM business model. The majority of damage however has been nothing more than propaganda that I suppose some people have taken heed in. With such a powerful force, and I use the term loosely, you would think they would have had more of an impact on ridding the travel industry of the “Card Mills” they report to have damaged them so.

Now we have documentation direct from the horses a… err mouth that they’ve already filed one suit some time ago in California, and while not directly implied, sure looks like they feel mighty proud of the weight they are pushing around once again in California.

I caught wind earlier in the week of the ASTA making claims to have filed a complaint with the FTC back in 2006 about this ever so popular “pyramid scheme” excuse everyone likes to throw out. (The e-mail was copied and pasted in the blue response at the bottom of this post.) It wasn’t until yesterday however that I finally got something a little more substantial.

And a whole lot more.

I want to address this complaint with the FTC as to why nobody every heard a word about this from the FTC, and highlight the excuse. (It’s pretty funny actually.) Here’s the gem as it’s worded from the ASTA.

“We also complained to the Federal Trade Commission, but our request for a trade regulation rule was denied in large part due to lack of support from the supplier community.”

I find it hysterical that they blame the suppliers, the very life blood of their business for letting YTB slip through the cracks. Had nothing to do with the fact that they couldn’t come up with valid complaint the FTC would listen too now would it? Nor could it be that are mistaken or more accurately don’t have a clue what a “pyramid scheme” actually is.

You can’t fit a square peg into a round hole. I do have to wonder however why they just didn’t announce a “do over” like they did in their past election.

Did the FTC not realize that this was the ASTA? Look, it doesn’t matter how big and bad you try to make yourself, you still have to prove your case in this country, (THANK GOD) before the Government will find you guilty and actually enforce action.

Why do you think we’re still doing business in California even with such a large amount of money up for grabs?

I often find a blurb from the SEC posted on the Internet concerning the FTC’s stance on pyramid schemes. Why do they use the SEC you might ask? Don’t really know, but my guess is that it “sounds better” than what the FTC has up concerning illegal pyramids.

Again…I need to add that the graphic the SEC has up concerning more participants than the world population has yet to happen in a single solitary MLM. Many of whom have been around for decades. (But don’t let that stop you from listening to a Zealot when they post something like this for you.)

So, the ASTA fails in getting the FTC involved, (as I’m sure many other Zealots have attempted to do) and they spend the next couple of years hitting up any State that would listen and finally found one desperate enough to file a suit. Call it whatever you want. Stupidity – greed – political advancement – I don’t care, but since the FTC, Florida and now Illinois have never stepped up to the plate, what do you think ol’ Gerry has in regard to this complaint?

Nothing more than a very dry bone of contention.

While I know some laugh at this notion that a group or organization in the Travel Industry would have the kind of pull or clout to lobby Politicians. I find it interesting that we have a second article within the last week of more lobbyist throwing money at Politicians, although from the supplier end, but a cool $297K Q2 adds up to organizations getting exactly what they want through what ever Government agency (State or Federal) they think they can purchase.

Those who subscribe to my Newsletter know my stance concerning these suits being nothing more than a personal attack. A complaint filed in an attempt to slow or even destroy a company that is “growing to big too fast”. (The AG’s statement, not mine.) I realize that like terrorists, some flat out deny any involvement, and I’ve stated that I would agree some were not involved. (Not that smart, and not their mode of operandi.)

That doesn’t mean however that there is an organization that does have just enough clout (or money) to push something like this out into the public eye. Unfortunately for them, that’s about as far as their going to get based on the failures they’ve faced concerning past efforts. Which include the FTC, other states who never moved past the investigation mode and California Legislation that was merely a blip on the radar screen and clearly separated YTB from this notion of being nothing more than a “Card Mill”.

Oh, before I go. I did happen to send this “gem” up to the home office with an idea of getting everyone together on the Seminar @ Sea with the Davidoff’s and sending the ASTA a postcard from the Seminar entitled “Greetings from Cozumel”.

PS - If you're involved with YTB, sign up for our FREE Newsletter. As a Website Owner or Website Seller, we'll keep you up to date with all the latest news, acquisitions, and developments with YTB.

PPS - Subscribe to the Just Picture It Now RSS feed, (including e-mail) for all the latest posts and updates found right here!

Doug & Ronda Bauknight
Doug & Ronda Bauknight
AKA: TravelPro
Travel Agent / Networker
Phone: 678.458.5812
Learn How To Become A Travel Agent

Book Your Travel & Vacations With


Do You ZamZuu?
Do You ZamZuu?
TSO #588629
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