Posts Tagged ‘Royal Caribbean’

Don’t Look Now…

Friday, December 12th, 2008
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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'd like to keep up to date with all the latest news, acquisitions, and developments with YTB feel free to sign up for our FREE Newsletter . Just like here, it's loaded with food, water and sunshine to grow your YTB business.

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Doug & Ronda Bauknight
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Phone: 678.458.5812

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Playing The Market…

Wednesday, November 19th, 2008
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Are you as tired as I am over all the trash talk about YTB’s stock? Honestly, I’m sick of it. It’s as if YTBLA.OB is the only stock out there that’s down in the dumps. You’ve got to be hiding out in a cave somewhere not to realize that the markets overall are…well, in the toilet.

While the market has many running in fear, others are banking on the fact that the market will eventually turn in an upward trend. Most people would think someone would be crazy to actually be buying stock these days. Yet, that’s exactly what many of the super wealthy would have done in order to make their fortune. It’s times like these that would explain why Warren Buffett bought a considerable amount of stock at the end of the third quarter. (And if you’re thinking he sold a bunch, think again.)

The “Average Joe” simply can’t stomach what’s going on right now. That’s why we’re seeing the selling frenzy that we are, and also why critics appear to be focused on YTB’s stock specifically. It helps give the perception that the company is in dire straights and won’t last. Our third quarter numbers did a significant job is dispelling those rumors after their release. While there is a considerable amount of excuses following YTB’s profitable quarter, it did cause some of the most hardened critics to actually state that the numbers actually turned out better than they expected.

I would assume that’s why the focus has been shifted so quickly to the stock. It’s the one thing critics can point to that doesn’t look all that rosy, nor is bouncing back. The picture they’re painting is as if all other sectors are doing just fine, and it’s only YTB that’s having the difficulty holding on to its price. (Even with a profitable quarter.)

This attempt to spin the stock got me thinking how YTB compares to other stocks, more specifically, the travel sector since YTB of course knows nothing about travel. (Even after our 8 year run in this sector and being named in Travel Weekly’s Power List the last two years.)

By no means do I claim to be some type of stock expert. Far from it. But anyone with a pulse should realize that the markets, even after the election, continue to tank.

After pulling up various stocks to compare with YTB’s I started noticing that the broad brushed picture being painted isn’t what our critics claim it to be. (Big surprise, I’m sure.) Nor did any one sector in our industry lead in the categories I checked. About the only sector I was not able to check thoroughly at this time were other Brick and Mortars. (Most according to the Travel Weekly Power List are privately held.) I also tried to pick stocks that most everyone would know, even if you’re not “in” the industry. (Hogg Robinson Group, being probably the one exception.) Since there were so few public Brick and Mortar Agencies, I did use both American Express and Boeing who do own “Agencies” but obviously have diversification which neither look to either help or hinder their performance over the last year.

Here is an overview of the industry representing Airline, Cruise, Brick and Mortar, and On-line Agencies.

Indstry Snapshot

YTB (as noted by the blue dot) ends up pretty much “average” compared to the other stocks in the industry. Since there are so many in this sample, I’ve taken each industry and broken it down into segments for ease of reading.

Our first sector is how YTB compares to the Airline Industry. Companies are color coded and YTB will remain blue. Companies sampled with YTB are Continental, Delta, US Airways, and Northwest Airlines.

Airline Industry

Next is a one year snap shot of Brick and Mortar Travel Agengies, which include American Express, Boeing, and Hogg Robinson Group.

Brick and Mortar Agencies

Would a one year snap shot of on-line agencies look any better? Take a look at how YTB compares with Expedia, Priceline, and Orbitz.

One Year Snapshot of On-Line Agencies

And our last sector is the cruise industry as we take a look at both Carnival and Royal Caribbean.

Comparison of Cruise Lines

After looking at this again, maybe Royal Caribbean should be the one in red…

So what gives? Why all the focus and fuss over YTB’s stock when obviously YTB appears to be on par with all the other companies in the market?

Because that’s what critics do. It’s something for them to talk about to give the perception that the Network Marketing business model is flawed or inferior to what they consider a tradition business plan. It’s all about perception to add fear and doubt about your choice in the industry.

They want you to go back to something more “legitimate” or “secure”.

So let me ask you. When it comes to the stock market, which one of these stocks above look to be more secure to you?<-->

PS - If you'd like to keep up to date with all the latest news, acquisitions, and developments with YTB feel free to sign up for our FREE Newsletter . Just like here, it's loaded with food, water and sunshine to grow your YTB business.

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

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Behind Closed Doors…

Monday, October 13th, 2008
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We see and hear all too often how Travel MLM’s are hurting the travel industry from the Travel Agents and Host Agencies themselves. Trade Associations have popped up in increasing numbers over the last few years in an attempt to combat the pariah known as YTB. There are other Travel MLM’s, but the focus for all the problems in the industry has landed squarely on the shoulders of YTB. They all have a unified message of ridding the industry of the unprofessional likes of…

Well…ME!

Somehow they have this perception that because I associate and work with a Travel MLM that I damage their reputation as a Travel Professional. I’ve seen these folks do and say just about anything to warn you that I’m up to no good, my only interest is picking your pocket by recruiting you, and I couldn’t possibly have any interest in selling and servicing travel.

If you happen to be one of the ones reading this making those claims about me, I would argue that you are doing an outstanding job of damaging your own reputation and you certainly don’t need any help from me in that regard.

We also hear all too often that suppliers are cutting YTB off left and right. They hate us in much the same way they do. The vendors and suppliers appear to side with these overzealous Travel Agents and also want to rid the industry of our like.

I had an interesting post sent to me last week, and while I know very little about this individual, his quote speaks volumes about how the suppliers really feel about YTB but more importantly how they feel about these overzealous Agents and what they REALLY want to tell them.

Responses to this individual’s complaining to his employer were as follows:

“The MLMs don’t bring in enough business to worry about them.”
“We don’t treat them the same way as our traditional agencies.”
“We will take their bookings (money) and supply them our product.”
“Stop worrying about them.”
“You are not to discuss the MLMs with the agents or agencies.”

Of course these answers from the overzealous employee aren’t what he wants to hear and this cat can’t seem to get out of his own way to relieve his fears and misconceptions about Network Marketing. Thus you find this employee hanging out on a forum with other zealots that support his views. All while the employer remains unaware the employee refuses to abide by the employers wishes.

I’ve heard for a number of years that suppliers and vendors would cut YTB off. It wasn’t until last year, almost to the day, that one supplier decided to side with PATH (Professional Association of Travel Hosts) and terminate its relationship with the largest of the Travel MLM’s. Other than Royal Caribbean, I’m only aware of a Perillo Tours and another company called Celtic Tours, both of which never really did any business with YTB to begin with. (Neither were listed in our back office as a supplier.)

I find it difficult to terminate a relationship when there wasn’t a relationship to begin with, but that’s just me.

As I look back at the one public company who did side with the overzealous Agent Associations and this termination, the VP of Sales was moved over to Hotel Services, and shares of RCL stock has fallen from $42.24 this time last year to a 7 year low of $14.00 at the close of business Friday.

Not a very auspicious move for the company.

During this same period of time we have seen another cruise line come up with a very solid solution in minimum booking requirements concerning FAMs while maintaining its relationship with the 26th largest travel company in the country.

If you take a look at Carnival, they just announced they’ll be dropping their fuel surcharges moving forward, and provided a HUGE jump in Net Income for its 3rd Quarter results.

Hmmmmmmm, interesting.

I’m well aware of all the personal views and opinions that are circulating out there on the Internet about YTB and Network Marketing in general. Fortunately for the vast majority of the suppliers and vendors out there it’s not personal.

Its business.

For the overzealous and obsessed agents out there that read this blog on a regular basis, you may want to take note of how obnoxious YOU appear to the suppliers and vendors you’re attempting to recruit to your side. Based on how few have actually pulled the trigger and terminated their relationship with YTB and other travel MLM’s it appears that your concerns and misgivings about YOUR industry are falling of deaf ears.

While I’m sure they take the time to listen to you, and provide the lip service you’re looking for, behind closed doors they only care about their bottom line.

Don’t they?

PS - If you'd like to keep up to date with all the latest news, acquisitions, and developments with YTB feel free to sign up for our FREE Newsletter . Just like here, it's loaded with food, water and sunshine to grow your YTB business.

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

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

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Thou Shalt “Do The Dance”

Wednesday, July 30th, 2008
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Every once in a while I do “The Dance”. My kids think its funny (just wait til they get older) and yesterday we had a lot of fun. I had a couple of reasons for doing the “The Dance”, and the kids pulled out “Evan Almighty” yesterday afternoon while I was busy on the phone and outlining the post for today.

Do you remember back in January when Carnival made the announcement concerning minimum booking requirements? It was speculated back in October that suppliers would follow Royal Caribbean’s lead and pull the plug on Travel MLM’s. Now almost a year later, it looks as if throwing “the problem” overboard proved to be costly. While another Cruise line solved “the problem” on January 9th when new CEO Gerry Cahill eliminated the abuse yet saved the account for future growth and profits.

Now it’s important to keep the supplier problem verses solution in mind as we move on to today’s topic. (Success leaves clues.)

Yesterday afternoon, CLIA stepped up to the plate and offered a very solid solution which I believe will have long lasting and very beneficial effects for everyone in the industry. (Well, almost everyone, but more on that in a minute.)

I first caught the story in Travel Weekly, and after doing a little research I found the new policy directly off CLIA’s web site. I’ll let you read both stories on your own, but I want to get to the meat of what this is all about.

“2009 ID Card applicants are required to be enrolled in, or to have achieved a designation (ACC, MCC, ECC, ECCS) in CLIA’s Cruise Counsellor Certification Program. Attainment of an ACC designation requires a program of mandatory and elective training options as well personal cruise experience, shipboard inspections and 25 cabin sales within the two year enrollment period.”

How do you like them apples? Just think. Nobody has to double dog dare anyone any longer about whether or not they actually know what their doing, if they are taking unfair advantage of the industry without giving back, or pretend that we’re only referring people to a simple web site to book a cruise without any support.

This solution clearly separates the pretenders from the players in the Travel Industry, and with the new Certification requirements that everyone will be able to follow and understand, suppliers will be able to tell exactly who is serious and who is not.

We’ve gotten to know CLIA or rather The Academy quite well since October of last year when YTB launched E-Campus with Dr. Marc Mancini, one of the most respected and admired trainers in the Travel Industry. I’d also like to point out that the minimum booking requirements in California in 2007 worked so well, that YTB Travel Network rolled these same requirements out for the entire company earlier this year.

The emphasis on actually training the RTA field is apparently working, and to see an association such as CLIA roll out a solution like the one yesterday should put an end to this illusion that someone like me or you embarrass and anger those that admittedly earned their rights and privileges in this industry.

These new requirements do raise a couple of rhetorical questions for me however. (Remember, comments here are now cut off to those who couldn’t communicate in a civil and respectable manor concerning their views and opinions.)

What will the few Traditional Travel Agents do when these requirements have been met? They can no longer claim that we are untrained and uneducated. They can no longer claim that we don’t support the industry. With all the time and energy now wasted in posting day after day, to have the major beef pulled right out from under them, what will they do with all the extra time on their hands?

Second, now that there will be whole new crop of trained agents in the field, how will that affect their bottom line? MLM’ers will have the same knowledge and Certifications most of them boast about. There will be far more of these new, hungry, and educated Certified Agents in the field who can now compete at the same level. Will this take away even more market share for them?

Third, how will this be viewed by suppliers? Can you think of any suppliers who are in a bind right now that need some extra revenue coming their way? If just 20% of YTB’s RTA’s go after this Certification requirement it will produce close to $100 Million in revenue and that’s just to qualify for the Certification. What happens when a company the size of YTB is moving that type of revenue to only 21 of the 24 Cruise Line Members?

This is a HUGE step forward in eliminating the illusions and myths out there concerning “Card Mills” and “MLM’s”, and I’m thrilled the CLIA came up with a solution to clean up it’s good name, much like Carnival did. From what I could tell, the Carnival move back in January certainly curbed the accusations against them for supporting a company like YTB.

From what I can read at this early stage, it looks as if the few boisterous Traditionalists who are bitter, angry and shamed right now also think this is a good move. (They are however having a difficult time in expressing their view without belittling those who will be helped most in this move.) It may not keep both sides happy, since one side never appears happy, but it does take away at least one of the excuses they use to attack an industry and people they clearly know nothing about.

I’m quite certain more about these new requirements will be discussed during some of the YTBU courses, (my first course is with Ann Sedgwick first thing next Wednesday morning) and also during Friday and Saturdays National Convention when new features and announcements will be made.

Which reminds me; my second reason for doing “The Dance” yesterday afternoon happened when UPS came to the door with my documents for the National Convention. It’s almost like
doing “The Doc Dance” when boarding docs arrive for a cruise!

Care to join me?

PS - If you'd like to keep up to date with all the latest news, acquisitions, and developments with YTB feel free to sign up for our FREE Newsletter . Just like here, it's loaded with food, water and sunshine to grow your YTB business.

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

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

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6 Month Checkup

Friday, April 4th, 2008
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This has been one of the most interesting weeks I’ve seen in about 6 months. For some, it may have seemed like a week long April Fools joke that lasted an entire week instead of just a day.

We are seeing things in a whole new light this week. YTB releases it’s Annual Report on Monday, complete with Total Revenue of $141 Million and $3.2 Million Net Income for 2007, and the value of travel services booked on YTB’s booking engines was $414.5 Million, an increased 84% in 2007. On Wednesday, John Gilliam asks if YTB could be the next On-line Travel Darling and the combination of the two sent the stock upward from a low of $0.65 a share on March 19th, to $3.15 a share on the close of trading on Thursday April 3rd.

Now in a very strange twist, almost as if the stars have aligned in just the right order, we find the Cruise Line that started it all just 6 months ago has its credit rating lowered to “junk status” by Standard & Poor’s. According to Forbes, Royal Caribbean’s sinks to junk due to a heavy fleet investment, financed in part by borrowing, and rising fuel costs as adding pressure to the company’s rating being lowered.

Just weeks ago, Royal Caribbean agreed to work with the Florida Attorney General and will be refunding $21 Million that it slapped on customers back in November of 2007 for fuel surcharges. Maybe they should have kept the $24 Million they had in bookings with YTB and Joystar back in October instead?

After 6 months of trading since the Royal Flush, RCL stock is down 10.77% while the late attention and surge of YTBLA stock has increased 61.53%. It’s a very dramatic turn of events to say the least.

I was over on John’s blog yesterday doing a little reading, and I saw a very interesting comment from a YTB RTA that I want to bring to light. Of course, John’s not talking about the “good news”, and frankly I wouldn’t want to either concerning what’s going on, it doesn’t support his choice in trashing YTB every single day for that last few months. (Correction – he did give us a thumbs up for the stock rebound on Monday, but me thinks he was quite certain that our financials wouldn’t turn out the way they did.)

John’s currently busy avoiding the issue of YTB’s financials and attempting to ask all of us about ATA and what we are doing about all the bookings we have with them now that they’ve ceased doing business. (If anyone knows, please fill him in. He’s dying to know, but I don’t have anyone one on that airline, never have.)

Anyway, when I saw this comment, it put a smile on my face, and it’s one of the first true signs I’ve seen in some time that YTB is beginning to “get it” when it comes to this small group, and if you look, it’s a very small group, of people.

“…if all you TAs really believe that YTB is such crap…then just let the chips fall where they may.If you are so confident that YTBs business model is subpar to yours, then let it go and eventually you will be fine.”

I realize that’s hard to do, even for me. Yes, I’m just as guilty as everyone else. I’ve gradually come to this same realization, and now that I’ve removed myself from the negativity and limited thinking I couldn’t agree more with this statement. The chips are starting to fall, and frankly, it’s looking pretty good for YTB at this point.

What happened 6 months ago was a real shock and both common sense and business sense told me that you don’t throw a company overboard who’s booking $414 Million in travel no matter how small the individual pieces of pie are. Do you think Coke and Pepsi worry about what each individual vending machine does in terms of revenue? Not particularly.

By having millions of these vending machines all over the world is a big reason why Coke and Pepsi battle back and fourth between #1 and #2 year after year. That’s how they sell 1.4 billion servings A DAY.

We’re not out of the woods just yet. We still have IATA to battle with, and we know have a clear sign that is being worked on. I just want to remind everyone in YTB of what Tim and Georgia Dominey wrote in the foreword of my new book released this week, “Keep the main thing the main thing”.

We’ve come a long way in just 6 months.

This model works folks. It works for us and it especially works for the suppliers who have tapped into the pool of vending machines that are out there. There are certainly cases when a purchase from a “Brick & Mortar” would be better suited for the needs of the consumer. No one can deny however, how technology, combined with relationships works as a very effective and stable formula for success.

PS - If you'd like to keep up to date with all the latest news, acquisitions, and developments with YTB feel free to sign up for our FREE Newsletter . Just like here, it's loaded with food, water and sunshine to grow your YTB business.

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

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

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Doin’ It Right!

Thursday, January 10th, 2008
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Finally!

I have been waiting for someone to make this move, and it finally happened. It’s not surprising that our star is Carnival Corporation, AGAIN. I feel it’s important to review just a bit, and set this up for all those concerned. If you recall, Royal Caribbean in a “bold move” (?) terminated its relationship with YTB back on November 9th. No notice, no warning, not even a phone call. Just a simple letter from then Sr. Vice President of Sales, Lisa Bauer, who effectively played the roll of airline stewardess as she said “Bah-Bye” to 4 Agencies sinking more than $23 Million in revenue for the company in 2007.

I’ve never really understood this move, and for the life of me still can’t grasp why any company would toss any business overboard. However, I also agree that it’s their company and they are free to do business with whomever they choose too. More importantly, for me at least, this move in no way effectively addressed the real issue at hand.

So what was it about Carnival that was so different? How did they respond to the issues and controversy swirling around concerning “card mills” and Travel MLM’s who abuse the FAM privileges that ARE designed for those that actually support the industry?

They now require a minimum of 5 bookings with them in a 12 month period in order to be eligible for a FAM. Imagine that? Everyone involved in this industry needs to support and sell their product BEFORE being able to take advantage of a reduced rate with them.

How do you like them apples?

What this so effectively does is eliminate the abuse yet save the account for future growth and obvious profits. Is it any wonder why they are called “The Most Popular Cruise Line in the World”? Because they’ve so effectively and succinctly addressed the real issue, they are able to keep all business avenues open.

Now comes the real question…

Will other suppliers and vendors see this in the same light as I do? Will they see this as an effective alternative to closing the door on impressive numbers from a bunch of part time Referring Travel Agents? Can they have their cake and eat it too?

My bet is that the Traditional Agents will not see this as an effective move. Like most, it’s either black or white, it’s either /or. And we can’t forget those that are so closed minded and just want Travel MLM’s gone, shut down for good. I do know of some however, who do believe we may be able to co-exist and may agree that this is a step in the right direction.

While I do not believe this closes all the issues, and there is still more work to be done. This IS a good move for all concerned, and most certainly a step in the right direction to as we like to say “legitimize” the industry.

Way to go Carnival!

Are the other suppliers listening?

PS – While looking for a picture to post with this post, I found this, and came very close to using it. I decided not too, but thought is was hysterical and wanted to share it with all of you anyway. Too funny!

PS - If you'd like to keep up to date with all the latest news, acquisitions, and developments with YTB feel free to sign up for our FREE Newsletter . Just like here, it's loaded with food, water and sunshine to grow your YTB business.

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

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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And the Number Is…

Saturday, November 10th, 2007
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Well, the one day sale is over, and while I have a number in my head, your going to have to wait until Tuesday for the official announcement from both YTB and Carnival to find out just how well we did.

Sorry.

I will tell you that it was a fun week and very exciting talking with team members and other RTA’s about how many cruises they booked. If you don’t know, cruising is why I got into this business. I absolutely LOVE to talk about cruising. (Okay, I enjoy taking them too!) I was in my element all week long talking about a product I not only know extremely well but love. It’s the best vacation money can buy.

Late last night while I was watching a live feed from the home office on the computer I saw how the numbers were growing with calls into the home office, however we still have no idea how many cruises were booked directly on line, or with RTA’s who called into Carnival directly. These number are what we will add to our totals that came directly into our Home Office.

YTB and Carnival will be working together over the weekend to compile the numbers, make sure the are accurate, and it is my belief both Carnival and YTB will make a joint announcement. It is also my understanding that our 3rd Quarter earnings will be released at the same day.

While it looked like a quiet week here and all my focus was on the November 8th Sale, our Travel Professionals were in full swing this week. I don’t know exactly how you want to define all this, be it Rumor, Spin Machine, or just flat out Propaganda, but what ever it was, they certainly weren’t busy servicing customers.

It’s been a very long week. I need a little R & R and also need to get this nasty cold I have knocked out. I’ll be putting some things together over the weekend and may post before Tuesday. Have a great weekend everyone!

PS - If you'd like to keep up to date with all the latest news, acquisitions, and developments with YTB feel free to sign up for our FREE Newsletter . Just like here, it's loaded with food, water and sunshine to grow your YTB business.

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

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

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RTA #24635

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Sleeping With The Enemy…

Friday, November 2nd, 2007
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Over the last few days, I’ve had some very productive dialog with John Frenaye (at least for me) and I have a much better understanding of the complaints and concerns our group of Retail Travel Agents are having. I have to hand it to John, he’s at least looking closer at our model. Part of problem I see with skeptics and cynics is that there are a lot of pre-conceived notions about what Network Marketing is. While John has certainly not changed his position towards Network Marketing, he has verified that maybe terminating vendor relationships may not be the best alternative.

We shall see.

You like me may have noticed that no other supplier has come up to bat for these Retail Agents. From all the talk and news a few weeks ago you would have thought the sky was falling with what was circling around the internet. It’s been three weeks now and next Saturday will be a month since “The Letter” was sent out to just 3 Agencies terminating their vendor agreement without cause or reason. What’s even more intriguing to me at this point in time is that we only know the location of two of the three letters. The third to this date is still shrouded in secrecy. Seems to be a very smart move on the part of our third recipient at this point.

About the only news of interest to anyone this week concerning any news about Royal Caribbean’s decision is a Travel Weekly article naming PATH and Peter Stilphen as partners in this attempt to separate themselves from Travel MLM’s. For those of use who have been following this story with me, that’s old news however.

While we keep on waiting for the other shoe to drop, we just keep waiting. Why?

A while ago I found an excellent article from Arnie Weissmann who not only understands our business model, but brought up a number of key points. I’ve been meaning to compliment Arnie for his work, and actually did personally, but have not really given his piece the credit it deserves here.

The timing of the Royal Caribbean termination announcement was directly after YTB’s Funshine Trade Show in Orlando, Florida. I’ve personally attended these Trade Shows and find them to be an excellent source to not only meet our suppliers personally, but become better educated in who they are, what they offer, and how to promote their particular product or service. Like me, Arnie picked up on how hungry everyone is for knowledge of our industry and how receptive our suppliers are in working with us. The fact of the matter is, YTB and other models like us do a considerable amount of business with them. A little here, and a little there certainly adds up.

Just this morning I found this gem from Vicki Freed, and in this published article “Freed said she attended YTB’s conference in early October and saw more than 1,000 attendees in each educational forum. “The desire to learn about the travel business was evident even after I spoke to the general session (over 6,000 attendees) when the CLIA instructor followed me on stage and taught niche marketing,” Freed wrote. “No one left the room, and in fact, the overflow ballroom with big screens set up was packed as well. These folks paid for the conference, and there were no free meals or give-aways.”

It is “rumored” that this CLIA training in Orlando with YTB was the largest single group ever to be trained at one time by this Association.

And while CLIA (Cruise Lines International Association) was quoted in Modern Agent this morning, that its Oct. 17 World’s Largest Cruise Night (WLCN) is expected to generate 17,852 bookings, which translate into an estimated $22.3 million in sales and more than $3 million in travel agency commissions it makes one wonder what a single company like YTB could do in one day.

The entire industry generated 17,852 bookings in one day.

Why only 17,852 for the entire industry? Because these Retail Agents are too busy slamming Vicki on her Blog instead of focusing on making money. I called out our own agents here in my last post for being unprofessional. I feel it’s only fair after reading the threats and the down right harassment towards Vicki that someone needs to tell these Retailers.

“KNOCK IT OFF!”

As an entrepreneur, I’ve always been one who looks at solutions, not problems. Vicki clearly gave these agents an opportunity to make money with her, but chose instead to focus on the Travel MLM problem.

Good Grief.

While the tide certainly hasn’t turned by any stretch at this point, it certainly looks like it’s lost any momentum it had a few weeks ago.

PS - If you'd like to keep up to date with all the latest news, acquisitions, and developments with YTB feel free to sign up for our FREE Newsletter . Just like here, it's loaded with food, water and sunshine to grow your YTB business.

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

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

Learn How To Become A Travel Agent










Book Your Travel & Vacations With






RTA #24635

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The Other Side of The Coin…

Tuesday, October 30th, 2007
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I’m a man of my word and while I never thought that John Frenaye would accept my challenge…he did.

My purpose of this Blog is to speak the truth and sometimes in getting the truth out, we need to hear the other side of the story. And since this story has captivated so many people here, I feel it’s not only fair, but my responsibility to let the other side speak.

While I am not going to “publish” Johns comments in the comments section, I am going to copy and paste word for word what he expressed (unedited) to let him get his side of the story out. I hope that John will find my response to his comments both helpful and without offense to him.

Not sure if you will post this or not, but I figured I could respond to you. First, when I comment on your blog, I will identify myself. I don;t do the anonymous thing like many do. Thanks for all the credit as to what I said on a prior comment, but most of it was not me. THe line about the Koolaid–nope.

I’m sorry John, but your first comment on my Blog was “anonymous”. Being that both comments were posted one after the other in time frame and similar in content. I conveniently included you into some sort of “stereotype”. Being accused of things you never do is something we in the Network Marketing Industry have gotten accustomed to. It was wrong for me to fall into that same trap.

A. The suppliers have allowed the discounts and FAMS. It is NOT your fault for taking advantage. I blame the suppliers and we are encouraging suppliers to take a similar stand as RCI or to re-evaluate how they dole out the benefits. If you make the cut–fine!

I have no problem with any supplier cutting FAM’s to those who do not give back to the industry the way our Professional obviously have. It is a privilege, not a right. It is courtesy, not an expectation. It is a tool, not a perk. If Royal Caribbean simply took away “FAM” privileges to YTB or other Card Mills, while we certainly wouldn’t like it, it could have benefited RCCL in both sales and respectability. What RCCL did in Terminating MLM’s to even do business with YTB and Joystar did nothing more than cut their own throat.

I realize this is of little consequence to you, but Royal Caribbean will never do business with YTB again.

Never.

B. When I talk about top tier commissions. I am not talking about your fluctuating numbers. I am talking about commissions. As a “travelpro”, you ought to know that the very companies you cite (Amex, CWT, etc) negotiate commissions on behalf of their agencies. These commissions are tiered any typically begin around 12% and rise to 17% or 18%. It is up to the INDIVIDUAL agent (or agency) to support a supplier to earn a top tier commission. IE: I sell a lot of Carnival and earn 16%. I sell one HAL and I earn 12%. With your program, I earn top tier from day one. This is not fair, costly to the supplier, and deceitful when you get an RTA that has sold nothing, yet “buys” a cruise only to have the commission rebated to him.

YTB does the same thing as anyone else in the industry. We are given quotas and we’ve exceeded those quotas with every single cruise line we carry. I’m sorry you don’t like or you don’t think it’s “fair” that we benefit from the shear numbers we have, but as an “Agency” we certainly earn top commissions. I have seen those commissions rise in some cases over the years as we get bigger and “sell” more cruises.

I know you’ve been told that all we do is “buy” our own cruises to get the “rebate”. If you look at our Groups Booking page, you will find that clearly as an “Agency”, we do far more than that.

C. I talked about the lack of any customer service. Most of the RTA websites do NOT have any contact information. No phone, address, or even an email address. It is the cookie cutter site out of the $500 box. When a consumer clicks on HELP, there is a list of supplier toll free numbers. If a client calls and is asked for an IATA number, they likely will not know and the client is left stranded. But on the bottom it does say to contact the RTA. But again, with no means to do so, it is a non-offer.

My friends, family, former co-workers already have my number. My business cards and promotional flyers also have my phone number along with my web address. I’ve also found a way to embed my phone number into my booking engine right above the URL in Internet Explorer. Most of them call me in the first place and while I do book directly with suppliers, most often, I book directly off my own web site just like they can.

I was unaware that the 800 numbers on the booking engine are “Agent Only Numbers”. I honestly have not checked to verify. One of the beautiful things about our new web site is that I can write a support ticket and have the home office change this more to your liking. (And I do find that your non-offer valid.) We have made many changes to our booking engine since it’s new upgrade at the National Convention. It will continue to be a “work in progress” and is now one of the best “cookie cutter sites for $500″ I’ve ever seen.

Let’s see if I can make this happen. Deal?

D. You are soliciting clients and new members and it is a bit deceitful. I have heard (not confirmed, so please treat it as rumor and hearsay at this point) that the DSA is investigating your business practices and the adherence to their Code of Ethics.

John, please read the Press Release from the DSA.

“Each of these companies completed the one-year pending period required for full membership in the association. During this time, the marketing and business plans of applicant companies are reviewed to ensure compliance with all provisions of DSA’s Code of Ethics.”

Our application was approved on 9/18/07. Trust me…what you’ve heard is nothing more than “rumor and hearsay”.

E. Soliciting existing agents to your downlines. We dust don’t want to be a part of it. We did not get into this industry on a $500 Visa charge.

While YOU certainly don’t want any part of it, please don’t lump everyone in the Retail Travel Industry into this. You don’t know everyone in the industry, specifically the former B&M Agents on my team. While Ruth Z is not part of my team I invite you to read her comments on my Blog.

F. Your pitch to people for booking and for people to join the ranks is why let aunt Mary book someplace else when she can book with me–her favorite nephew. Well, if she does, she is NOT booking with you. You are just giving her access to Expedia (or is it Travelocity). Aunt Mary thinks that you will be handling her travels and that could not be further from the truth. When Aunt Mary runs into a problem and seeks out some help…she is SOL. See point C above.

Aunt Mary has my number and she knows that her favorite nephew will take very good care of her. While Aunt Mary does book here flights and some hotels with World Choice, she does book her River Boat Cruises with me, who I in tern contact Majestic America, or Uniworld directly to book for her. (Neither company is available from our web site.)

G. Have you ever watched any of your videos? Looked at one of your sites? How can you say there is not an emphasis on free and discounted travel? While I realize that for “YTB Sanctioned” material, there is some numeric code, how do you explain the thousands of YouTube Videos out there by YTB RTAs screaming about the discounts and free travel. Did they just make it up? Or perhaps it was told to them. It is there. Look at the sites?

Those of you in YTB or any other MLM I want you to read that quote again.

I’m sorry gang, but I have to agree with John 1000% on this issue. I can defend a lot of issues, but this right here has absolutely no defense. (Not even for me.) I not only agree with this statement but so does the home office and that’s why we came out with Approval Codes. I know exactly what he’s talking about and I am just as embarrassed as he is about some of these videos. (I kid you not, I honestly am!