Recently on the Travel Weekly Crossroads Technology Forum, which I
moderate, a discussion centered on the lack of substantial content offered by many on-line
travel sellers. One person sent me a private note questioning how agents can convey the
value they deliver in a world that demands services cheap and fast, and that is all too
ready to believe that travel agents are bums.
Any service industry is about delivering value. Years ago
enlightened people observed that agents who did little more than take reservations and
print tickets would find themselves easily replaceable.
We are seeing that prediction proven true, but one should not conclude that all agents
are in the same position or that agents lack a competitive message.
In today's electronic travel world promotion and enthusiasm are everything--substance
is often taken for granted or ignored. Insane and unsustainable stock market valuations
and the predictable pronouncements from various gurus about the limitless potential of
cyberspace contribute to the view that on-line is the only real future of the travel
industry.
People appear willing to let a few fairly small businesses, most of which are
unprofitable, dictate the terms upon which the travel industry competes. Rather than
expend the energy to run their own race they are content to wear the cast-off shoes of the on-line industry by offering too little in a realm where
they can never spend enough to be effective.
As you start thinking about describing your business strengths,
whether you are an on-line or a more traditional agent, remember that most on-line
products don't receive nearly the critical attention they should. Apart from the fact that
the tools are usually functionally very limited, they require an extraordinary investment
of time and energy from the user.
The goals many software developers have set, to the extent they can be described
usually center on building an "agent in a box" rather than delivering what the
customer really wants to buy (which is not the same thing).
More seriously, many of the on-line businesses themselves are moving in the wrong
direction, as ought to be evident from their never-ending development and never quite here
profit pictures. One ought not to view either technology or market capitalization as any
reliable indicator that some of these businesses have much of a future unless they get
better in touch with commercial realities fairly quickly.
I am not questioning the future of interactive technology, nor am I saying that every
on-line travel seller will not succeed (neither of which I believe), but the tendency is
to view these companies as a block rather than as individuals that have their own
strengths and weaknesses.
Today agents are a far simpler, less intrusive, more comprehensive, more extensively
tested and proven, and convenient travel booking source than self-booking platforms. More
important, agents are able to deliver expertise and consumer advocacy that are consistent
with what customers repeatedly prove they want to buy based upon where they write their
checks.
Expensive and naive media promotions explaining why travel agents are bums
notwithstanding, this is a compelling and powerful message.
Changing this picture requires a leap of faith, which says that the on-line product in
question will deliver sufficient legitimate value over time to overcome what is a
substantial present-day operational and customer service disadvantage. Not impossible, but
far from a certainly in some cases and surely an area where both on-line products and
businesses require further development before they become the competitive powerhouses many
people believe they should be.