Starting a Travel Agency in 2019
LEx. Group 2018.

Starting a Travel Agency in 2019

Tips on Starting a Travel Agency

There is no exclusive way to deal with opening a Travel Agency office. This is because of the way that the laws or controls can shift from barangay to barangay but basic rules do apply. Setting up as a travel agent shouldn’t be confused with being a tour operator! The difference is that a travel agent sells the holidays and packages that the tour operator organizes for them. It’s possible to set up as an independent travel agency to promote and sell these tour & packages. This is where Legends Consultancy can help you become a successful travel agent, and assist you with setting up your New travel business. Plus, with our Exclusive – One on One Travel Agents Training – Designed to teach you the right way to be a Successful Travel Agent with Front and Back Office Procedures. Offering you your very Own Flight Booking/Ticketing System where you receive 100% of Profits!

 The present market

The present market is continuing to grow, due to modern technology making it easier, more accessibility and offering cheaper rates for travel. This is seeing more and more consumers of travel. Travelers are switching back to contacting travel agents for a more personal and professional service for their travels. Most reputable travel agents are doing good business at the moment and apparently looking forward to a boom year next year. If this proves to be the case it would appear to be as good a time to start a Travel business now! Around 70% of All Travel Bookings are completed by today’s Travel Agencies, worldwide!

A career in the Travel Industry
A career in the Travel Industry

Who is it suited to?

Becoming a Travel Agent is suitable for most persons. As with any new business, there is a learning and setting up period, that all businesses go through. So commencing your new Travel Agency training with Legends Consultancy will give you that knowledge and expertise to move forward with your own travel business. Trained in all facets of the travel business, will give you a head start over others. Every business has a Front and Back office presence. LEx. will teach you about the Management and Operations of the font and back office procedures.

So your inspiration should be connected with the work and the administration you are giving, shared with your passion and hard works. Offering your Customers Great Service that has that personal, human touch!

Standards and regulations

Surprisingly, the Philippines has made it easy, to commence a new Travel business. As with all new businesses, you require a Trading Name. So what are you going to name your new travel agency?

This is a very important step in business, registering your business name. This can be done online or in person at the DTI ( Department of Trades and Industry). It will signify to the public and your peers, who you are and what you do! Make it short, simple to spell and remember with minimal colors, thus making your future Logo noticeable to everyone.

Learn more about basic Government requirements for starting a Travel Agency business – 

Step by step instructions

With Legends Consultancy, Travel Agents Training and How to Start a Travel Business, all this is revealed in your training. We go through a step by step procedure in training you on all the facets of operating a travel agency.

Training you on a One on One basis for better learning, at your pace. Preparing you to be a successful travel agent. With In-House Training, hand on exercises just like a real Travel Agency. Not just teaching you from old, outdated systems and manuals.  Every item of training by LEx. has been tested and proven to work, from our years of experiences and Faux pas. Whilst continuing to operate and manage a successful Travel Agency since 2010. There are three very important factors about having a successful Travel Agency. LEx. will share these and more in your Travel Agents Training

B2B Travel Events
Travel Events for B2B Wholesalers and Tour Operators – Your Invited!

Trade associations

Trade associations are important to the success of a travel business – but are they 100% necessary? For a beginner, this is a debatable Topic with no clear outcome. Some travel companies don’t believe in them, in the 21st Century, as your return on your investment is very little.

Others believe strongly in being represented by these associations, so the choice is basically yours – whether to join or Not join. What is actually involved where it counts – from your wallet? This is still a conflicting, and sometimes an expensive topic for the Travel Industry. As you will be paying annual Fees. which can be anything up to P10,000 per year. There is also additional Payments for functions, Events held by the Travel establishment. So the choice is really yours!

Our recommendations are, concentrate on understanding your New Travel Business first. Perfecting the Operations and Management of your travel agency. When you feel confident with your new business, start to investigate the Trade Associations that may help and assist your travel business. As always do your due diligence before spending money to improve your business.

Working from Home

It’s quite possible to start out as a travel agent from home with a desk, PC, and a telephone line. You can start to build up a client base from among friends and family so it isn’t technically difficult to get started.

Look into an area that isn’t well served already by travel agents. If you can find no obvious reason for this and there is apparently a need for your business, set up there. Alternatively, start a business that isn’t office based and that provides something of a niche service. Today’s trend is great personal Customer Service. Give your clients peace of mind when booking, ensure everything is done right the first time!

How much does it cost?

Premises: 

If you’re starting from a secondary location rather than the prime retail site, rent will obviously be reduced. As above, specialized travel services are more likely to work with you remotely. So it matters less where you’re based, and more of what can you offer your clients? All these costs are variable, depending on what you are trying to achieve. LEx. advice is to start small, Home Base essentials, build up your Clientele, than expand when the funds are readily available. It is still your business, so your choice! 

Staff: 

Although a remote – if cheaper – location may be a turn off when it comes to recruiting staff. This is not generally an industry where the staff is highly paid but there is competition to recruit good people in the first place so additional perks may work well.

Look for people who’ve worked in the industry before who’ll be attracted to the discounted holidays and offer them good working conditions. Roughly speaking, salaries are on a par with office work but as with all jobs you should expect to pay more for extra talents (such as languages) or experience.

LEx. has Consulted and advised numerous travel agents on how to improve staff productions and input into their company. Legends Consultancy for Travel is helpful for existing establishments and New Entrepreneurs.

Tourism Desyination Management by LEx.
It pays to know your Travel Business

Advertising: 

Getting your name known is as important as in any new business. Local newspapers, yellow pages, and Teletext are all good ways – although decent regular adverts aren’t cheap.

Word of mouth is effective but be aware this isn’t an industry where repeat business necessarily follows. An established client base will pass on word of your excellent service to its friends but intense competition for price means people will always shop around – even if they end up coming back to you. You will have to constantly address and re-address service, quality, and value for money and let people know about it.

In your Travel Agents Training, Legends Consultancy will assist you with competitive, inexpensive ways and more productive methods to advertise your Travel business.

Internet: 

Is an essential part of an online Travel business. The buying public has grown used to shopping around online even though it doesn’t always want to buy online. Use the internet as an additional advertising or information tool to bring people in and answer basic questions. Then offer personal service and advice for their queries.

That way both you and your potential clients save time and effort by having all information to hand when sorting out the details of the holiday are important. LEx. recommends you to have a Website!

LEx. Travel Agents Training can assist, with more details on Website design, best practices, and variable costs.

How much can you earn?

The travel industry is commission based so every time you sell a holiday for a tour operator they give you a percentage of the fee. This is where getting your name known will be important, though, as international tour operators aren’t going to offer an unknown business favorable rates. Commission varies a lot.

Striking an agreeable commission agreement will become easier once you are a member of a trade association – in fact, they’re unlikely to look at you without. Travel agents don’t give out individual commission rates for obvious reasons but there is a general idea within the industry. Once you are known, earn that Trust and Respect!

LEx. Travel Agency Training will assist you with introductions to our Tour Operators and invitations to B2B Travel Events. Giving you more opportunities to meet your own Tour Operators and offer greater packages.

Bookkeeping

Yes, we all hate it, but in any Business, it is very important and necessary to understand cash management. It is another issue of which you need to be aware. The customer will pay you a deposit  (Or pay in Full – also known as ” Book an Buy”) on their chosen holiday when they book it. The remaining amount won’t be paid until about eight weeks ( this is also variable) before the date of departure. Only then will you receive your commission from the tour operator. However good cash management in the booking season of January and February will see you better off in the summer months.

Overall you need to be aware that being independent will not yield big money initially unless you can find a niche market that pays well. If you can find a consistent market for specialist holidays to far-flung destinations this may happen sooner.

The amount you earn really does depend on a simultaneous ability to sell to customers and to strike deals with your suppliers. So at the forefront is the need for excellent customer service to all of your customers. Includes the holidaymakers and the tour operators.

Get the balance right and you might just have the ticket for success.

Tourism in Travel, How it effects Travel Agents?
Tourism in Travel, How it effects Travel Agents?

Offer choice destinations. 

Find your Niche; choose destinations you may have visited, as you have experience of what it is like, and can relate to your clients, more professionally when they ask you a question. Choose several popular destinations and new ones that have potential. When you become confident in making your own packages, combine the cost of airfare to the land cost from suppliers, then this info can be included in a Flyer for marketing.

Filipinos trends at the moment favor Asian holiday hubs such as Hong Kong, Singapore, Malaysia and Thailand because traveling to these areas isn’t that heavy on the pocket. Interest in Europe, however, has risen among Filipinos in recent years. On the other hand, foreigners in and traveling to the Philippines prefer tour packages. Trips that are bound with lush natural surroundings with attractions and activities to keep them entertained. Local regions, such as Boracay, Palawan, Bohol and Cebu—local getaways are also very popular among Pinoys.

Pick your suppliers
Try and gauge your client’s demand with your suppliers, to determine its partnerships with airlines, hotels, resorts and bus operators. “ take advantage of promo packages”. You should consider client convenience, affordability, and most importantly, profitability. But don’t let the low costs dazzle you too much because in this business, a good name goes a long way. Deal only with reputable, long-established, and experienced and trusted partners. 

Also, you shouldn’t spend too much time coordinating travel packages. Don’t forget; you have other business functions to attend to, so learn to manage your time better, to be more productive!

Make your presence felt 

Be an active participant in conferences and trade shows to broaden your network. “Sometimes, we introduce ourselves through e-mail. Mostly, we get contacts from foreign conferences and trade shows as well as through industry recommendations,”  Don’t be a picture hanging on a wall – Be yourself – Be honest – Speak up! Your Industry is one that deals with People!

 Profile your clients

Consider the profile of your clients when putting a package together. Do you have individual customers or group bookings? The bigger the group, the cheaper the rates should be. You must also know your client’s budget and from there, offer the most attractive and reasonable rates. “You should also monitor what rates the market and other travel agencies offer,”

CASH IT IN

The profitability of a travel agency largely depends on the volume of clients and the range of services it offers. The more services you provide, the more clients you are likely to attract. Start-ups can expect to earn a minimum of P20,000 a month during lean times and at least P40,000 during peak seasons. This varies greatly from person to person! In beginning be confident about what you learn and produce. Start small and grow with your new knowledge!

Income generators such as mark-ups for airline tickets and commissions from tours range from 5 to 20 percent, depending on the tour operator you are using and time spent on processing the service. If you have the machinery, offer passport and visa assistance. Some even offer help in getting authentication of official documents from the National Statistics Office. NSO-approved certificates are a usual requirements in passport and visa applications. LEx. can assist you with this. Service rates depend largely on what you are co-ordinating for your client and percentage of the price of the services rendered.

Aside from individual clients, you can also target corporations and schools for group bookings. Your Web presence makes bookings convenient for clients, but make sure to entertain other possible clients who saw your ads or were referred to you as well.

LEx. Travel Agents Training will help you better understand and Learn how to advertise and negotiate, both with clients and tour operators

LegendsTraveler ~ Keeping You Informed

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