The proven success of YTB Travel is being featured again in the January 2008 issue of "Success from Home" magazine. This opportunity is so powerful that the editor dedicated the entire magazine to highlight Your Travel Biz! YTB is so confident about this opportunity that they now offer a $6,000 guarantee! That's right! By successfully participating in the magazine program you are now guaranteed a minimum income of $6,000. It could only take a few hours per week! For specific details on this incredible offer please fill out our form to receive your FREE Copy!
The Next Step? We will send you a FREE DVD Presentation and personally explain this opportunity to you in detail. There is no obligation so please do not hesitate! Once you see this amazing opportunity and decide to become a part of our YTB network, we will provide & assist you with the materials and support listed above.
While this seems laudable on the surface and I realize it applies to the Rep side of the business; I have to ask if YTB will be indicating that this is a paid endorsement? So, has the success really been proven again to earn the cover position? Or has the check cleared the bank again? Yes, that is right. Please see the following from the publisher of "Success At Home":
Success from Home and
Your Business at Home
Success from Home and Your Business at Home are designed to be powerful recruiting and sales tools for the network marketer. They feature your company and your distributors, complemented by powerful third-party content from best-selling authors and experts
http://www.videoplus.com/magdetails.php
Contact info can be found here: http://www.videoplus.com/contact2.php#pub
Now of course anything in the magazine is going to have a pro YTB slant--after all that is why they paid the money to have it created. But I question the integrity of the magazine (not so much YTB) for distributing this as a paid periodical that does not clearly indicate that it is entirely sponsored by the advertisers. Will there be any realistic angles presented? Or will it be the same success stories from the highest squatters on the pyramid again?
As to the $6000 guarantee, well that is a topic for another day.
I don't see anthing wrong with what you or the magazine are saying. This is the first time I've seen a network marketing company featured more then once.
ReplyDeleteI am not sure I understand your comment. But if this was Entrepreneur Magazine, or Forbes, or US News, or Businessweek, or any of the smaller legitimate periodicals, I would say it is great news.
ReplyDeleteI think it is deceptive. I have seen the magazine and it appears very newsworthy on the surface and it is difficult to find that it is indeed sponsored.
When people pay for a magazine, there is an expectation of some journalistic credibility. I don;t see it here, and (again not faulting YTB here) they are promoting this as if it is a news magazine.
Sort of like an infomercial!
I was given this magazine by a YTB rep who came into my office. I didn't have time to talk to her given I was expecting a client coming in to finalize a group cruise, but from what I read, YTB is two companies. YTB Travel Network is the travel agency and not a MLM company. It sells travel both online and offline through outside referring travel agents (RTAs). The RTAs are paid 60% of the agency commissions. However, YourTravelBiz.com, a sister company (it appears), is a marketing company, call it MLM, network or relationship. YTB Travel Network pays YourTravelBiz a commission to find its RTAs. YourTravelBiz pays that commission out through a tiered MLM type pay plan. While some companies spend millions on media advertising to find customers YTB uses Network Marketing an alternative method of finding customers, using word of mouth instead of mass media.
ReplyDelete- Tina M.
Thanks for the news flash
ReplyDeleteUh, anonymous -
ReplyDeleteLet's see, YTB paid the magazine to produce both YTB issues so that they would have it as a marketing tool. It is not an independent magazine where their "journalists" have researched and then selected businesses to feature - it is a PAID ADVWERTISEMENT....
To find out how SFH Magazine is put together, contact them at the following addresses below to do your own research:
ReplyDeleteDirect Support
1-800-345-1610
www.tapesandtools.com
support@videoplus.com
Publishing
1-877-282-5354
fax 940-497-9987
Editor in Chief - Deborah Heisz - dheisz@videoplus.com
Managing Editor - Todd Eliason - teliason@videoplus.com
Creative Director - Carl Waters - cwaters@videoplus.com
to advertise - advertise@videoplus.com
Regardless of how it's written, SFH has been proven to be an effective business tool for all home based businesses.
As for the $6,000.00 Guarantee...
This is not a new concept. YTB has done this with the 1st magazine (Jan 2007) issue. Use of the magazine according to the format laid out to qualify for the $6,000.00 Guarantee is OPTIONAL. This means that if you don't want to do it, you don't have to. YTB has NEVER had to pay out $6,000.00 to anyone who used the magazine program. Why? Because it works!
What also works is what I do. Of course, it didn't qualify me for the $6,000.00 Guarantee, but I have always been confident of my own "selling" capabilities. I have 5... count them 5 copies od the Jan2007 edition. I lend out 4 of the magazines to people who show interest in the company and want to know more (after I show them some details of my "master copy"... the one I don't lend out).
Keep in mind that as I stated before, I don't go out looking to recruit anymore. I go out to build up my clientele... and I've been quite successful in doing so. If I do encounter a client who becomes interested in joining YTB, I won't turn him / her away. I will share the opportunity. To be honest, I have 2 clients actually join. There's nothing wrong with that. They saw the business, and it made sense to them.
This is what it boils down to. YTB is not a get rich quick thing. Business people know that any... ANY business takes a lot of work to become successful. If people see that YTB makes business sense, they join. If they dont... they don't. If someone who joins YTB work hard, it will make them money. If they don't work hard, they will make nothing and possibly give up because they thought it would be easy. Nothing in life is easy... not even YTB!!! Whether it is recruiting or building up a clientele, the YTB agents who are in the business are focused on the business and go out there day in and day out, working hard to not just make a living... but to biuild a future for not only themselves,but for their children and grandchildren (for YTB's compensation plan is willable 3 generational).
John said, "When people pay for a magazine, there is an expectation of some journalistic credibility."
ReplyDeleteI would say the 1/07 issue displayed journalistic credibility from an article written by multimillionaire Robert Kiyosaki.
Not many people will go into Barnes & Noble and pay for this magazine unless they have attached some value to it.
"I don;t see it here, and (again not faulting YTB here) they are promoting this as if it is a news magazine."
I'm looking at the magazine right now and cannot find were it purports to be a "news magazine". I see it as simply a very clever informational marketing tool.
"Sort of like an infomercial!"
You got it, and a very respectable one at that. Aside from any featured company, the quality of Success From Home is par excellence.
It is a great marketing tool. No question. But when the YTB site talks aboiut how YTB was selected to appear on the cover AGAIN---it pushes the envelope.
ReplyDeleteANd when marketing to prospects or clients, SFH certainly does not have the panache that it would had it been in National Geographic Traveler, Smart Money, Forbes, etc
CTA in MD said...
ReplyDelete"Let's see, YTB paid the magazine to produce both YTB issues so that they would have it as a marketing tool."
WOW CTA, DID YOU FIGURE THAT ONE OUT ALL BY YOURSELF?
"It is not an independent magazine where their "journalists" have researched and then selected businesses to feature - it is a PAID ADVWERTISEMENT...."
CTA YOU GO GIRL! YOUR TWO FOR TWO!!! BTW, it's spelled, A-D-V-E-R-T-I-S-E-M-E-N-T.
John said, "But when the YTB site talks about how YTB was SELECTED to appear on the cover AGAIN---it pushes the envelope."
ReplyDeleteI would agree if that were the case John. But, you are wrong in saying "YTB was SELECTED". That's not at all what you first reported. You said, ""Success From Home" is a magazine that FEATURED YTB last year and it appears that they will be FEATURED yet again in January 2008."
Clearly YTB did not say they were "SELECTED". They said, "The proven success of YTB Travel is being FEATURED again in the January 2008 issue". That's not even close to "pushing the envelope".
I would think a respectable travel "journalist", like yourself, would be ever so careful about how he quotes a company or magazine. As you are aware, the two words (selected/featured) have very different meanings.
"ANd when marketing to prospects or clients, SFH certainly does not have the panache that it would had it been in National Geographic Traveler, Smart Money, Forbes, etc"
Panache? Why do you throw such stones John? Are you featured in those magazines? SFH has plenty of style and flair or they would not be sold at major book stores.
It's also possible YTB could be featured in those other magazines at some time in the future.
SFH is handed out at meetings as if it WERE a copy of Forbes...just a casual mention asking if anyone happened to see it...there's no mention that it's a paid YTB recruiting tool. The only disclaimer is a small notice on page 5 that says these stories are about top earners, that superior earning potential is in recruiting and NOT in selling travel and that no average income has been established for recruiters or RTAs. Well, they're NEVER going to publish that...the average income has been established here.
ReplyDeleteAt best this magazine is pretty slick and kinda slimy...just like talking your friends into ponying up $500 for a webpage that you know isn't going to make them any money...of course, you can always justify it to yourself...it's because they didn't work hard enough.
OK you are right. The proven success is being featured again.....very similar.
ReplyDeleteAS to the other magazines---as to the other magazines, not on the cover but yes, my agency has been featured in many of them
John said, "...I question the integrity of the magazine (not so much YTB) for distributing this as a paid periodical that does not clearly indicate that it is entirely sponsored by the advertisers."
ReplyDeleteJohn, have you ever looked at Success From Home. Doesn't sound like it. YTB is NOT an advertiser or sponsor. Here is a list of the companies that placed ads in the 1/07 issue. It's no secret who the "advertisers" are.
US Postal Service
Air Tran
Hilton Hawaiian Village
Renaissance
Crown Plaza
Dell Computers
The Company Corporation
Make A Wish Foundation
Carnival Cruises
Barnes & Noble
Comp USA
Southwest Air
American Red Cross
John said, "Will there be any realistic angles presented?"
Sure. Again from the 1/07 issue:
Trends in Travel - Hot Destinations
Focus On The Big Picture - John C. Maxwell
What To Know Before You Quit Your Job - Robert Kiyosaki
Become The Person You Want To Be - Les Brown
The Ease Of Booking Online -
John said, "Or will it be the same success stories from the highest squatters on the pyramid again?"
John, something your missing here. People love to hear about success stories. It's part of the American Dream. Please don't discount people who are successful or the dream itself.
"Dream" is a good choice of words...the other ads (no doubt sold cheaply) definitely help sell the look that this is a legit mag.
ReplyDeleteBut I'm willing to be fair and wait for the next YTB issue...I want to see how they cover the loss of IATA, RCL and others. SFH reporters are probably getting both sides of the story right now...
They're not getting any story. They are not actually "journalists" they are PR Professionals. They are paid to write copy from the point of view of the "feature" that is paying for it. I would be very suprised if there is more than two sentences in the "Mag" about either IATA or RCCL.
ReplyDeleteOh, I know....I just don't know how to translate sarcasm to type. I actually expect to see an article on how RCL was holding them back...and now they can really grow.
ReplyDeleteThat wasn't being sarcastic.
The rag does have advertisements. Your right but they don't pay as much as the "self featured stories". Those that think this magazine isn't aid for by the stories within, better read up on it better.
ReplyDeleteOf course there are advertisers in the magazine. Most have them.
iontop -
ReplyDeletethat is very funny!!!!
Not knowing it as fact, but knowing what I know in regards to deadlines for one national and one local area magazines I advertise in, SFH was probably already in print when the RCCI news broke on the wire.
ReplyDeleteFrom what the Travel Trade article reports in it's interview with one of their Execs (Kim Sorenson), he was explicitly asked "Has the RCCL decision impacted YTB?"
His response was "Yes, it has impacted YTB. It has been a distraction. It has caused a few to lose confidence. Our sales haven't dropped though, in fact we had a very strong November. RCCL had three booths purchased for our trade show in Orlando and they sponsored our golf tournament.
He goes on to say "They had more brochures shipped in than any other vendor and then they just didn't show up. When we got home, we had a letter from Lisa Bauer. I wrote her and asked for a meeting and she didn't even respond. After a 6-year relationship, millions in business and a lot of positive agency recognition for our growth, you would think we would at least get a phone call. They have stated that they don't like our business model and I can't change that. I am certain, though, that we will sell more cruises in 2008 than we did in 2007. There are many other great cruise lines."
Sounds to me like he recognized and admitted the impact, but will work to get through it as most businesses would.
Tina M.
YTB will work thru it as they have no choice. But I hav never heard of a host ordering brochures when the agents are all over the country. But I also heard YTB sells the brochures too so maybe that explains it.
ReplyDeleteAnd using brochures to measure how good of a custoimer they ar eseems a bit odd to me
Yes. They do have a choice William. It's comments like that (i.e. they have no choice) who seems make up a large portion of those that do not like YTB (or MLM in general). They have very little business acumen, truly do not understand it, can't read a P&L, nor have any idea of what goes into even getting listed on any stock market. It's not that William is not smart or anything degrading whatsoever...it's just a matter of knowledge and understanding.
ReplyDeleteThere is an option: the marketing company (YourTravelBiz) could shut down and YTB could operate only the travel business (YTB Travel), make all RTAs merely affiliates and pay travel commissions through affiliate sites and resort to normal print and online advertising like Expedia, Orbitz, etc.
YourTravelBiz makes up only a portion of their portfolio and can close while remaining publicly traded. Would there be turmoil amongst stockholders?...Probably so given I would venture to say many are actual YTB Reps. But that isn't any different than the public companies you hear on the evening news that close various divisions due loss in revenue, lawsuits, or other circumstance. They also have shareholders (a.k.a. employees) who own stock probably both outright and/or through their 401k.
Example: Although they were not public, does anyone recall what happened to BurnLounge who licensed music stores (similar to iTunes) via MLM? When pressured by the FTC a deal was made and to stay in business they immediately dropped MLM whereby all website owners became affiliates.
This is why many business analysts say YTB is unlike other MLMs who market potions, lotions, and other high mark up products/services. There's no other product/service like travel especially when YTB can distributed it to a mass consumer market at the same competitive price as other online retailers.
Other MLMs, even many who manufacture their own products, don't have the option shut down the MLM side and continue to operate the product side. Reason is that the MLM downlines are the majority of product consumers. There's no other immediate distribution option for the company to use especially at their price point. Even if they had the time to put a traditional marketing and distribution plan together, Wal-Mart and other retailers probably wouldn't give them the shelf space because shoppers won't buy it.
I'm sure if YTB closed the MLM side, their travel sales would drop as a good portion of sales are probably self-purchases by RTAs. However, given how Internet travelers shop (YTB primary target market), it would probably only take a SuperBowl commercial to regain (if not outgain) the personal sales of those RTAs.
- Tina M.
Tina's right. It's that knowledge that separates many Travel Agents from Travel Agency owners and employees from business owners.
ReplyDeletePlease do not allude that I am unaware of what I speak. I was saying that RCCL holds the cards and YTB has no choice but to play the hand they are dealt.
ReplyDeleteYou talk about a SuperBowl ad. How do you get that business? I cannot go to YTB.com and fin d a YTB person to book my travel. The sites are so fractured. If you google the word "travel", YTB does not show up until the 500+ result and at that point it is the corporate site. My sites (I have 4 that compliment my BM locations)all come up withing the first 300 results. So, with a SuperBowl ad, how does that work?
William, I apologize I honestly wasn't trying to insult your intelligence. But surely you don't would agree RCCI was not YTBs only preferred supplier? I acknowledge that loosing RCCI was a shock to YTB...which one of the Execs went on record saying the same.
ReplyDeleteSo, if YTB played the hand they were dealt, what did they show? It showed they don't cash in and leave the table just because they were dealt a bad hand, they can compete with the others who use a similar MLM model (thus far...time will tell), and they have many preferred suppliers as most consortia do...about 30 they concentrate on. RCCI is big, I admit...but they're not the only gambler in town; nor is YTB.
Again, it's clear your comments are made without first understanding the businesses and models through which YTB operates. Where did you get the idea that you go to YTB.com to book travel? It wasn't from an RTA and/or REP. Understand the marketing model and you'll understand how you can be invited to book travel through an RTAs website. Understanding the marketing model will also answer your questions as to why there's not many RTAs who market (both travel and website sales) via Google Adwords, Overture, or focus on organic Search Engine Optimization.
And, being with one of the largest television media distributers in the world where I'm involved with the management of online and offline marketing for several Fortune 1000 clients, I will be glad to answer your question as to how a SuperBowl commercial works. I'm sure Bob Parsons and Barry Dillar's could attest as well.
The answer: Should YTB elect to do away with MLM and go the traditional media marketing route as many in the online travel industry, I believe they would (with the guidance and brokering provided by their marketing firm) follow in the footsteps of moguls like Bob Parsons and Barry Diller, both whom could attest to the success of such marketing strategies.
In 2006, Super Bowl advertisers saw an impressive 55 percent increase in their Web traffic on the day after the big game, from 7.9 million unique visitors on Super Bowl Sunday to 12.1 million on Monday. So, who got the most hits? I'm glad you asked.
Fidelity Investments was the fastest growing Web site day over day, increasing 203%.
Overstock.com ranked No. 2 with a 145% increase, and Expedia rounded out the top three, growing 141% from Sunday to Monday.
Oh, and Mr. Parsons, he came in 4th with a 71% increase (GoDaddy.com - my choice for favorite commercial)
So, Barry Dillar (Expedia.com) invested approx. $2.6 Million for a 30-second Super Bowl spot. Was it worth the return on investment. Given their current market cap of over 9.5 Billion...I would say so.
"ANd when marketing to prospects or clients, SFH certainly does not have the panache that it would had it been in National Geographic Traveler, Smart Money, Forbes, etc"
ReplyDeleteThat day is a-comin'.
http://money.cnn.com:80/news/newsfeeds/articles/prnewswire/NEW09312122007-1.htm
What, is YTB trying to sell travel or something?
I was not saying that you go to ytb.com to book. I am aware of how the system works. I was saying that if you do an internet search for "travel" the FIRST occurance of YTB comes up at 500+ results and THAT occurance is the main site. On the main site, I can only watch the videos and learn. I cannot link to a RTA near me, there is no way to contact anyone other than YTB for buying into the program. SO if you sell travel and are the biggest online travel agency, I would think you would place a little higher than my small businesses. When people surf the net for you they are not going to page through 500 results--they are going to stop at something on the first page and typically without scrolling. YTB Fails this in all instances.
ReplyDeleteNow, search for "MLM" and unfortunately "scam travel" ad YTB is all over that. I am sure Barry Diller does not embrace this model.
Proudtobe YTB. THe day may come, but till then, I imagine you will need to rely on paid endorsements the varied stories of success that the members of YTB tell everyone. I read on another blog that there is a woman in California that is not a Rep only an RTA and she is making 6 figures (I assume without the decimal point) in travel commissions from YTB. Based on all I have seen, I doubt that. She claims to be there less than a year is noit a director--yet the travel trade interview with Ken S highlighted some agents making $1000 a month. I woulkd think that given the opportunity (and if it were true) that the travel trade interview would have been a perfect time to say that here are some part time people making X but to show what can be accomplished, here is a lady in california not selling business ops but selling travel and she is making 100,000+ so far in less than a year. Coming from him it might have soem credibility, but it did not, so that in essence sort of eliminates all credibility from the lady in California...and really all of these folks that claim to be making so much money. If given the chance, why not highlight your producerrs? Are there any?
Proud--
ReplyDeleteThat is NOT a CNN report. It is a feed from the PR Newswire that is reposted. Word for word the release YTB sent out.
If you are not familiar, PR Newswire is a pay for distribution service. If you do not have the contacts, or need additional distribution, you pay these guys and they will accept your press releases (pending they comply with their TOS) and then distribute it accordingly. IF I wanted to pay the fee, I could put a release right up there with YTB. Now show me the column that CNN did online about YTB or the piece they did on CATV and we will talk.
"...success stories from the highest squatters on the pyramid..."
ReplyDeleteSo I guess you would consider Fred Deluca one of these squatters? You can buy into a Subway franchise for $12,000 and pay 8% of the gross, after you have leased retail space, obtained all necessary licenses and permits, and hired employees that have no vested interest in your business, and be willing to work 90+ hours per week. A franchisee can have as many stores as he wants, but would have to incur the same pre-opening and ongoing expenses for each one, and somehow be able duplicate him/herself to run each store. Subway has over 21,000 stores in the US (yes, more than McDonalds), so I'm sure Mr. Deluca is squattin' happy, too.
At least with YTB, you can start a business for $500, get others to get in the same business with you, and make a 50% match and 10% override on their production, with no additional monetary investment.
"IF I wanted to pay the fee, I could put a release right up there with YTB."
ReplyDeleteSo what you're saying is that you could put up a release that headlines "Travels with Fred Partners with Shanghai Spring International Travel Service for Exclusive 2008 Olympic Tour Packages"? Or can you only put up facts/truth?
(psst...this might be an opportunity to give credit where credit is due. Don't miss it. It'll help your credibility.)
I will take your word on the number of locations, initial investment, etc.
ReplyDeleteA franchise is totally different. Are you saying that YTB is a franchise? Be very careful before you answer that one!
But here is the difference. Subway manufactures and sells a product. You are a middle man for a product (RTA), and are selling a cloned website and earning money off the "investment" of other's under you. (Reps)
If I own a Subway, I am responsible for my own income. I do not earn any more when another Subway opens (unless I open it myself). Subway is a proven successful business. YTB is still trying (in the words of your CEO) to legitimize itself. When you invest yoru money in a Subway and if it does not work out, you likely still have something of value to regroup and start over. Close the sub shop and open a tanning salon or a Chinese take out.
A franchise charges an initial fee to teach you their program. Some charge a flat fee (Carlson comes to mind) and others charge a royalty of sales to continue to support the program and continue with education. Where does that come out in the YTB model?
Watch Us Grow--I am not sure if PR Newswire does fact checking. I imagine they do not. But it makes no sense to lie as with the distribution you will likely get caught.
ReplyDeleteIt is a legitimate means of getting news out. It is a great tool to make sure good news offsets bad news.
SOmeone wanted to show me that CNN is "covering" YTB and I pointed out that it is false. They are merely taking a feed from PR News. I could put a release out that saying "TWF To Be Taking 1200 Harry Potter Fans to UK in the Summer of 2008" and it would be right there on CNN next to YTB.
Good luck with the package.
I wasn't saying that the CNNMoney bit was an example. What I was saying is that a development like the one released will draw the attention of the magazines you mentioned, and others. I think it's quite a coup, and will certainly help to 'legitimize' YTB -- and what I think Kim Sorensen meant by that was in the eyes of the consumer and the industry. They are a legitimate company by any and all legal standards.
ReplyDeleteYTB does not fall into the franchise category because the sign-up fee is less than $500, but it does have many franchise-like features.
ReplyDelete"A franchise charges an initial fee to teach you their program. Some charge a flat fee (Carlson comes to mind) and others charge a royalty of sales to continue to support the program and continue with education. Where does that come out in the YTB model?
TYB: $149 for certification -- teaches the program, and is refunded if you sponsor 3 RTAs who get certified.
YTB: 30% of paid commissions to continue to support the program and the company
YTB: Small fee for continuing education available in the back office (designed by Marc Mancini, the guy who does the CLIA program) -- most other continuing education is free (i.e. regularly scheduled conference calls with vendors)
I wasn't saying that the CNNMoney bit was an example. What I was saying is that a development like the one released will draw the attention of the magazines you mentioned, and others. I think it's quite a coup, and will certainly help to 'legitimize' YTB -- and what I think Kim Sorensen meant by that was in the eyes of the consumer and the industry. They are a legitimate company by any and all legal standards.
ReplyDeleteFirst off, anyone can organize a group as you know. Most franchises and consortia do buy group space and sell into it. The difference is that YTB thinks they can harness the power os 130,000 to sell it. I am doubtful, but time will tell.
And as far as the legitimizing the concept--you are dead on...you need to legitimize it to the industry and the consumers. Without them, all you have is a paid in full mansion on the hill overlooking the Mississippi.
"The difference is that YTB thinks they can harness the power os 130,000 to sell it. I am doubtful, but time will tell."
ReplyDeleteYou're right -- it will be quite a challenge, and time will tell.
How many Reps and RTAs are personally planning on going?
ReplyDeleteSee with 130,000 RTAs and who knows how many Reps, you can not sell a single package to the public and proclaim it a success.
Sort of like the birthday bash on the cruise. Completely self booked personal travel.
"William said: When people surf the net for you they are not going to page through 500 results--they are going to stop at something on the first page and typically without scrolling. YTB Fails this in all instances."
ReplyDeleteDoes this mean that you fail as well? Considering you have 4 websites that don't show up until the 300s. It seems as though you still don't understand the model, as they refer people to their websites. Refer, as in word of mouth marketing. While not the best form of marketing, eventually it CAN come around.
If I was an internet only agency you are darned right I failed. But as I said they compliment my business--they are NOT my business. See the difference?
ReplyDeleteAnd I know all about referring your friends and family, but that is a very limited pond in which to fish isn't it? The average family takes less than two trips per year. With an average cost of just under $3000 per trip--so they are spending $5000 on travel per year. As a RTA you know say (on the high end) 1000 people that you refer to your website. Right off the bat, I bet 25% are not interested in travel, booking online, or switchihng from the way they do it now. I bet that another 30% are just not comfortable booking with you but are not going to tell you that for various reasons. So now you have 450 people that MAY book online with you. Using the average again, it is $225K in sales. $22.5K in commissions to YTB. $13.5K in commissions to you. ANd I think I am very generous in my estimation of numbers.
THe point is that you are going to eventually need to rely on something more than word of mouth to sustain and grow the business. And you don't have anything else. I cannot find your site on google, yahoo, etc.
For crying out loud, if I had a web business and the desire to spend as little as possible to market it, I would register with Blogger and make sure my link was in every one of my comments here.
Williams still doesn't get it. He thinks YTB trys to sell travel through it's retailers' websites via Search Engine Optimization. It's not YTB's business model sell travel by advertising using that strategy or the medium of the Internet. Booking travel is by invitation only on a RTAs website. Sooner or later you'll be approached by a YTB Rep who will offer you the opportunity.
ReplyDeleteI don't think there's anyway to logically explain so that William understands that by owning an online YTB travel website as a home-based business those families he references who spend $3000 per year on trave/vacation saves on their own travel instead of booking it through a B&M or other online retailer.
ReplyDeleteSo--are we saying that the purpose, intent of owning a site is to book your own travel? ANd not market it to others outside your immediate family?
ReplyDeleteJohn...William said 1000. That's not immediate family.
ReplyDeleteWilliam...Booking on a RTAs website is an option. You're example of 1000 way out of the park for most YTBers. So what, by your example, that a small percentage of the 1000 they refer actually choose to book on it or not. It's giving the consumer who buys online a choice in the marketplace. YTB isn't going to always be the least expensive online retail seller of travel.
I would bet that their immediate family and friends would probably use them...actually, they'll probably end up buying their own YTB store. As long as the family's savings outweigh the cost of doing business, it makes sense to keep more of what your earn.
YTB a family only booking website???
ReplyDeleteIf that's the case, i must be the exception, for aside from family bookings, i also have neighbors, doctors, CPAs, car salespeople, a lawyer, and yes... gas station attendants, waitresses, etc. coming to me for their travel needs. It's called word of mouth advertizement. If done right, people will come to do business with you.
But Proud, what Jamal is describing is exactly what is happening. And what we have been trying to get across. Exceptions like you keep coming on and saying we are wrong, but the numbers show exactly that. People are buying the websites to save money on their own travel and that is NOT what the suppliers want to see...
ReplyDeleteFirst of all, for William:
ReplyDeleteWhen a client has a business card of a YTB RTA in his/her posession, there will be absolutely NO need to do a web search for the travel website. All they will have to do is type in the URL and... BINGO!
Now for Ann,
YTB realizes this and are taking steps to enforce it. YTB is implementing that an RTA must earn said amount of dollars in commissions before they can earn their credentials.
Also, I pointed out before that the FAM trips are NOT appointed by YTB, but instead appointed to YTB and their RTAs by the vendors. If the vendors are getting upset, they can easily retract those FAM trips. Besides, the vendors receive kickbacks for offering those FAM trips, so I really don't buy too much of the complaining bit. How many YTB agents actually went on the Pirello Tours? Why does Carnival Cruise Lines love YTB if YTB is booking FAM trips on them?
My take... and yes, it's my opinion...
RCCL backed out because they don't want to do business with a MLM company. Pirello Tours picked up on this news and came up with an excuse that YTB are only booking FAM trips through them. I have 2 questions...
Where is the proof?
Why didn't Pirello Tours just retract the FAM trips from YTB?
Here's something you evidently didn't know. most FAM trips do not make vendors lose a substancial amount of money if promoted properly. When a FAM trip is taken, commissions are NOT paid! That would be "double dipping". A lot of FAM trips do balance out to or come close to the retail cost minus the commissions.
Notes on Reduced Rate Travel
At YTB, TRAVEL is our BUSINESS!
Our business objective is to sell and support an efficient, functional, and profitable online travel business to independent sales people.
Accompanying the YTB Travel Network RTA business opportunity and its focus on travel sales, under some guidelines there are discount travel opportunities.
A word about discounted travel and FAM trips: Many vendors in the industry provide discounted travel to qualified travel agents. The reason they do this is to FAMiliarize the agent with their property, products and services, thereby promoting full-fare customer bookings. This is a successful marketing strategy by the vendor, intended to generate new business for them. And it’s a privilege for the travel agent to be able to take advantage of these courtesies.
In regard to an RTA taking advantage of various cruise lines’ offers for discounted travel, YTB has set forth the following guidelines:
Upon joining YTB and obtaining your CLIA card, and even before your first cruise booking ever occurs, you may take a FAM trip. The cruise lines would love for you to take a FAM cruise and enjoy their services in anticipation of that experience leading to sales.
Then, book only two cruises (two cabins) at regular fare for your customers (on any cruise line) and you’ll be qualified to take another discounted cruise.
Some travel vendors might enforce additional booking requirements that are stricter than YTB’s, and YTB will honor those requirements. (Example: In order to book a discount cruise on Princess Cruise Lines you must have sold a minimum of FOUR (4) regular rate cabins on that cruise line. Holland America requires a minimum of FIVE (5) previous bookings of regular rate cabins to qualify.) All future reduced rate cabins on Princess Cruise Lines will require 4 additional regular rate cabins while Holland America will require 5 additional cabins on the respective cruise line
FAM trips are designed for the RTA and spouse/guest, and not children. These trips are to FAMiliarize yourself with that resort, cruise ship, etc. You must attend any tours or meetings that are required for RTA’s to receive that FAM Trip rate.
Notice the last statement as it reads, "Some travel vendors might enforce additional booking requirements that are stricter than YTB’s, and YTB will honor those requirements."
Pirello had every opportunity to enforce the guidelines if FAM trips were indeed an issue.