The divorce rate in the US is still at about 50% and I suspect the "divorce rate" in travel is about the same. Are suppliers on the verge of divorcing MLM and Card Mill agencies? I think so!
Carnival Cruise Lines just filed an amendment to their 1st Quarter 2008 Earnings Estimates with the SEC a few days ago. While Carnival is grappling with fuel costs just as every other cruise line, they also listed another culprit--softness in onboard spending. From Travel Trade:
Carnival Corp. reduced its first-quarter profit estimate because of higher fuel costs and "softness" in onboard spending, according to documents the company filed Tuesday with the US Securities and Exchange Commission.Now as anyone who has been in the industry for a while knows, the amount of commission has been dwindling across all brands. The suppliers are implementing these vague "non-commissionable" fees. Carnival has seemingly led the pack in these and also in cutting the cruise fare in order to bring cruising to the masses.
There was a day when all Carnival commissions were at least three digits to the left of the decimal. Now, with the reduction of the commissionable fares and the drop in prices, many commission checks are under $100. Obviously this should be a big savings to Carnival; but is it?
The cruise lines also realize the huge importance of onboard revenue. Look at the newer ships coming online. The ports of call are becoming almost secondary when you can ice skate, box, surf, eat at Johnny Rockets, relax in a suspended hot tub, shop, dine, gamble, drink and be entertained--all on board one ship.*** The sea days are becoming more frequent, and the hours in ports are becoming shorter. All this is being done in the name of increasing onboard revenue. I know when I cruise with my three kids, I can celebrate if my tab at the end of the week is less than $1000.
So, with all the changes to hold the audience captive, one would not expect "softness". But, it is an issue with Carnival. And what does it have to do with MLM?
Sure MLM is putting people in berths on ships for Carnival, but are they the people Carnival really wants? Seems not. When you price a product so low, you do attract a less affluent crowd. I also suspect that the majority of the MLM business given to the cruise lines is for personal travel--perhaps even on discounted travel. It has been my contention that MLM attracts the downtrodden and those least able to afford a loss in exchange for the promises of riches.
I wonder if these self booking MLM folks are simply taking the cruise because it is the ONLY way they can afford to cruise when you factor in the rebate on their commission? After all, there are 142,000 RTAs and 303,000 Reps in the YTB program alone.
So those people likely do not account for a line wide softness. I know that some actually sell travel to clients. A few, but there are some. I also suspect that with 142,000 RTAs--they are not setting the proper expectation for the client. Cruises are NOT all inclusive, but I suspect that in the land of RTAs they are sold as such. So, when a client boards and is asked for a credit card, it might come as a shock. On top of it, they need to pay for booze, excursions, onboard shopping, gambling, some food, tipping, etc. For the client that is cruising for the first time, this is a shocker!
Given the premise that MLM draws from the pool of people least able to afford a loss, one wonders where the true clients they book are being pulled from. Most likely their own circle of influence (per the MLM Mantra) which is indeed filled with those least able to afford the luxury of cruising.
Are they going to come back and buy more travel? Maybe. But I bet it is not on any regular basis. Is Carnival getting a good deal here? Doubtful.
There is a fixed cost to run a ship. When they have reduced the fares below that cost and are banking on onboard revenue to make up the difference, the odds are worse than in their casinos.
In the case of YTB, they are claiming to have sold $500M in travel in 2007. I have heard that nearly 40% of that is with Carnival Cruise Lines. So Carnival has likely sold nearly a quarter billion dollars at near cost with very little chance of making it up in onboard revenue. I would love to see the OBR reports for the Birthday Bash cruise. My guess is that they are dismal and I hope that Gerry Cahill takes a look at them.
Again, MLM is likely doing a disservice to the clients. Clients are expecting one thing and the RTAs are merely selling the product with minimal knowledge or in some cases ethics all in the hopes of building the downline or earning the Director's Ring. Just go to my website. If you have a problem, call Carnival. Remember, a person at YTB assured me that Carnival sailed from Denver back in November during the sale.
Cheap is as cheap gets. Carnival is good product and it has come a long way over the years. They have been a HUGE friend to the agency community with special thanks to Vicki Freed. Travel Agents have consistently found the right client for the right ship for the right itinerary. We were more than order takers. We directed the clients to particular ships (and if it was not a CCL ship, so be it) but it was done in the interest of the client. Now it seems Carnival is content to pay 16% commission to people who merely point the client right back to Carnival.
Gerry Cahill is beginning to wake up I think; and as I said in a previous post, there will be some changes coming down this year. Carnival is discovering that the clients are pinching pennies harder than ever before and a good number of those penny pinchers are coming from the MLM pipeline!
MLM is not good for the industry and slowly, I think the suppliers are beginning to see that.
Hey, MLMers... what is the difference between a commission check from Carnival Cruise Lines and one from Crystal Cruise Lines? (tune in tomorrow for the answer)
*** This would be a RCCL ship.
John said, "It has been my contention that MLM attracts the downtrodden and those least able to afford a loss...
ReplyDeleteI wonder...MLM folks are simply taking the cruise because the ONLY way they can afford it is to get the rebate on their commission?"
MLM attracts the "downtroden"? LOL! First of all, you spelled it wrong. Second, you used the wrong word. It means: 1. tyrannized over; oppressed. 2. trodden down; trampled upon. I have yet to meet any downtrodden or oppressed folks in YTB. LOL! Maybe some other country.
What I find odd about your two statements above is this. You say those least able to afford a loss are taking cruises to get a rebate on their commission so that they can "afford" to go on a cruise? John, that's ridiculous; laughable! Who are these poor downtrodden folks? Of course, you did say it was only your contention.
It is not misspelled.
ReplyDeleteWell look at the commenter that was here a few days ago. I have fielded many emails from my original column from people that are looking into YTB because their unemployment ran out. Judging from my perceptions at the two meetings, the majority of the folks there are probably not able to afford a loss of the money they "invest".
They are looking for money and perks and will overextend themselves to cruise and take advantage of the perks.
So few succeed, but YTB stacks the deck. Meeting one was loaded with YTBers claiming they made tons of money and a director stating he makes a million or more a year. A Power Team leader claiming tens of thousands a month. If true, they are the minority, because the facts state that the average Rep earned $297 last year. The Average RTA earned who knows but if July was a banner month, I have to guess about $780.
So is it your contention that the 142,000 RTAs and 303,000 Reps are all independently wealthy and are doing this as a hobby?
John . . . your assertion that YTB primarily attracts the downtrodden is a great illustration of your lack of understanding of what motivates people to join YTB. I have a team of 600 plus RTAs. Most are middle class and quite a few upper middle class. I can only think of a handful that I would even describe as lower middle class. I can only think of two that are on unemployment and that has to do with layoffs in the mortgage industry.
ReplyDeleteMost are middle class working people. They are looking for a Plan B to go along with Plan A. They are looking for tax savings that a home business offers. No one is looking at this as their sole income outside of 10 or so that are aspiring to be fulltime within a year. And a majority have been on at least one cruise prior to joining YTB.
You missed the mark completely on this one. It must be a slow YTB "bad-news" day for you.
I could be off the mark, and you could be an anomaly. But I am thinking I am pretty close.
ReplyDeleteIt would be interesting to see some real real numbers to either support or dispute my assertation.
John said..."It is not misspelled."
ReplyDeleteYou are correct. My apologies.
"I have fielded many emails from my original column from people that are looking into YTB because their unemployment ran out. Judging from my perceptions at the two meetings, the majority of the folks there are probably not able to afford a loss of the money they "invest"."
Not able to afford a loss". Wow! What a powerless word that is; LOSS. It's the kind of negativity that keeps people from going forward. They are simply afraid to loose. Because of "loss", they are afraid to "invest" in themselves. They money is usually NOT the foremost issue here.
Allow me relate a story to you about a man who invested in himself.
I have a team of 60 in my downline. One of them lost their job, then the house, and finally the car. John, you don't get much lower then what happened to this family man. I introduced him to YTB. He was broke, in debt, but still had a credit card that he used to buy into the business with. When you are this far down, you have no where to go but up. He didn't sit around and wait for public assistance. He went to work and has outpaced me. I have to ask myself this question. If I were this same man, would I have invested my last $500 in a business opportunity? Or, would I have been afraid to "loose" it?
"They are looking for money and perks and will overextend themselves to cruise and take advantage of the perks."
There is nothing wrong with starting a business and "looking for money". But John, do you think for a moment my guy was looking for travel perks and wanted to go on a cruise? Not for a minute. I have some folks that are unemployed and in the business. Believe me, they didn't join YTB for the travel perks.
"So few succeed, but YTB stacks the deck."
John, YTB is an equal opportunity business venture. You get paid according to your effort and your worth. I'm not an experienced network marketer, but in few short months I've done quite well. Out of the 60 on my team, only 3 have dropped out. The attrition rate is normally about 30 to 33 percent if you do not work with your team members. It's not a get rich scheme. It requires much work and dedication and a desire to continue paying it forward.
"Meeting one was loaded with YTBers claiming they made tons of money and a director stating he makes a million or more a year. A Power Team leader claiming tens of thousands a month. If true, they are the minority, because the facts state that the average Rep earned $297 last year. The Average RTA earned who knows but if July was a banner month, I have to guess about $780."
"So is it your contention that the 142,000 RTAs and 303,000 Reps are all independently wealthy and are doing this as a hobby?"
Not at all. It is a natural law of the universe that only a few make the most money.
Assume there are 100 people who have $100 to split up. No one expects it to be divided perfectly evenly at $1 apiece, but everyone involved expects that some basic fairness will be used in the process that will split up the money.
Now let's say the $100 winds up being divided as follows:
1 person gets $38.10
4 people get $5.32 each
5 people get $2.30 each
10 people get $1.25 each
20 people get .60 each
20 people get .23 each
40 people get 1/2 cent each
The 40 people getting 1/2 cent each might be a bit annoyed at the person getting $38.10. The 20 people getting 23 cents each would probably not be happy with the 4 people receiving $5.32 each. And so on...
This is how our economic system has distributed the wealth in the United States. Those 100 people have the freedom of choice to decide what their income will be. The same is true for anyone in a MLM business.
So basically your team is doing this for tax reasons, perks and not to be travel agents at all? I believe thats been a major point all along. If you are not doing this for the love of the "job" then you shouldn't be doing it. Your basically doing it for the "perks" alone then..no?
ReplyDeleteI would agree with John that many people attracted to MLM as a career by the low sign-up investment and tales of great rewards are those least able to afford it. This seems true of all MLMs...it's even true of lottery ticket sales.
ReplyDeleteBut I also agree with Ole and Lisa...YTB is different because it can also attract a more affluent crowd with promises of discounts and rebates for personal travel.
That's who I believe YTB would appeal to the most...people who are already spending money on travel and are looking for travel agent discounts. YTB knows this...and that's how they present it..."Travel like an Insider".
TravelLisa said..."So basically your team is doing this for tax reasons, perks and not to be travel agents at all?"
ReplyDeleteNo. It's is not the reason, but rather the result of the business.
None of my team joined for "tax reasons".
Yes, some (not all) are interested in "perks". That is also true with traditional agents.
Are they doing this because they ALL want to be travel agents? No, of course not. I have one lady that loves to sell travel and not travel sites. Another lady just organizes group cruises. She doesn't sell travel sites. I have two that are traditional agents that enjoy selling travel and travel sites. People are free to what they want to do. Don't you just love the ability to have freedom of choice?
"I believe that’s been a major point all along. If you are not doing this for the love of the "job" then you shouldn't be doing it."
TravelLisa, I'm sure you do it for the "love of the job". But, I'm willing to bet your $75K ranks right up there in the love department. In MLM if you love the job, the money follows.
"Your basically doing it for the "perks" alone then..no?"
No. Not one perk have I received so far. Didn't join for travel perks at all.
John said..."I could be off the mark, and you could be an anomaly. But I am thinking I am pretty close.
ReplyDeleteIt would be interesting to see some real real numbers to either support or dispute my assertation."
I agree. Anyway you could get the "real numbers" report on my desk by tomorrow morning? ;>)
I do this for the love of what I do. I didn't always make the money I do now. Hell just 2 years ago I was helping an old collegue getting her home-based agency off the ground and she needed help. I was making $10/hour. I did it because I love travel. I left it for a while years ago to have my 1st child..and after a year I missed it. I went to work for a group incentive agency, and it just wasn't the same for me. Corporate travel is my forte...I enjoy it, I'm good at it, and I love dealing with people on a personal level. As a corporate agent, I don't see the "travel perks" that a leisure agent might be more privy too, and I do work from home, and I do get a little tax benefit, but I work from home to take care of my kids..not for that reason.
ReplyDeleteDoes it annoy me when people who have no concept, clue or care about this industry "dabble" in it for the perks..yes..I'm sorry it does. Because I honestly believe its going to hurt the industry in the end, instead of making it better. Maybe those who do not have the understanding of the industry do not get that...but those of us who have weathered so many storms before do. It's not jealousy...if that were the case all us TTA's would be fighting each other..were not. Its a competative industry, we all know that. Its not bitterness or hatred of change, because this industry has seen more of that then anyone.
Very nice story TravelLisa!
ReplyDeleteYou see, even you are enjoying the freedom of choice in that you are a successful, work at home, travel agent mom.
We all should strive to do what works best for us and not demand that the masses conform only to our way of thinking.
GUD4U :>)
Isn't it the "middle class" that is struggling with paying bills right now? I believe it is. At least that's what we're hearing in the news everyday - these folk who believe they deserve to have everything - including a mortgage they can't really afford - are having trouble making ends meet. If this is the group attracted to YTB as members and/or customers....well, there's trouble down the road for sure.
ReplyDeleteThe affluent do not buy based on price point - they buy based on the vacation experience and on the service they receive. They, unlike the price-point buyers, show very high levels of laoyalty to Travel Agents, dry cleaners, restaurants, etc... As a rule, they do not purchase a Carnival Cruise, though they do go on cruises with some of the Carnival partners.
Carnival is in trouble with soft revenues on board. They are going to have to look at this closely and perhaps re-brand and raise prices and not allow so many "agents" to sell them when they are basically selling it to themselves net or are in actuality rebating. First there will be a crack down on rebating and then there will be a demand that entire cruise cost is paid up front regardless of form of payment (no more paying net by Agency check).
But most worrisome of all - CCL just may go to an entirely net environment and then, no real TAs will sell the product - it will all be direct to the public. Once CCL goes net, you'd be lucky to charge a $25 per cabin service fee to an Agency - better to just sell other lines than bother with that. (But I really don't think that will happen any time soon.)
Now here's an interesting tidbit: Carnival's new VP or Sales (replacing Vikki) is Lynn Torrent - she started her travel industry career as VP for Sales of RENNAISANCE CRUISES! Does that ring a bell with anyone? The folks who first trying moving from commission to TAs to a net environment? Never mind that they failed and went under as a result - CCL is much bigger and can weather the defection of TAs. Perhaps this is no longer Lynn's philosophy - then again, perhaps it is?
ReplyDeleteWell looks like Gerry is bringin in his old friends as well. Now Granted Lynne was CEO of Costa but has relatively little experience in the travel industry compared to say Maurice!
ReplyDeleteBut her roots pre travel date to a gig with Gerry Cahill in the financial sector. Now we have Gerry, Ruben and Lynne all with the financial (not sales or industry) background.
Early in her professional career, Torrent was a senior auditor with Arthur Anderson in New York and later served as chief financial officer with Safecard Services, where she worked for Gerry Cahill who was then Safecard’s chief operating officer.
May be interesting!
This is the scenario I see. Vicki jumps ship (no pun intended). Gerry brings in all the friends.
ReplyDeleteVicki moves to save face while Carnival starts to work on dropping YTB. Vicki being the one that kept Carnival in YTB. Now with a new group of tops at Carnival, they can't blame Vicki now as Vicki has abandoned ship.
The new group of people come in and clean house and sever ties with Carnival, resulting in Vicki saying..."it wasn't me", I moved on.
Sorry typo there, sever TIES with YTb...no biggy.
ReplyDeleteJohn,
ReplyDeleteMy onboard spending is probably lower than they want too. I refuse to pay $5.00 per beer very often. I might treat myself to one or two per cruise. If the prices onboard were reasonable, I'd probably spend a lot more.
Also, the economy for the last year or so has really stunk. With the cost of gasoline way up, electricity in MD up about 80%, and other price hikes, I don't have as much spendable cash as I used to. I'm sure others feel the same way. I'll bet that has something to do with lower onboard spending.
Pegging this one on the MLM crowd is a real stretch at best. Especially since a lot of their sales have been certificated, not actual cruise berths.
If your complaing about $5 a beer, then your right, they don't want your kind. Hell, I consider myself middle class, and $5 a beer is reasonable. It costs that much in the local bars. It costs almost $10 at local sporting events.
ReplyDeleteIf your complaing about $5 a beer, you should be shamed of yourself. You don't get this stuff for free, even though I know the YTB people want it that way. Next thing they will be promoting is "join us, and you can drink for free!"
This topic is entirely off base. You know what they say about opinions, well, everyone's got one.
ReplyDeleteAgain, I am just an interested spectator in this. I want to know exactly what made a TTA decide to be a TTA rather than a teacher, doctor, lawyer, etc.
Also, to claim that all middle class people are low-lifes is rediculous. Making such a remark shows how some of the TTA's put themselves upon a pedestal, like they're better than anyone else. At one time, it was very respectable to be middle class. Now thanks to the economy, the middle class are struggling. Yeah, YTB seems to provide a great plan B. Some of the people may keep it as just a plan B. There's nothing wrong with that. Others may turn it into a Plan A.
I'm middle class. Does that mean I'm a low-life too?
Anonymous,
ReplyDeleteIts obvious you haven't followed it much at all. The problem with YTB is the failure rate. The CEOs are gobbling up those that are promised riches and quick rich scams. The middle class, the lower class are those they are preying on. Like you said, the economy sucks, so the Tomers and Crotch KNOW this is the perfect time for them to get people to join. Promise people riches and they will come!
The failure rate speaks much different.
Hey scam, it was JOHN who complained about beer being $5. Scroll up and read!
ReplyDeleteFor the record, it's not just on cruiselines where beer costs $5. Here's some other places.
Sports arena/ stadium
hotel bar/ lounge
In a way, it's that high because they use price as a control. The higher the cost of alcohol, the less of it people are going to buy.
Now, why do you think they would want to control this?
well, let's break it down:
At sports games, fans get rowdy enough without alcohol. Overdoing the drinking may... and does cause trouble at sporting events.
At Hotels, drunk guests may be likely to disturb the other guests of the hotel if they overdo it. a drunk person may also fall over a balcony or fall into the pool and drown.
Cruise-lines, Same as hotels but with another twist. Guests may fall overboard.
hmmm....
ReplyDeletePeople get into YTB and build treams... earn bonuses, 50% matches, become directors... earn more bonuses, get free health and life insurance...
And you say the Tomers are capitalizig off of them??? The Tomers are the ones paying us!
Let's compare YTB to AmWay.
ReplyDeleteAt Amway, you have to start over each month... no matter how big your downline is. The 1st of each month, you're back to square 1.
YTB, You can't go backwards. The only direction is up! Even if you lose people from your downline, your position is locked in.
Oh please, I get my drafts still for 1.25 cents a draft, so yeah, I'm with Steve.....I'd have a tough time spending 5.00 for a friggin' beer!! Someone is making entirely too much money off of it. That's ridiculous. I'll enjoy my 1.25 cent drafts (heck, they might even still be .75 for all I know). I guess I'm simply spoiled, but hey, that works for me :-) I personally don't believe in makin' the rich richer, so that's why MLM DOES NOT get me all excited. Been there done that and am no longer interested in that path!!
ReplyDeleteOh please, I get my drafts still for 1.25 cents a draft, so yeah, I'm with Vacation Stop.....I'd have a tough time spending 5.00 for a friggin' beer!! Someone is making entirely too much money off of it. That's ridiculous. I'll enjoy my 1.25 cent drafts (heck, they might even still be .75 for all I know). I guess I'm simply spoiled, but hey, that works for me :-) I personally don't believe in makin' the rich richer, so that's why MLM DOES NOT get me all excited. Been there done that and am no longer interested in that path!!
ReplyDeleteoops, sorry for the dbl post.....I tried to delete the 1st one John :(
ReplyDeleteWell, I'm not talking about your local bar or club where they have beer for less. I could get them cheasper there as well.
ReplyDeleteI'm sorry you feel that way about MLM. Were you in AmWay?
Proud--it was not me who complained about $5 beers for the record--as your advice so eloquently states--scroll up. $5 is a norm here in my market.
ReplyDeleteAnd I really don't think this discussion is on the the price of beer.
My contention is that CCL has seen a drop in OBR significant enough to effect their earnings. That is HUGE.They have gone out of their way to INCREASE it over the years--more sea days, shorter port calls, more shipping, more pressure, less commission to the salespeople on board, more pay to dine options, higher drink prices, restrictions on bringing in your own drinks, less availability of non bottled water,more expensive shore excursions, etc.
So why are the people not spending on board? It is my contention that a good number of them may not have been educated by their agent. They are just told to go to a website and all will be fine!
If YTB vaporized today, it would likely not hurt CCL in the long run. But let's look at this. YTB claims $500M in sales in 2007 and they have said a full 30% is on CCL and I tend to think it is more.
So that is $150M and the average YTB cruiser is a 4 or 5 night cruiser--so likely they are putting on between 300K and 400K passengers in a year. 8000 YTB clients are cruising in any given week. Assuming evenly spread on 22 ships that is 350 YTB clients on each ship. WIth an average capacity of 2000, YTB is accounting for 17% of the passengers. And if they are not spending..$500 but only $100--it is a 80% drop in OBR for those clients. That is HUGE.
I know that I am assuming a lot here from YTB reporting real numbers and so forth, but with the focus YTB puts on selling "certificates" and pointing people to their websites (and I also include all the other MLM folks that merely want a CLIA card and have no interest in selling travel)the client is being disserviced. I venture to say that the vast majority of the RTAs are not advising the clients properly. Some may show up at the cruise with enough pocket cash to get home and that is it! SO of course they are not going to spend.
Please don't start about the training. Sure you offer it and Anne S does her conference calls like every other BDM does all across the country. The difference is when my BDM sets it up, I have ALL of my agents listening in--well actually he comes out and it is in person but with YTB it has to be on the phone. So how many are on the average call? 1000? That is .7% of your agents.
To be fair to the cruise lines...while 5.00 beer isn't cheap that hollow pineapple full of pina colada for 7.00 was a bargain!
ReplyDeleteLOL - john you assume a lot.
ReplyDeleteA "ytb" client?
Get real . . .
I know quite a few "ytb" clients and I proudly say that I imagine they make in a month what you make in a year - probably more.
In addition - their "standards of living" certainly are way above your head I would imagine . . .
Also - where was it stated that 30% of ytb's income was derived from CCL sales?
Tom
That number has been batted around for a while and I heard it at the first YTB meetign I went to and also in email from others in YTB that they are guessing that their total cruise business is 50% and that CCL represents 30% of their business.
ReplyDeleteI do not see any TTA's saying the middle class are low-lifes. I would classify myself as middle class, living paycheck to paycheck in this horrible economy. Do I think onboard prices are a bit much..yes. Do I think that the YTB agents are advising their clients of all the misc "extras" and approx what they cost onboard..no! I think John is on the mark with that they may be gonig onboard with not enough to spend because they don't know what to expect.
ReplyDeleteTo answer the poster above...I became a travel agent because my mom was and I watched her do it all my life. She was happy, not rich, but loved what she did. I looked into it my last year of high school and went to work part time in an agency "helping". When I graduated..I went to travel school and started working full time. That was 20 years ago. To this day I still love what I do. I won't get rich doing it..and thats ok. But I don't hate going to work everyday either. Again, watching others dabble and some who disgrace the industry with their ignorance just plain pisses me off.
Hey YTBscam. That's why I don't go to sporting events very much. When I do, I don't drink. My local bars are still $5.00 - $6.00 for a pitcher of beer. I can still by cases of decent beer for $18.00. I cannot stand to pay $5.00 for a $1.50 bottle of beer. I'm sorry if you think I'm cheap, but I'd prefer to call myself "thrifty". Remember Jack Benny?
ReplyDeleteMy point was that with the economy being crappy right now, that could explain the lower onboard spending of all passengers. Whether they were booked via a real travel agent, an MLM RTA, or booked it themselves direct with the cruise line has nothing to do with it.
True. Many people are spending less because of the economy. They still want to take a vacation, but want to do it at little cost.
ReplyDeleteOne thing we do at YTB when a client wants a cruise, we search to see if there's a group cruise that has extra unfilled cabins (which would otherwise have to be sold back to the cruiseline) for the time period the client wants to travel. This not only saves the client money, but also adds extras to their cruise experience. They don't have to be a part of the group to gain this. We also ask our clients of they want to book excursions online with their cruise, because doing it that way would be cheaper than booking the excursions after boarding the ship. I make sure I do all I can do to ensure that my clients will have a great cruise experience so that they will not only return to me for future travel, but also refer others to me.
Although I deal with all sorts of travel, Cruises have become my specialty, and I am very well trained in booking them for my clients.
High valu doesn't have to mean high cost.
Yesterday, I talked to someone who booked a cruise through an agency. Today, I did a little research of my own on the cruise they booked. It turns out that the agency overcharged this person bigtime! Maybe because they wanted a bigger commission. I called this person and told her that I could have saved her $224.29 for the SAME cruise with the SAME cabin and the SAME shore excursions. I also printed out my results for her. She is going to go to the travel agency with it, and raise a little Cain.
I'm sure there was an agent fee attached, but even with that, why was the cruise still more expensive?
Can you guess who she is going to book her next cruise through?
Proud...what do you mean you "sell back" the cabins?
ReplyDeleteIf you found the cruise in a group booking, I can see you may have a lower price, and I doubt that most agencies charge fees on cruises, but you never know.
And please, are you really booking the shore excursions with the cruise lines?
John -
ReplyDeleteWe charge a "vacaation planning fee" on every single thing we do - cruise or not. It's not that much in most cases (except complicated FITs) - it's more for making a point - clients are getting the use of my intellectual property and they need to be aware of that - I'm not an "order taker", I'm actually a real Travel Agent. They pay it happily, by the way. Have never had anyone decide to go elsewhere after we have begun our consultation - they appreciate what I do. It can be complicated stuff, but it can also be as elemental as knowing that there is a "Cruise West" or "Crystal Cruises" out there.....