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The travel agent is not dying

  • Published by Ozgur Tore

travel agent

A recent research shows that what is known as “The Internet killed the travel agent” is not true. The travel agent is not dying as well. In 2014, 18 percent of American travelers used traditional travel agents compared to 12 percent in 2013.

Tech savvy millennials could easily use online travel aggregators, such as Expedia or Priceline, to book a leisure trip, but they’re choosing to use travel agents instead. In 2014, 28 percent of millennials used a traditional travel agent, compared to only 13 percent of Baby Boomers (ages 50 to 65) and 15 percent of Generation X (ages 36 to 49).

Baby Boomers, on the other hand, aren’t leery of using online travel tools because they’re repeating past travel experiences, such as returning to the same hotel or a place they’ve previously visited. They’re a more seasoned traveler and don’t need a travel agent to guide them through decisions.

These are the results of a recent study by MMGY Global, a Kansas City-based travel and hospitality marketing firm.

Clayton Reid, CEO of MMGY Global, said, “One of the most counter intuitive facts that comes out of our research is that millennials are actually using traditional travel agents at a higher rate than a lot of age groups.”

MMGY doesn’t see the trend toward travel agents ending anytime soon. In fact, the resurgence of travel agents made MMGY’s top 10 list of travel trends for 2015. One reason is travel agencies have perfected what they do best.

In the 1990s when online travel aggregators gained traction, a number of travel agencies either went out of business or began focusing on a niche, such as focusing solely on the cruise industry or trips to Europe. Travel agencies became specialists in the industry, which made them stronger, Reid said.

“They essentially became more valuable to the people who might use them because they were forced to become better at what they do,” he said.

MMGY’s research found that those who booked a leisure trip through a travel agent within the last year were more satisfied with their overall trip than those who booked through online third parties, such as Orbitz. In addition, three out of four leisure travelers said travel agents are in the best position to make recommendations for their travel.

“We’re seeing very high satisfaction levels with using a travel agent, which helps build momentum,” Reid said. “People have said they’ll go back and use a travel agent again because it’s making their trip better.”

Source: Kansas City Business Journal

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