ACTA President Reflects On His Tenure
by Chris Ryall /As we reported late last week, ACTA President and COO David McCaig announced his plan to retire from the organization on Aug. 31.
McCaig, who has been on leave since Aug. 5, has worked in the travel industry for more than 30 years. He joined ACTA in 2001 as the regional manager of ACTA British Columbia and Yukon before being promoted to vice-president and general manager for Canada in 2003. In 2008 McCaig become ACTA’s president and COO.
McCaig spoke with Travel Market Report about his reasons for leaving ACTA, the challenges and successes he has had while heading the organization and the changes he’s witnessed in the industry.
Why did you decide to resign at this time?
McCaig: It was a combination of several things. I’ve had health issues and as you well can understand, being the president of ACTA is a high pressure job that was not necessarily good in the long run for my health condition.
As well, my parents are both very sick, needing my love and attention. So, even though I loved my time at ACTA, it was the right time for me to retire.
How have you seen the industry change during your tenure—both for good and for bad?
McCaig: I consider the development of host agencies and independent contractors to be the most significant good change. The other really good thing is that agency owners have survived, “The end of the earth due to the internet,” while at the same time they have grown much larger by mergers and closures of those that left the business.
I believe the number one most significant issue is the downward spiral of commission and/or return on an agency owner investment. The margins as they are today are extremely low for most as the supply chain continues to be under severe “yield” pressure of their products.
What challenges did you face when you took over at ACTA? And what challenges do you now see in the industry?
McCaig: The most significant challenge was the deficit position that ACTA was in at that time. I am very proud that the ACTA deficit—with the help of ACTA Board Members and staff—was finally eliminated in the financial year of 2013 showing a small profit that year and continuing profit in 2014.
The most important challenge today is that agency owners/agents will continue to “own their client.” It is critically important to make sure that their client will always receive quotes from a number of sources that are transparent, competitive and frankly give the client through their travel agent the choice to decide how and where they would like to go.
How many members did ACTA have when you took over—and how many are there now?
McCaig: Agencies are now significantly bigger and growing every day. What was most important to me was the number of travel professionals that ACTA represented per agency because they are the ones that sell the products and services.
As little as six to seven years ago the average ACTA agency member had an average of just over four agents per location. Today, the figures show an average of over 10 professionals per location.
What would you say are the three top successes you achieved at ACTA?
McCaig: All successes come from the combined leadership of ACTA board members and staff.
In no particular order I believe the following were significant in the entire picture:
1. ACTA continues to be well respected by the industry including not only the agency community but by the entire supply chain.
2. The elimination of the deficit with the hard work of a great team of staff at ACTA
3. The Board involvement and approval of the very successful absorption of CITC into ACTA helping to make the industry more professional at every level.
What are you most proud of; what gave you the most satisfaction during your leadership of ACTA?
McCaig: That one is easy to answer. I just loved winning small or big battles for the retail membership of ACTA who turned to our association for help in some pretty dire situations.
You tried to forge a closer relationship with ASTA; do you think that effort will continue?
McCaig: Our relationship with ASTA has been excellent. Canada is part of the major North American market with suppliers and clients operating in both countries.
Even though we each have different regulatory laws there are many times where a cooperative effort from both ASTA and ACTA has been the best approach.
What challenges lie ahead for your replacement?
McCaig: That will depend on the industry issues as they develop. Everyone would agree that this industry changes just about on a daily basis.
Will you have any input into the selection of a new president for ACTA?
McCaig: The selection is totally the responsibility of the excellent ACTA board members, led by the chair, Mary Jane Hiebert.
What’s next for David McCaig? Will you remain involved in the industry?
McCaig: There is always a chance that I could be involved in some manner but my family and health comes first.
Any final thoughts on the role organizations like ACTA will play in the future?
McCaig: The role of ACTA as the agency community association will, under the ACTA board leadership, continue to represent their membership very well. I believe ACTA will continue to be successful by adjusting to the change that is happening every day in this wonderfully crazy business.